Thursday, June 18, 2015

Airbus, ST Aero have freighter deal

Singapore's ST Aerospace signed a deal with Europe's Airbus to convert A320 and A321 jetliners into freighter planes. The deal was signed Wednesday and includes Airbus subsidiary EFW. Airbus forecast demand for more than 600 aircraft over the next 20 years to be converted in the small freighter range. The first converted A321 will be delivered in 2018. The passenger-to-freighter (p2f) conversion work will be done at ST Aerospace's facilities globally. "We have operations in Germany, U.S., China and Singapore. All our facilities will be able to do the A320 p2f," said ST Aerospace President Lim Serh Ghee. Under the deal, ST Aerospace will increase its stake in EFW from 35 to 55 percent. (Sources: multiple, including Reuters, Channel News Asia, AIN, 06/17/15) Gulf Coast note: Airbus has an A320 assembly line in Mobile, Ala., where ST Aerospace's ST MAE has an MRO. ST MAE is also establishing an MRO in Pensacola, Fla., some 60 miles to the east of Mobile.