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International Aero Engines AG

International Aero Engines AG's (IAE) Executive Board of Directors has announced the extension of its collaboration agreement to 2045. IAE is a multi-national aircraft engine consortium comprised of Pratt & Whitney (NYSE: UTX), Rolls-Royce (RR.L), Japanese Aero Engines Corporation and MTU Aero Engines. IAE International Aero Engines AG produces the V2500 engine. The engines are produced at PW in Middletown, CT and at RR in Derby, England with modules and partsproduced by the consortium members. A multinational collaboration, IAE brings together four of the world's leading aircraft engine manufacturers: Pratt & Whitney, Rolls-Royce, Japanese Aero Engine Corporation and MTU Aero Engines. This exceptional joint venture provides IAE with access to the best-of-the-best in aerospace technology and the widest pool of talent from its four shareholder companies.

The clear market leader for the Airbus A320 family of aircraft, the V2500 also powers the Boeing MD-90. With over 4,000 engines in service and over 2,000 on order, the V2500 is one of the largest commercial jet engine programs in aviation history. It offers significant operating cost benefits that directly affect the bottom line. Our philosophy of relentless continuous improvement is evident in everything we do, and ensures the V2500 maintains its position as the most advanced engine available for the A320.

IAE was founded in 1983 to develop an engine to address the 150-seat single aisle market. The collaboration, bringing together four of the world's leading aero engine manufacturers, was focused on delivering the best of the best technologies, and the result was the V2500. IAE has secured its position as a leading force in the global aviation industry. The engine maintains around a 50 percent market share and production has doubled over the last five years to roughly an engine a day being delivered from our two assembly lines in Connecticut, USA and Dahlewitz, Germany. There are now over 4,000 engines in service with approximately 2,000 more on backlog, equivalent to around six full years of production. It has around 190 customers across all four corners of the globe.

The V2500 is the second biggest large engine program currently in production, and the third largest in history. IAE's success is attributable to the fact that it is easy to do business with - a small company mentality with big company credentials. IAE is a $4 billion business that is an excellent example of a successful, multinational partnership. The fact that the IAE collaboration agreement extends to 2045, and with the sizable fleet of V2500s in service, we are guaranteed a place as a global aviation leader for decades to come.

The V2500 Timeline

Just a year after the collaboration was formed, the engine won a position on the Airbus A320 family, formally launching the program. Following a development program that was completed in an accelerated timeframe, the V2500-A1 entered service with Adria Airways in 1989. That same year McDonnell Douglas selected the V2500 to power the MD-90, providing diversity to the engine program. Delta Airlines launched this new program with an order for 26 firm aircraft.

IAE's philosophy of continuous improvement was evident from the start and the first major performance enhancements were introduced into service in 1993 through the V2500-A5. As example of this, IAE subsequently took the HPT technology developed for the V2500-A5 and incorporated it into the V2500-A1 in what was termed the "Phoenix Standard" in 1998. This resulted in improved time on-wing.

The latter part of the 1990s saw IAE and the V2500 start to become a dominant force in commercial aviation. The MD-90 entered service, the first orders were taken from Chinese airlines, records were broken for deal sizes, and the first V2500-powered A319 flew in United Airlines colors. The 1,000th V2500 engine was delivered.

The new Millennium saw existing MD-90 operators, China Northern and SAS, both select V2500-powered Airbus aircraft for the first time. And the engine becomes available to power the Airbus Corporate Jetliner (ACJ). IAE continued product development with the introduction of the Middle East Package for the V2500-D5 to improve time on-wing in the harsh Middle-East environment. Elements of this package were subsequently incorporated in the V2500-A5 prior to the launch of the SelectOne upgrade package.

Production ramp up saw a rapid increase in deliveries with the 2,000th V2500 assembled in 2002. The engine program also surpassed the milestone of 20 million flying hours. IAE continued its philosophy of continuous improvement with the introduction of V2500 SelectOneT in 2005, along with the first comprehensive OEM-managed aftermarket service program in this class. More records are broken as a number of first-run engines remain on wing in excess of 30,000 hours.

V2500 SelectOneT starts to gain market acceptance as customers start to convert future engine deliveries to the new engine standard, and upgrade their existing fleets with the new retrofit upgrade. The certification program delivers meets all its milestones on time, allowing an on-schedule entry into service with IndiGo in October 2008.

The V2500's success in China is capped with its position as launch engine for the Airbus A320 Final Assembly Line - China in July 2009. Nine of the first 10 deliveries from this new facility are powered by the IAE powerplant. Operations are launched with the first Russian customer.

The 4,000th V2500 was delivered to TAM and installed on the 4,000th Airbus A320-family aircraft. Over 70 million flying hours are achieved and IAE celebrates 20 years in service with the V2500.


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Page last modified: 05-08-2011 20:02:01 ZULU