Reuters: American Airlines, CFM close to $2.6B deal • 4:38 AM
•Reuters reports American Airlines (AAL) is close to completing a $2.6B engine order from CFM International, a joint venture between GE (GE) and Safran (SAFRF). The 200 new engines will be placed on new Airbus A320neo jetliners that the company has on a firm order.
•The purchase will mark a loss for United Technologies' (UTX) Pratt and Whitney unit, the only other engine maker for the A320neo.
American Airlines turned its back on P&W Very Many Moons Ago, mostly R/Royce on long haul aircraft and all G/E on 737 's. except very early models. There is definitely a long term disagreement here going back to the mid 80's plus there is a huge risk having American on the order books because they are still very much in the red. Very good amount of already on order books for P & W Geared Turbo Fan Engine on the Neo320 so while it would have been nice to win away from G/E it does not really hurt to much