Boeing and Air France Industries Launch 777 Component Services Program
Air Austral first to sign up for service

The Boeing Company [NYSE: BA] and Air France Industries have formed a 777 Component Services Program to give airlines worldwide fast access to critical components while significantly reducing inventory holding, repair and administrative costs. Air Austral is the first 777 operator to sign up for the new service.

Offered through Boeing Commercial Aviation Services and Air France Industries, the program allows participating airlines to shrink their inventory of dispatch critical line replaceable units (LRUs). Holding these high-value LRUs, such as avionics boxes and precision mechanical assemblies, in inventory can cost an airline millions of dollars annually. Savings from the program can be as much as 30 percent of an airline's component repair and inventory costs.

Under the Component Services Program, a replacement part will be sent within one day of receiving an order. Boeing or Air France Industries then will restore the faulty unit to airworthy condition, upgrade it to reflect the latest design changes and return it to the exchange inventory pool. Customers sign up for a term of up to 10 years, paying a per-flight-hour rate that covers a potential exchange of approximately 300 different LRUs.

"We are very pleased to be teaming with Air France Industries to offer this new service to our airline customers," said Lou Mancini, vice president of Maintenance Services for Boeing Commercial Aviation Services. "The 777 Component Services Program will help airlines reduce inventory and repair expenses and also stabilize long-term maintenance budget planning."

"The program gives 777 operators a competitive advantage in terms of operational support," said Bruno Delile, senior vice president of Materials & Services at Air France Industries. "Working together, Boeing and Air France Industries have developed an innovative and flexible support solution that will simplify and streamline operational processes for airline customers. It is designed to improve airplane dispatch reliability and reduce operating costs."

Boeing Commercial Aviation Services, a unit of Boeing Commercial Airplanes, offers a broad range of products and services to help airlines generate more revenues flying hours, add value to the airplane life cycle and enhance aviation safety.

Air France Industries, one of the world's largest MRO providers, also is an acknowledged leader in 777 support services. With approximately 30 aircraft maintained at present, Air France Industries is preparing to support a fleet of more than 50 777s within the next five years.

For further information:
Jill Langer
Anne Leroy-Sanguinetti
Air France Industries
00 33 1 4175 9620