Engine maker MTU enjoys A320neo boost

1234

A rush of orders for Airbus’ revamped A320neo family of aircraft has helped Germany’s MTU Aero Engines secure more than 600 million euros (US$861 million) of orders at this year’s Paris Air Show.

MTU is currently negotiating its exact level of participation with United Technologies Corp’s Pratt & Whitney unit in the engine for the A320neo, which has proven the star of this year’s event.
“We’ve done twice as much business as two years ago and the week’s only half over,” Chief Executive Egon Behle said yesterday.
“It shows that Airbus took the right decision with the A320neo,” he added.

Airbus’ decision to revamp the family of planes has put pressure on arch rival Boeing to make a fast call on whether it too will upgrade or redesign its top-selling single-aisle 737 as competition mounts from manufacturers in Brazil, Canada, China and Russia.

Airbus has notched up around US$40 billion of orders at the air show, dominated by sales of its revamped A320neo family.

Behle confirmed MTU’s forecasts for the current year, adding that its business with replacement parts was doing slightly better than expected.



This year, it expects sales to rise 7-8 pct and adjusted earnings before interest and tax to reach 2010’s level of 311.3 million euros.