SIA Engineering signs new maintenance agreement with Hawaiian Airlines

SIA Engineering Company (SIAEC) S59 : S59 0%on Friday said it signed an agreement with Hawaiian Airlines to expand airframe maintenance services for the latter's Airbus A330-200 fleet.

This is in addition to the group's existing airframe services agreements with Hawaiian Airlines for its A330 aircraft, which cover heavy checks and paintings.

Under the new agreement, the group will perform 12-year checks commencing in March 2022 on Hawaiian Airlines' fleet. Maintenance services will be undertaken by SIAEC at its facility in Singapore.

SIAEC does not expect the transaction to have a material impact on its per-share earnings nor net tangible assets for the current financial year.

In its press statement filed to the Singapore Exchange, the group underscored its customer's status as Hawaii's biggest and longest-serving airline.

Hawaiian Airlines is estimated to offer 130 flights within the Hawaiian Islands, and services between Hawaii and 16 US gateway cities as well as Tahiti, American Samoa, Japan and South Korea.

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SIAEC chief executive Ng Chin Hwee said he sees the extension of additional maintenance services to Hawaiian Airlines as a testament to the successful relationship between both companies. It also demonstrates the airline's vote of confidence for the SIAEC's airframe maintenance services, in his view.

"With our strong technical expertise and vast maintenance experience, we are well positioned to provide quality services and engineering support for the airline's A330 fleet," said Mr Ng.

Shares of SIAEC ended Thursday up S$0.04 or 1.9 per cent at S$2.14.

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