IAG Engine Center Europe, a division of International Aerospace Group (IAG), a US based industry leader in the sale, repair and leasing of aircraft engines as well as aircraft replacement parts sales, confirmed that it has completed the acquisition of the engine and component repair business of Alitalia Maintenance Systems (AMS). IAG plans to operate a world class engine maintenance and repair facility in Rome adding engine repair and overhaul capability for CFM56-5B and 7B, as well as APU overhaul and repair capability to its existing overhaul and repair capabilities for CF6-80, CF6-50 and JT9 engines. Between its US and European repair shops, IAG can reach most of the world"™s fleet providing strategic and operational support and services to airlines and lessors alike and enhancing its evolving global business.
IAG Engine Center Europe has worked closely with the aviation community in Rome to formulate a new business structure that is both fair and commercially competitive, and its efforts have won the support of key stakeholders. Mauricio Luna, Chief Executive Officer, explains his company"™s decision: "IAG Group already operates a globally respected engine overhaul and repair facility in Miami. This means we can bring this well-equipped dormant facility to life quickly utilising our in-house expertise and that of many senior technicians who previously worked for AMS."
IAG has an established and growing customer base including airlines as well as leading lessors. The Company is delighted that business has already been secured for the Rome facility from customers seeking global support. Larry Serlo, Chief Financial Officer, identifies the qualities which drew IAG to undertake the asset purchase: "We are fortunate. The Trustees that looked after the facility during bankruptcy did an excellent job keeping the shop in good order so we will be able to get to work quickly. Our biggest challenge will be curbing our enthusiasm for this fantastic new addition to our organisation."
Serlo adds "We are specifically interested in supporting the leasing community in the transition of their assets and our future plans include line maintenance for the airlines that transit Leonardo da Vinci Fiumicino International Airport in Rome."
Considerable worldwide demand will help support a sustainable and substantial engine maintenance and repair business from the outset, and contribute to the business efficiencies and cost-savings that already form a part of IAG"™s customer pledge. IAG welcomes the opportunity to work more closely with the previous AMS customer portfolio, including Alitalia, and to providing its global customer base with more comprehensive services. Importantly for IAG, as well as a workforce of highly skilled technicians that can be re-engaged locally, there is a strong managerial team that will be led by Oreste Murri, Vice President of Business Development.
"We plan to leverage an outstanding facility and talent base as we enter the European market" says CEO, Mauricio Luna. "We are committed to re-establishing a world class operation in Rome which will enable us to provide competitive service levels, quality and cost guarantees to the global aviation community. We also look forward to continuing the long trading history which has overseen almost seventy years of overhauling and repairing aircraft engines and auxiliary power units. This excellent facility and its technical team have been among the most productive in the world, managing thousands of engine shop visits including over 800 CF6 and CFM56-5B/7B repair and overhaul programmes."
Over the coming weeks, IAG Engine Center Europe will become re-certified by ENAC and EASA/FAA. Luna sums up: "Within the aircraft engine types that IAG is certified to repair, there are around 20,000 engines active in the world. Our pipeline of customers that own these aircraft types and use our products and services represents significant work opportunities, and these will enable the business to grow rapidly." Luna also stated that adding this facility will greatly enhance International Aerospace Group"™s position as aircraft engine investors, allowing the organisation to invest in and repair new engine types.
