OGMA, an Embraer (B3: EMBR3,NYSE: ERJ) Group company, signed a new contract with Pratt & Whitney that reinforces the collaboration between the two companies, which began a year ago. This agreement, signed in the presence of the Prime Minister, António Costa, ensures that Portugal will provide maintenance for the PW1900G engine that currently powers the Embraer E190-E2 and E195-E2 aircraft.
In November of 2020, OGMA was announced as an authorized maintenance facility for Pratt & Whitney, one of the world's largest aircraft engine manufacturers. At that time an agreement was formalized that allowed the Portuguese company to launch industrialization and training to service the Pratt & Whitney GTF™ PW1100G-JM engine. This year, that capability is expanding to include the PW1900G engine.
This was the culmination of a project developed by OGMA, with the support of Embraer, which allowed OGMA to expand its scope of activity in the engine maintenance area, marking the entry of Pratt & Whitney's maintenance, repair and overhaul area in Portugal.
Throughout the project, with a greater impact between 2022 and 2023, the creation of around 300 direct highly skilled jobs is expected. And with this new contract from 2027, it is expected the creation of about 200 more jobs.
OGMA is investing a total of 80 million euros, mostly in the first four years of the project, in a strategic step that will allow the company to broaden its scope of activity in the engine maintenance area, capture new business over the coming decades and triple the company's turnover, reaching the 600 million euro per year level. Over the 30-year term of the contract between OGMA and P&W, more than 13 billion euros in revenue is expected.
Pratt & Whitney's GTF engines constitute a new generation of high bypass turbofan engines, which began operating in 2016, allowing operations with up to 16% reduction in fuel consumption, up to 75% reduction in noise emissions and up to 50% reduction in regulated emissions compared to the previous generation of engines.
"This strengthening of the collaboration with Pratt & Whitney is the recognition of a collaboration that began a year ago between two companies that strive for excellence and quality in their products. It is also an appreciation of the commitment and experience of our teams."
- Alexandre Solis, CEO of OGMA
"We are pleased to see OGMA's role as a member of our GTF MRO network expand to encompass the PW1900G, The relationship between Pratt & Whitney, Embraer, and OGMA has been invaluable, and we are confident that OGMA's skill and experience will be a tremendous asset to the network as we continue to support our growing global fleet of GTF engines with world class service."
- Marc Meredith, executive director of GTF Engine Aftermarket at Pratt & Whitney.
About Pratt & Whitney
Pratt & Whitney is a world leader in the design, manufacture and service of aircraft and helicopter engines, and auxiliary power units.
About Embraer
A global aerospace company headquartered in Brazil, Embraer has businesses in commercial and executive aviation, defense and security, and agricultural aviation. The company designs, develops, manufactures and markets aircraft and systems, providing after-sales service and support to customers. Since its founding in 1969, Embraer has delivered more than 8,000 aircraft. On average, every 10 seconds an Embraer aircraft takes off somewhere in the world, carrying more than 145 million passengers a year. Embraer is the largest manufacturer of commercial jets up to 150 seats and the largest exporter of high value-added products in Brazil. The company owns industrial units, offices, service centers and component distribution centers, among other activities, in the Americas, Africa, Asia and Europe.
About OGMA - Indústria Aeronáutica de Portugal S.A.
Founded on June 29, 1918, OGMA - Indústria Aeronáutica de Portugal S.A. celebrated 100 years of existence in 2018. The company bases its activity in two business areas - Maintenance, Repair and Overhaul of Aircraft and of Civil Aviation and Defense Engines and Components, and Manufacture and Assembly of Aero-structures for civil and military aircraft. Since its privatization in 2005, OGMA is 65% owned by Airholding SGPS (100% EMBRAER) and 35% owned by idD Portugal Defence (100% Portuguese Government).