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GE Engine Services Awarded $215 Million MCPHSM Contract

August 08, 2000

GE Engine Services, the world's leading total aviation services provider, has been awarded a $215 million contract to maintain, overhaul and repair the GE90 engines powering China Southern Airlines' Boeing 777 fleet.The ten-year MCPHSM (Maintenance Cost Per HourSM) contract covers the 23 GE90-90B engines powering China Southern's nine Boeing 777-200IGW (Increased Gross Weight) aircraft. Maintenance and overhaul work will be performed at GE's Nantgarw, Wales, facility. "We are extremely excited about servicing China Southern's GE90 fleet with our first MCPH opportunity in China," said George Oliver, president of GE Engine Services. "With China Southern being the largest airline in China, and the success that our MCPH product has achieved with our customers worldwide, this is a significant step toward expanding our opportunities in China." GE's highly successful MCPH programs maintain engines on a flat rate per engine flight hour basis, enabling airlines to accurately forecast operating costs, reduce cost of ownership and improve asset utilization. In addition to its Nantgarw shop, GE Engine Services has overhaul shops and component repair facilities located in: Ontario, California; Strother Field, near Arkansas City, Kansas; Miami, Florida; Dallas/Fort Worth, Texas; McAllen, Texas; Terre Haute, Indiana; Prestwick, Scotland; Petropolis, Brazil; Rio de Janeiro, Brazil; Xiamen, China; Taipei, Taiwan; Kuala Lumpur, Malaysia; Singapore; Yokoshiba, Japan; and Cincinnati, Ohio, and at Garrett Aviation Services' Total Aircraft ServiceSM Centers. GE also offers the world's most extensive on wing maintenance and hospital repair shop network, GE On Wing Support, which dispatches "rapid response" technicians 24 hours a day, 365 days a year, from facilities in: Luton and Heathrow, England; Los Angeles, California; Dallas, Texas; Cincinnati, Ohio; New York, New York; Miami, Florida; Phoenix, Arizona; Seattle, Washington; Xiamen, China; Seoul, South Korea; and Kuala Lumpur, Malaysia.