Mainboard-listed SIA Engineering Company Limited (SIAEC) announced the signing of its comprehensive Services Agreement with SilkAir (Singapore) Private Limited (SilkAir) for its latest fleet of Boeing 737 MAX aircraft.
The Company currently has existing Services Agreements with SilkAir for its Airbus A320 and Boeing 737-800 aircraft. The new agreement for the 37 Boeing 737 MAX aircraft is for a term of 12 years, with an option to renew for a further period of 5 years. The Company’s support of SilkAir’s fleet covers a wide range of maintenance, repair and overhaul, and support services. The total revenue of this agreement is approximately $484 million over the 12-year term.
SIAEC’s Chief Executive Officer, Mr. Png Kim Chiang said: “SIAEC and SilkAir have been working very closely and successfully on SilkAir’s Airbus A320 and Boeing 737NG aircraft. This new Services Agreement symbolizes the continued trust that SilkAir has placed on us, and we will deliver to the high level of quality and service expectations of SilkAir in our provision of the services covered in this contract.”
Mr. Foo Chai Woo, Chief Executive SilkAir, said: “At SilkAir, we place the safety and reliability of our flight operations as our main priority. As our service partner, SIAEC has provided dependable services and achieved excellent operational efficiencies for our Airbus A320 and Boeing 737NG fleet. Thus, we are pleased to extend our longstanding and mutually beneficial relationship with SIAEC through this new contract.”
None of the Directors of SIAEC have any interest, direct or indirect, in the transactions.