American Airlines Places $750 Million Engine Order

November 21, 1996

American Airlines has placed an order for 75 firm CFM56-7-powered Boeing 737-800 aircraft, scheduled to begin delivery in mid-1998. The engine portion of the order is valued at more than $750 million.

American Airlines has also reserved purchase rights for an additional 425 aircraft. If these rights are exercised, the American Airlines CFM56-powered 737 fleet could total 500 aircraft. The CFM56-7 is produced by CFM International (CFMI), a 50/50 joint company between Snecma (Safran Group) of France and General Electric of the United States.

"We are very excited about becoming an integral part of American Airline's long-term strategy," said Tony Rascov, sales director of the Americas/Australasia for CFMI. "We appreciate the high level of confidence this order shows in the product Boeing and CFMI have worked so hard to develop, and this order firmly establishes the CFM56-7-powered 737 as the fastest-selling engine/aircraft combination in aviation history. Before the American order, we had firm orders for 425 next-generation 737s -- and this is before the first aircraft has even flown."

1996 has been a tremendously successful year for CFMI. The company has received firm orders for more than 1,100 CFM56 engines, which has further solidified its leadership position in the commercial aircraft market. During 1996, CFM56 engines have been ordered to power more than 60 percent of all aircraft carrying 100 passengers or more, including applications for which CFM56 engines are not offered. Overall, CFMI has more than 50 percent of this market.

Due to the flood of new orders in recent years, the CFM56 engine production rate will more than double to nearly 930 engines in 1998, compared to the 389 engines produced in 1995. With more than 7,700 CFM56 engines in service, a CFM56-powered aircraft takes off every 7 seconds. Overall, the company has received orders and commitments for more than 11,000 engines valued at more than $40 billion.

Jamie Jewell



Mobile:
+1 513.885.2282

jamie.jewell@ge.com

Charles Soret



Mobile:
+33 (0)6.31.60.96.79

charles.soret@safrangroup.com

Perry Bradley



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+1 513 375 2597

perry.bradley@ge.com

Talal Ahmed Almahmood


+973 173 3819


talal.almahmood@gulfair.com