CIT and Pratt & Whitney Finalize Agreement For PurePower® PW1100G-JM Engines For Airbus A320neo Family Aircraft
CIT Group Inc. (NYSE: CIT), a global leader in transportation finance, and Pratt & Whitney, a division of United Technologies Corp. (NYSE: UTX), today announced from the Farnborough International Air Show that they signed a definitive agreement for 60 PurePower PW1100G engines for CIT’s order of Airbus A320neo family aircraft. This agreement follows the memorandum of understanding previously announced at the Paris Air Show in 2011. Deliveries are scheduled to start in 2016.
“Our customers tell us they want aircraft that help them dramatically reduce operating costs” said Jeff Knittel, president of Transportation Finance at CIT. “The fuel-efficient PurePower® engines satisfy this customer demand while expanding the CIT portfolio with advanced technology.”
Each CIT Aerospace Pratt & Whitney-powered neo family aircraft will be powered by two PurePower PW1100G-JM engines with benefits including double-digit reductions in fuel burn, environmental emissions, engine noise and operating costs when compared with today’s engines.
“CIT is one of the leading leasing companies in commercial aviation and we are very proud that they chose to invest in the new PurePower engine family,” said Todd Kallman, Pratt & Whitney Commercial Engines president. “With fuel now accounting for around 40 percent of an airline’s operating expenses, PurePower engines can save CIT customers approximately $1 million per aircraft per year in fuel costs alone.”
The PurePower engine uses an advanced gear system allowing the engine’s fan to operate at a different speed than the low-pressure compressor and turbine. The combination of the gear system and an all-new advanced core delivers the fuel efficiency and environmental benefits.
CIT Aerospace provides leasing and financing packages – including operating leases and structuring and fleet management services – for commercial airlines worldwide. CIT Aerospace owns or finances a fleet of more than 325 commercial aircraft and serves approximately 115 customers in 55 countries.
Pratt & Whitney is a world leader in the design, manufacture and service of aircraft engines, space propulsion systems and industrial gas turbines. United Technologies, based in Hartford, Conn., is a diversified company providing high technology products and services to the global aerospace and building industries. Please visit www.utcaero.com for news from Pratt & Whitney and United Technologies at the Farnborough Air Show 2012.
About CIT Aerospace
CIT Aerospace provides financing solutions to a broad spectrum of the global aerospace value chain ranging from operators of commercial and business aircraft to manufacturers and suppliers in the aerospace and defense industries, as well as financial institutions. www.cit.com/aerospace
Founded in 1908, CIT (NYSE: CIT) is a bank holding company with more than $34 billion in financing and leasing assets. A member of the Fortune 500, it provides financing and leasing capital to its more than one million small business and middle market clients and their customers across more than 30 industries. CIT maintains leadership positions in small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and global vendor finance. CIT also operates CIT Bank (Member FDIC), BankOnCIT.com, its primary bank subsidiary, which offers a suite of online savings options designed to help customers achieve a range of financial goals. www.cit.com
This release includes "forward looking statements" concerning future business opportunities and other matters involving this engine that are subject to risks and uncertainties. Important factors that could cause actual results to differ materially from those anticipated or implied in forward looking statements include changes in the health of the global economy and the strength of end market demand in the aerospace industry; as well as company specific items including the ability to achieve cost reductions at planned levels; challenges in the design, development, production and support of advanced technologies including this engine, and new products including the engine discussed in this press release; and delays and disruption in delivery of materials and services from suppliers. For information identifying other important economic, political, regulatory, legal, technological, competitive and other uncertainties, see UTC's SEC filings as submitted from time to time, including but not limited to, the information included in UTC's 10-K and 10-Q Reports under the headings "Business," "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Cautionary Note Concerning Factors that May Affect Future Results," as well as the information included in UTC's Current Reports on Form 8-K.