Asia's top aerospace show nets almost $3.2 billion in deals

Asia's top aerospace show nets almost $3.2 billion in deals

Agence France-Presse, Singapore

Nearly US$3.2 billion in deals were announced during this week's Asian Aerospace 2002 exhibition, pointing to a recovery in the battered aviation industry, organisers here said Friday.

The figure topped the $3 billion spent during the last aerospace event in 2000 and defied projections the economic downturn and the September terrorist attacks could depress interest. Deals totalled $1.3 billion in 1998.

Jimmy Lau, managing director of the biennial event seen as second to the Paris air show as an aviation showcase, said the deals showed the industry was on the road to recovery.

"The contracts we have witnessed reaffirm Asian Aerospace's position as the preferred business platform for the global aerospace industry," Lau said in a statement issued ahead of the end of the exhibition on Sunday.

The biggest announced contract was worth $1.5 billion, signed between Emirates, the Dubai-based international carrier, and GE-Pratt and Whitney Engine Alliance to supply the airline's fleet of 22 Airbus A380s.

Honeywell, a maker of civil and military avionics and other aerospace equipment, was awarded a $1.1 billion contract by the U.S. army to upgrade its T55 engines. It also sealed a deal with Britain's ministry of defence worth $80 million for the repair and overhaul of engines.

SIA Engineering Co., a subsidiary of Singapore Airlines, Rolls-Royce and Hong Kong Aero Engine Services entered into a joint venture to build an engine overhaul facility here worth 185 million dollars.

Europe-based Bombardier Aerospace clinched sales worth 105 million dollars for its jets geared for business executives.

There were 900 exhibitors from 37 countries during the event which included for the first time a conference on Asia Pacific Security.

Lau said there were 22,000 trade visitors and VIPs from 65 countries during the show.