SIAEC renews services agreement with SIA Cargo

MAINBOARD-LISTED SIA Engineering Company (SIAEC) has inked a S$250 million services agreement with SIA Cargo.

This is a renewal of an existing services agreement with SIA Cargo that expires this year. The new agreement, commencing Jan 1, 2017, is for three years, with options to renew for three years and a further period of two years.

"The company's support of the SIA Cargo's freighter fleet covers a broad spectrum of maintenance, repair and overhaul, and support services," said SIAEC in a release on Wednesday.

The agreement is expected to yield revenues of up to SS250 million over eight years.

SIAEC chief Png Kim Chiang said: "SIAEC and SIA Cargo have a strong and mutually beneficial relationship built over many years. We have worked closely with SIA Cargo to uphold its engineering excellence and optimise its operating efficiencies."

Chin Yau Seng, president of SIA Cargo, added: "Over the years, SIAEC has proven to be a dependable partner who understands and shares our commitment to service and operational excellence. We are pleased to renew our longstanding service partnership with SIAEC through this new contract."