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27 Mar 2008
Airbus to Provide TAECO with Expertise for Development of Cabin Completion Centre in China for Airbus Corporate Jets

On March 5th, Airbus signed an agreement with Taikoo (Xiamen) Aircraft Engineering Co. Ltd. (TAECO) to help create a cabin completion centre in China for Airbus corporate and business jets.

According to the agreement, Airbus will assist TAECO in personnel training and other areas in order to enable TAECO to become qualified as a potential supplier for Airbus' cabin completion business. This project will also involve ELTRA, a Hong Kong based company, as TAECO partner in this project for the management of the Cabin Suppliers network.

Airbus, an industry leader in the field of aircraft design, manufacturing, sales and support, will provide TAECO with guidance and advice based on Airbus' existing expertise in the areas of supplier network development, engineering and design, aircraft cabin conversion, aircraft cabin product support, infrastructure development and dry-run exercise.

Airbus will send specialists to Xiamen to assist in providing such services and follow up the key milestones of the project against the agreed schedule. The project is scheduled to finish by the end of 2009. A joint steering committee will coordinate the activities of the two parties to ensure the smooth development of the project.

After the completion of the project, TAECO will seek to be certified by the European Aviation Safety Agency (EASA) and intends to become an Airbus supplier.

"Airbus will provide TAECO with the best service to help TAECO develop the expertise required for the creation of a cabin completion centre for Airbus corporate and business jets. If TAECO successfully obtains the required qualification and sets up the cabin completion centre, it will become the first approved cabin completion centre for Airbus corporate and business jets in China as well as in Asia. This is yet another example of Airbus' ever increasing industrial footprint in China and development of cooperation with Chinese partners," said Laurence Barron, President of Airbus China.

Airbus is committed to forging a long-term strategic partnership with China. Six Chinese manufacturers are already involved in manufacturing parts, such as wing components, emergency-exit doors and maintenance tools for Airbus aircraft. The total value of industrial cooperation between Airbus and Chinese aviation industry is expected to be near 200 million US dollars per year in 2010 and 450 million US dollars per year in 2015.

"We are confident in the success of the project, which will pave the way for TAECO to become a qualified cabin completion supplier for Airbus. TAECO has recognised capabilities in the area of heavy maintenance of commercial aircraft, including Airbus aircraft," Mr. Ping Kit Chan, Chairman of TAECO, said.

Airbus has developed a range of corporate and business jets derived from its commercial aircraft range. Airbus' corporate and business jets range from the Airbus Corporate Jetliner (ACJ) Family, comprising the A318 Elite, ACJ and A320 Prestige, all the way up through VIP versions of the A330, A340 and even the double-deck A380.

Airbus has approved six experienced outfitters for the ACJ Family - Associated Air Centre of Dallas, Texas, the Airbus Corporate Jet Centre of Toulouse, France, Fokker Services of Amsterdam, the Netherlands, Gore Design Completions of San Antonio, Texas, Jet Aviation of Basle, Switzerland, and Lufthansa Technik of Hamburg, Germany.

Airbus is an EADS company.

About TAECO

TAECO, a subsidiary of Hong Kong Aircraft Engineering Co. Ltd. (HAECO), provides heavy maintenance on Boeing and Airbus aircraft, including passenger to freighter conversions. It also provides line maintenance at a number of airports in Mainland China. TAECO's website: www.taeco.com. HAECO (Stock Code: 0044) is a public company registered in Hong Kong and traded on The Hong Kong Stock Exchange.