Friday, October 12, 2018

‘Despite financial stress, no problem with Indian carriers regarding contracts’: CFM international CEO Gaël Méheusta

Engine maker CFM International, a 50:50 joint venture between US-based GE and French Safran Aircraft Engines, has about 1,000 of its latest LEAP engines on order from Jet Airways and SpiceJet for their Boeing 737 MAX aircraft and Vistara for its Airbus A320neo and A321neo aircraft. President and CEO Gaël Méheust told Pranav Mukul that despite the financially stressed situation of one of its customers Jet Airways, the firm has not faced any problems with application of the contracts. He also spoke about the firm’s key manufacturing partners in India. Excerpts:

When you see one of your key customers in India facing financial turbulence, what measures do you take?

The best thing we can provide to the customer especially when there’s a situation like that – and that is for everyone – is to make sure we provide to the customer all the value in the contracts – the assistance, ongoing support, all the analytics through the data we are collecting. The value proposition of CFM is to provide all the services, certainly as much as the customer needs.

Are you worried about the Jet Airways situation?

So far we haven’t had any problems with either Jet Airways or SpiceJet or anyone. The contracts are going on and we are supporting them.

You mentioned India being a strategic market for CFM. Does manufacturing in India figure in your plans?

We already have a few suppliers in India. We have a JV between Safran and HAL, which produces low-pressure turbine blades — a key component for our engines. We also have contracts with Tata to produce pipes and tubes. We have at least six suppliers from India that the parent company of CFM is using in India.
12/10/18 Pranav Mukul/Indian Express