CFM56 Upgrade Sales Surpass $1.5 Billion

June 18, 2007

LE BOURGET June 18, 2007 CFM International has received orders for a total of more than 1,100 CFM56-3 and CFM56-5C/P upgrade kits at a value of more than $1.5 billion at list price. To date, more than 500 CFM56 engines have bee upgraded.

CFM56 engines are produced by CFM International (CFM), a 50/50 joint company between Snecma (Safran Group) and General Electric Company.

Other upgrade customers include KLM Royal Dutch Airlines, who ordered 31 Advanced Upgrade kits and has taken delivery of 17; Alaska Airlines, which ordered 88 Enhanced Performance upgrade kits and has 40 in service; Air China, which is operating two upgraded CFM56-3 engine; and LAN, which ordered 18 CFM56-5C/P kits and has taken delivery of 10 upgraded engines to date.

The CFM56-3 Advanced Upgrade package resulted from strong technical collaboration between Snecma and GE and is a great example of their commitment to developing new, cost-effective technologies that enhance customers' environmental and operating performance. One of the benefits of the upgrade is: up to a 1.6 percent improvement in specific fuel consumption (SFC). Reducing fuel consumption is the most efficient way to reduce aircraft emissions, especially carbon dioxide (CO2) emissions, which directly contribute to global warming.

The Advanced upgrade features three-dimensional high-pressure compressor (HPC) aerodynamics (3-D aero) and new high-pressure turbine hardware. The upgrade is installed during normal overhaul and provides significant benefits. In addition to the improve in SFC, the upgrade also provides up to 20° C additional exhaust gas temperature (EGT) margin, which translates to up to more than 3,000 additional cycles on wing. Turbine improvements include new nozzle and shroud materials, a new blade coating, and improved cooling. These changes extend component life and lower scrap rates and repair costs by as much as 50 percent.

CFM also offers two additional CFM56-3 kit options to provide customers more flexibility in managing maintenance costs. The Enhanced Performance kit includes the 3-D aero HPC blades and vanes and provides the improvement in SFC, along with increased EGT margin that translates to longer time on wing, depending on airline operations. The Enhanced Durability kit reduces scrap rate by as much as 50 percent, thus reducing maintenance costs.

The CFM56-5C/P upgrade for current Airbus A340-300 operators incorporates the advanced 3-D aerodynamic technology originally developed for the CFM56-5B/P powerplant for the A320 family, including the high-pressure compressor and high-pressure turbine design. Additional improvements have also been incorporated into the high-pressure turbine to enhance durability. Overall, the CFM56-5C/P provides operators a one percent improvement in specific fuel consumption and up to a 18° C improvement in EGT margin, translating to as much as 10 percent lower maintenance costs through longer time on wing.

These upgrade kits are also installed at normal overhaul and include the compressor and high-pressure turbine, in addition to low-pressure turbine hardware. Upgraded engines are fully interchangeable and intermixable with current engines.

Jamie Jewell

+1 513.885.2282

Charles Soret

+33 (0)

Perry Bradley

+1 513 375 2597

Talal Ahmed Almahmood

+973 173 3819