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Airlines

WestJet “brings critical engine repair operations home” to Canada with Lufthansa Technik deal


WestJet and Lufthansa Technik have signed a blockbuster deal that will see Lufthansa Technik provide engine maintenance services for the CFM International* LEAP-1B engines that power the airline’s Boeing 737 fleet.

The 15-year, multi-billion-dollar contract is the largest in WestJet’s 30-year history and followed a rigorous competitive global sourcing process.

As a world leader in aircraft maintenance, repair and overhaul (MRO), Lufthansa Technik will establish a new engine repair station dedicated to servicing LEAP-1B engines for near-wing and quick-turn work.

The Calgary Airport Authority (The Authority) has signed a long-term lease agreement with Lufthansa Technik for an engine maintenance and test cell facility that will serve, amongst others, WestJet as a cornerstone customer.

The Calgary facility will feature a modern test cell, the first-of-its-kind in Canada, for next generation engines and drive job creation in the region.

Operations are set to begin in 2027, with WestJet as the launch customer.

Alexis von Hoensbroech, WestJet Group Chief Executive Officer, said: “WestJet was founded on the idea of improving air travel and making it affordable for Canadians. This historic contract award will allow us to bring critical engine repair operations home to Canada and provide greater efficiency and cost certainty to a critical part of our operations, all while demonstrating our commitment to improving our competitiveness and supporting the Alberta economy. We are proud to partner with Lufthansa Technik. This is an extraordinary moment for WestJet, our guests, WestJetters, Western Canada’s communities and our suppliers.”

Under the framework of the agreement, Lufthansa Technik will provide WestJet, Canada’s largest 737 MAX operator, with a broad range of services, such as quick turn shop visits, on-wing repairs and full performance restorations.

The partnership encompasses WestJet’s current fleet of more than 50 Boeing 737 MAX aircraft (of 200 total aircraft), a number that is expected to grow to over 130 before the end of the decade based on the airline’s current order book.

The CFM LEAP-1B engine repair operations for WestJet will be offered by Lufthansa Technik through its expansive global network. While overhauls will continue to take place at the main facility in Hamburg, Germany, and the company’s joint venture near Wroclaw, Poland, Lufthansa Technik aims to introduce quick turn shop visits at the newly created repair station in Calgary, Canada.

Soeren Stark, Chief Executive Officer of Lufthansa Technik, said: “This agreement represents one of the largest awards ever granted to any MRO provider for CFM LEAP engines worldwide. It’s a contract that underlines Lufthansa Technik’s leading position in the support of new generation engine types. We greatly value WestJet’s strong confidence in our extensive expertise and our ability to serve as a trusted long-term partner. At the same time, we are grateful for the strong support from our local allies in Canada, which is essential in advancing the creation of a new engine repair shop and test cell facility in Calgary.”

CFM International, the developer and manufacturer of the LEAP-1B engines, has established an open MRO ecosystem for its LEAP engine family. As a CFM Premier MRO partner, Lufthansa Technik is licensed to deliver full MRO services for these engines. The company was the first independent MRO provider recognized by CFM to service both LEAP-1A and LEAP-1B engines and has completed over 60 maintenance events, including the world’s first LEAP-1A (Airbus version of the engine) performance restoration shop visit (PRSV).

The creation of Lufthansa Technik Canada’s future facility is made possible through collaboration and funding from partners including the Government of Canada, the Government of Alberta, Opportunity Calgary Investment Fund (OCIF), Calgary Economic Development, Calgary International Airport and the Canada Infrastructure Bank. These partners have been vital in fostering the growth of Calgary’s aviation cluster to date.

The Calgary Airport Authority (The Authority) has signed a long-term lease agreement with Lufthansa Technik for an engine maintenance and test cell facility that will serve, amongst others, WestJet as a cornerstone customer.

Chris Dinsdale, President and CEO, Calgary Airport Authority, said: “This project is a remarkable example of what can be achieved when our aviation ecosystem and all levels of government come together – Lufthansa Technik as the premier supplier, WestJet as a vital cornerstone customer, critical support from Calgary Economic Development and the Government of Alberta through the Ministry of Jobs, Economy and Trade along with the Calgary Airport Authority, the Canada Infrastructure Bank, Prairies Economic Development Canada and Opportunity Calgary Investment Fund.”

Dinsdale continued: “By building this cutting-edge facility in Calgary, we ensure that WestJet and all Canadian airlines will have access to reliable, cost-effective and efficient maintenance services while building essential infrastructure in engineering, training and enterprise to make Calgary and Alberta a centre of aviation excellence within North America.”

This $120-million investment has been secured with the support of the Government of Alberta, the Canada Infrastructure Bank, PrairiesCan and OCIF, in collaboration with Calgary Economic Development.

The Authority will oversee the financing, planning, construction, and deployment phases of the related buildings, which will occupy nine acres of prime airport real estate, integrated seamlessly with Calgary International Airport’s strategic growth plans.

The facility will boost regional economic development and reinforce Calgary’s role as a gateway for international aviation innovation and excellence, while providing airlines access to world-class facilities to ensure reliable, efficient and lower cost maintenance services.

The wholly owned Canadian subsidiary of Lufthansa Technik plans to create up to 160 new jobs in Calgary by 2030. Construction of the engine maintenance facility is scheduled to begin mid-2025 and is expected to take about two years.

Once completed, it will allow for a range of engine maintenance functions and work that has been historically performed outside Canada. To prepare for operations, a dedicated training centre will open this year to equip new employees with the necessary skills.

Recruitment for various positions will begin soon.

Go to www.westjet.com/ for more.

 

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