Vietnam’s VietJet Air and US-based CFM International have finalised an agreement for the airline to purchase 200 LEAP-1B engines to power 100 additional Boeing 737 MAX aircraft, along with an extension of the airline’s current Rate Per Flight Hour (RPFH) agreement.

The agreement, which includes 15 spare engines, is valued at $5.3 billion.

RPFH agreements are part of CFM’s portfolio of flexible after-market support options. Throughout the term of the 12-year agreement, CFM guarantees maintenance costs for its engines on a dollar per engine flight hour basis.

Based in Ho Chi Minh City, Vietjet has been a CFM customer since it commenced operations in late 2011 with the CFM56 engine; it currently operates a fleet of 65 CFM-powered aircraft (www.cfmaeroengines.com).

Madame Thao Nguyen Thi Phuong Thao, CEO of VietJet Air, said: “We have been very happy with our CFM56 fleet, and we look forward to introducing the new LEAP-1B engine later this year.

“This RPFH agreement will be an important element in keeping our operating costs predictable, which puts us in a much better position to plan our operations and implement our growth strategy.”

Gaël Méheust, president and CEO of CFM International said: “The LEAP-1B has been doing extremely well in commercial service for nearly two years. We believe it will prove to be an important asset for VietJet Air over the long term.”