Lion Air Places $360 Million CFM56-7B Order To Power 30 Additional 737-900ERS

July 17, 2006

FARNBOROUGH July 17, 2006 Indonesian carrier Lion Air today announced that it has firmed option orders for 30 additional CFM56-7B-powered Boeing 737-900ER aircraft. The engine order is valued at $360 million at list price. The airline, which placed an initial order for 30 aircraft in July 2005, will begin taking delivery of the new 737s in the first half of 2007.

CFM56-7B engines are produced by CFM International (CFM), a 50/50 joint company between Snecma (Safran Group) and General Electric Company. CFM is the world's leading aircraft engine manufacturer, with more than 15,800 engines delivered to date.

Since its initial launch in 2000 as a one-aircraft airline, Lion Air has become Indonesia's leading domestic carrier. The airline provides 160 flights daily to 36 domestic locations, as well as service to Kuala Lumpur and Penang in Malaysia, and Singapore. The new longer range, high capacity 737-900ERs are part of Lion Air's fleet modernization and route expansion plans, which will eventually include destinations throughout the Asia Pacific Region. The airline currently operates 12 CFM56-3-powered Boeing 737-400 aircraft.

All of Lion Air's CFM56-7B engines will be the new Tech Insertion configuration, which incorporates advanced technologies developed and validated as part of Project TECH56. The Tech Insertion package, which was certified in June of this year, will provide operators with lower maintenance costs, improved oxides of nitrogen (NOx) emissions, and better fuel burn. CFM56 Tech Insertion includes improvements to the high-pressure compressor, the combustor, and the high- and low-pressure turbines. CFM56-7B Tech Insertion will be certified on the Next-Generation Boeing 737 aircraft in the third quarter of this year following a flight test program scheduled to begin in August.

Jamie Jewell



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Charles Soret



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Perry Bradley



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Talal Ahmed Almahmood


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talal.almahmood@gulfair.com