HAECO signs new 10-year agreement with Cathay Pacific

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Hong Kong Aircraft Engineering Company (HAECO) has signed a new 10 year framework agreement with Cathay Pacific Airways covering maintenance and other services across its group-wide fleet.

Subject to approval from both Cathay and HAECO’s shareholders, the agreement will result in HAECO providing aircraft and engine MRO, line maintenance, parts and components to the airline, as well as Dragonair and Air Hong Kong out to 31 December 2022. It follows a similar agreement signed between the two companies in 2007.

The agreement sets out monetary caps for services based on the projected fleets of the three carriers over the next 10 years, HAECO says.

HAECO notes that in 2012 its sales to the Cathay Pacific group accounted for 42% of its group turnover. Both companies are part of the Swire Group.