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Vietjet, Rolls Royce ink $400-mln engine deal

By Rajiv Menon
1 min read
In this article (5)

Budget airline Vietjet has signed a $400-million agreement with British company Rolls Royce for aircraft engines for its wide-body fleet and engine servicing.

The signing ceremony on Sunday was witnessed by Prime Minister Pham Minh Chinh, who is in the U.K. for the 26th United Nations Climate Change Conference, according to a statement from the airline.

Rolls Royce Civil Aerospace’s chief customer officer, Ewen McDonald, said the company’s Trent 700 engine has the lowest lifetime fuel burn on its aircraft type, and has logged more than 60 million hours in service since its launch in 1995.

It is the only engine specifically designed for Vietjet’s wide-body aircraft, he said without naming the model.

The carrier’s managing director, Dinh Viet Phuong, said the new engines would improve flight range and quality and boost Vietjet aircraft’s technical reliability and operational efficiency.

Vietjet has a fleet of 90 single-aisle aircraft.

Rolls-Royce has more than 400 airline and leasing customers and 160 armed forces and navies.

Vietjet, which began flying in 2011, also signed a $20-million reinsurance agreement with brokers Gallagher Co. and Willis Towers Watson Co. for its entire fleet, according to a separate statement it put out.

Questions & Answers

Q.

What kind of engines did Vietjet agree to purchase from Rolls Royce?

A.

Vietjet agreed to purchase Trent 700 engines, which Rolls Royce states have the lowest lifetime fuel burn on their aircraft type. These engines are specifically designed for Vietjet's wide-body aircraft fleet.

Q.

What benefits does Vietjet expect from this new engine deal?

A.

Vietjet's managing director stated the new engines should improve flight range and quality. They are also expected to boost the technical reliability and operational efficiency of the airline's aircraft.

Q.

Was Prime Minister Pham Minh Chinh's presence at the signing ceremony related to the climate change conference?

A.

Yes, the Prime Minister witnessed the signing ceremony while he was in the U.K. For the 26th United Nations Climate Change Conference. This information was included in a statement from the airline.

Q.

Did Vietjet sign any other agreements during this period?

A.

Yes, Vietjet also signed a separate $20-million reinsurance agreement. This deal was with brokers Gallagher Co. And Willis Towers Watson Co. And covers the airline's entire fleet.

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