SINGAPORE (April 17): ST Engineering announced that its aerospace arm, ST Aerospace, has won new contracts worth about $1.11 billion in the 1Q of 2017.

These are for services ranging from line and heavy airframe maintenance to component repair and overhaul.

The 1Q contracts also included logistics operation and support for military aircraft, several components repair and overhaul agreements, and contracts for EcoPower engine wash services. Among these contracts were also several multi-year renewal agreements.

The aerospace division redelivered a total of 836 aircraft for airframe maintenance and modification work in 1Q. In addition, a total of 11,021 components, 65 landing gears and 38 engines were processed, while 2,292 engine washes were conducted.

ST Aerospace expanded its MRO capacity in China during the quarter when its airframe MRO station in Guangzhou opened its second hangar which could accommodate two wide-body and two narrow-body aircraft simultaneously. With the new hangar which has 500,000 manhours in capacity when it reaches steady state, the Guangzhou MRO facility will be able to have 1,000,000 manhours in capacity in total.

In Germany, ST Aerospace expanded its capacity in aircraft component manufacturing when its subsidiary Elbe Flugzeugwerke broke ground for a new facility in Kodersdorf, Saxony. When completed, the facility will add 200,000 composite panels production capacity per annum which will help meet rising demand from the growing A320 and A321 Airbus fleet.

As for new capabilities, ST Aerospace made further progress in developing its aircraft seats business when it received AS9100 Quality Management System certification, a Quality Management Systems standard for the aerospace industry, from certification body, DNV GL for its in-house designed aircraft seats.

Shares of ST Engineering closed 5 Singaporean cents lower at S$3.70.