Appendix 1: Supplementary tables Table A1: Relevant market for large regional aircraft Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into service Passengers IFR range (nM) MTOW (kg) Aircraft model Engine model Entry into Service Passengers IFR range (nM) MTOW (kg) HON GE RR P&W Avro RJ70 4x LF 507 1993 82 1440 43090 Avro RJ85 4x LF 507 1992 100 1150 44000 Avro RJ100 4x LF 507 1992 122 1150 46040 Avro RJX 4x AS977 - (*) 100 1630 37970 CRJ700 2x CF34-8C 2001 78 1434 32995 CRJ900 2x CF34-8C 2003 (*) 90 1593 36514 E170 2x CF34-8E 2004 (*) 108 2100 35990 E190-100 2x CF34-10E 2005 (*) 108 2400 47790 E190-200 2x CF34-10E 2006 (*) 118 2200 48790 728JET 2x CF34-8D - (*) 85 1781 928JET 2x CF34-10D Fokker 70 2x Tay 620 1994 80 1085 34020 Fokker 100 2x Tay 650 1988 107 1680 43090 Q400 2x PW150A 2000 78 1362 29257 ATR 72-500 2x PW127 1997 78 890 22500 MTOW: Maximum take-off weight IFR: Instrument Flight Rules nM: Nautical Miles (*) Aircraft were not yet in service at time of EC decision. Source: - (*) 110 1925 - Own compilation based on manufacturers’ data. Table A2: Relevant market for midsize corporate jets HON GE RR P&W Aircraft model Falcon 50EX CL604 Citation X Falcon 2000EX Engine model Entry into service 3x HON TFE731 1979 2x GE CF34 1996 2x RR AE3007 1996 2x PW308C 2003 (*) Passengers 8 – 19 9 - 19 8 - 12 8 - 19 IFR range (nM) 3280 4073 3210 3800 MTOW (kg) 18008 21591 16325 18461 List price 2001 (mUS$) 21.5 (#) 21.8 18.6 24.3 (#) Aircraft model Falcon 2000 Legacy 600 Hawker Horizon Engine model Entry into service 2x GE/HON CFE738 1995 2x RR AE3007 2003 (*) 2x PW308A 2004 (*) Passengers 8 - 19 10 8 - 14 IFR range (nM) 3120 3000 3400 MTOW (kg) 16238 20000 16330 List price 2001 (mUS$) 24.3 (#) 16.31 16.3 (#) Aircraft model Falcon 900EX Engine model Entry into service 3x HON TFE731 1996 Passengers 8 – 19 IFR range (nM) 4500 MTOW (kg) 21900 List Price 2001 (mUS$) 21.5 (#) Aircraft model Entry into service Continental CL300 2x HON AS907 2004 (*) Passengers 8 Engine model IFR range (nM) 3100 MTOW (kg) 17010 List price 2001 (mUS$) 14.7 MTOW: Maximum take-off weight IFR: Instrument Flight Rules nM: Nautical Miles (*) Aircraft were not yet in service at time of EC decision (#) Estimated price Source: Own compilation based on manufacturers’ data and Sarsfield 2001. Table A3: Relevant market for small marine gas turbines Aero derivative of Continuous power (MW) SFC (lb/shp-hr) Output speed (rpm) Weight (lbs/kg) Length (m) Height (m) Military applications Civil applications Aero derivative of Continuous power (MW) SFC (s/shp-hr) Output speed (rpm) Weight (lbs/kg) Length (m) Height (m) Applications HON TF40 TF Series 2.9 0.491 15.4 1,325/602 1.32 1.05 U.S. Navy: Landing Craft, Air Cushion (LCAC) Finnish Navy: Aker Finnyards T2000 Hovercraft HON TF50A TF Series 3.8 0.455 16 1,565/710 1.40 1.05 Swedish Navy: Visby class stealth corvette GE LM500 CF34 4.5 0.443 7 6,173/2,779 3.66 1.65 U.S. Navy: DD(X) Program Stockholm class patrol boats Danish Navy: Stanflex 300 multirole vessels Malmö class patrol boats Japanese Navy: Sparviero class PG hydrofoils Hong Kong fast ferry hydrofoil Fast ferries Mega-yachts RR 570-KF T56 5.7 0.417 Unknown 1,615/733 1.77 0.92 Swedish Navy: Stockholm class vessels Canadian Navy: Iroqois class destroyers P&WC ST30/40 PW150A 4.0 0.430 14,875 1,157/525 1.70 0.97 Royal Norwegian Navy: Skjold class Fast patrol boats ZM UGT 3000 Unknown 3.4 Unknown 9,700 5,511/2,500 2.50 1.25 CIS Navy ships classes: DC76 DM76 DR76 HON = Honeywell, RR = Rolls-Royce, P&W C=Pratt & W hitney Canada, ZM = Zorya-Mashproekt. Source: Own compilation based on manufacturers’ data. Table A4: Tenders won by GE-powered large regional aircraft 1997-2001 Airline Country Aircraft Aircraft model Order year manufacturer Brit Air France Bombardier CRJ-701 1997 Maersk Air UK United Kingdom Bombardier CRJ-701ER 1997 American Eagle United States Bombardier CRJ-701ER 1998 United States Bombardier CRJ-701ER 1998 Airlines Comair United States Bombardier CRJ-701ER 1998 Horizon Air United States Bombardier CRJ-701ER 1998 Lufthansa Germany Bombardier CRJ-701ER 1998 Proteus Airlines France Fairchild-Dornier 728-100 1998 Crossair Switzerland Embraer 170-100LR 1999 Lufthansa Germany Fairchild-Dornier 728-100 1999 France Embraer 170-100 1999 China Bombardier CRJ-701ER 2000 Air Caraibes Guadeloupe Embraer 170-100LR 2001 Cameroon Cameroon Bombardier CRJ-701ER 2001 Mesa Air Group United States Bombardier CRJ-900 2001 Mesa Air Group United States Bombardier CRJ-701ER 2001 Airlines Atlantic Southeast Cityline Cityline Regional Airlines Shandong Airlines Airlines Orders until 2001, without GECAS orders in 2000. Source: AvSoft, ACAS database. Table A5: Tenders won by Honeywell-powered large regional aircraft 1997-2001 Airline Country Aircraft Aircraft model Order year manufacturer Cityflyer United Kingdom BAe 146-RJ100 1997 Germany BAe 146-RJ85 1997 United States BAe 146-RJ85 1997 Crossair Switzerland BAe 146-RJ100 1997 Park Express Turkey BAe 146-RJ100 1998 Flightlease Switzerland BAe 146-RJ100 1998 Aegean Aviation Greece BAe 146-RJ100 1999 Druk Air Bhutan BAe 146-RJX85 2000 Air Botnia Finland BAe 146-RJ85 2000 British European United Kingdom BAe 146-RJX100 2001 Bahrain Amiri Bahrain BAe 146-RJ85 2001 Express Lufthansa Cityline Northwest Airlines Flight Aircraft sales since market entr y of GE -powered aircraft in 1997. Source: AvSoft, ACAS database. Appendix 2: Typical incentives offered by aircraft engine manufacturers to aircraft operators Guarantees by aircraft engine manufacturers to aircraft operators Engine, nacelle and parts service policy Credit allowances which will be granted should the engine, an engine part or the nacelle suffer a failure or requires replacement due to a campaign change recommended by the manufacturer within a defined number of flight hours. Warranty for special tools and ground equipment If it is shown that a defect in material or workmanship has become apparent in any item of special tooling and ground equipment within a defined timeframe from the date of receipt of such item by the operator, then the aircraft manufacturer will either repair or exchange such item free of charge. Engine reliability guarantee The cumulative engine shop visit rate will not exceed a guaranteed rate of a defined number of shop visits per 1000 eligible engine flight hours. Delay and cancellation guarantee The engine manufacturer assures the aircraft operator that by the end of a defined period commencing with the operator’s first commercial operation of aircraft powered by its engines, the cumulative engine-caused delay and cancellation rate will not exceed a guaranteed rate of a defined number of delays/cancellations per 100 aircraft departures. Inflight shutdown guarantee The engine manufacturer assures the aircraft operator that by the end of a defined period commencing with the operator’s first commercial operation of aircraft powered by its engines, the cumulative engine inflight shutdown rate will not exceed a guaranteed rate of a defined number of inflight shutdowns per 1000 eligible engine flight hours. Fuel consumption retention guarantee The engine manufacturer assures the aircraft operator that during the defined period commencing with the operator’s first commercial operation of aircraft powered by its engines, the fleet average cruise fuel consumption for eligible engines will not have increased by more than a guaranteed rate of a defined percentage. Exhaust gas temperature guarantee The engine manufacturer assures the aircraft operator that during the first defined number of hours of operation of each engine, the maximum stabilized takeoff exhaust gas temperature will not exceed the certified limit. The certified limit is exceeded if the engine will not achieve the specified engine pressure ratio for takeoff thrust without exceeding the certified limit for its exhaust gas temperature. Maintenance cost guarantee The engine manufacturer assures the aircraft operator that during the defined period commencing with the operator’s first commercial operation of aircraft powered by its engines, the cumulative cost of eligible maintenance for eligible engines will not, subject to escalation, exceed a guaranteed cost rate of a defined US Dollar amount per eligible engine flight hour. Credits offered by aircraft engine manufacturers to aircraft operators Fleet introductory or expansion assistance credit To assist the operator with the introduction/expansion of its aircraft fleet, the engine manufacturer will issue a credit to the operator in a defined US Dollar amount for each of the aircraft (powered by the engine manufacturer’s engines) purchased by the operator. Each such credit may be used by the operator towards the purchase of engine spare parts, tooling and services from the engine manufacturer, or can be assigned to the aircraft manufacturer to be applied toward the payment for the propulsion systems for such aircraft. Spare parts/Spare engine assistance credit and payment terms Wording is similar to above sample clauses. Source: Compiled from contract and side letters regarding JetBlue’s purchase of IAE V2500 powered A320 aircraft (on file with the author).