SpiceJet, CFM sign $12.5 billion engine/services deal

Finalizes LEAP-1B engine order for 155 737 MAX airplanes

Adds long-term services agreement for entire LEAP-1B fleet

Gurugram, India March 10, 2018

SpiceJet and CFM International today announced a $12.5 billion U.S. agreement that finalizes the purchase of LEAP-1B engines to power a total of 155 Boeing 737 MAX airplanes, along with spare engines to support the fleet.

The airline also signed a 10-year Rate per Flight Hour (RPFH) agreement with CFM Services that covers all LEAP-1B engines powering SpiceJet's 737 MAX airplanes. RPFH agreements are part of CFM's portfolio of flexible aftermarket support offerings. Under the terms of the agreement, CFM guarantees maintenance costs for all SpiceJet's LEAP-1B engines on a pay -by-the-hour basis.

"We are looking forward to introducing the new LEAP-1B into our fleet," said Ajay Singh, Chairman and Managing Director, SpiceJet. "The CFM56 engines we currently operate have been a highly valued asset for us over the years. From what we have seen so far, the LEAP-1B is living up to its promises for efficiency and reliability. We hope they provide us unmatched service reliability while keeping our costs in check to ensure profitable operations."

"We are deeply honored that SpiceJet has again placed its trust in CFM," said Philippe Petitcolin, CEO of CFM parent company Safran. "It has been exciting to watch this airline grow over the years and we believe it has a very bright future. We are proud to be such a big part of the SpiceJet team over the long term."

SpiceJet, a long-time CFM customer, currently operates a fleet of 38 CFM56-7B-powered Boeing Next Generation 737 family aircraft.