IAE International Aero Engines and China Southern Airlines announced Wednesday that China Southern Airlines had chosen the V2500 to power 50 Airbus A320 aircraft and had also inked a long-term after-sales agreement.

The deal is worth more than 1.35 billion U.S. dollars to IAE. The V2500 service agreement will be extended to cover the airline's existing fleet of V2500-powered aircraft.

IAE China Vice President Craig Welsh said: "The Chinese domestic aviation market is one of the fastest-growing in the world. Together with its subsidiaries, China Southern Airlines is playing a key role in that growth and IAE, in turn, is delighted to be able to play a significant part in this ongoing success story."

China Southern Airlines has been using V2500 engines since 1996. It currently operates 74 V2500-powered aircraft including the Boeing MD90 and Airbus A319, A320 and A321.

China Southern Airlines has been the number one airline in China for the past 27 years and the only Chinese airline which ranks among the top ten carriers in the world. It has the largest fleet, services the most routes and transports the most passengers in China. In 2005, it provided services for 44.12 million passengers.

The V2500-A5, which is capable of delivering 22,000-33,000lb of thrust, powers the Airbus A319, A320 and A321 family of aircraft as well as the A319 Corporate Jet. IAE is a multinational aero engine consortium whose shareholders are Pratt & Whitney, Rolls-Royce, the Japanese Aero Engines Corporation and MTU Aero Engines. More than 1,300 V2500-powered aircraft have been delivered and the worldwide fleet has accumulated over 40 million flying hours.

Source: Xinhua