The head of the world's largest international carrier was speaking in the midst of negotiations to buy dozens of Airbus A350-1000 jets powered by Rolls-Royce's XWB-97 engine, which have foundered for now over maintenance and pricing issues.
I happen to be a service," Emirates President Tim Clark told reporters this week.
INSURANCE-TYPE DEALSWhile the visible face of engine makers is technology, the way they generate much of their income resembles insurance.
Rather than charge for repairs as they arise, engine makers increasingly strike long-term deals priced by the flight hour, agreeing to swallow the cost of planned and unexpected outages.
To engine makers it means generating cash as soon as the engine enters service rather than waiting for shop visits.
Persons:
Denis Balibouse, Tim Clark, Royce's, Larry Culp, Tufan Erginbilgic, Royce, Clark, Rolls, Nick Cunningham, Tim Hepher, Alexander Cornwell, Pesha Magid, Sarah Young, Rajesh Kumar Singh, David Evans
Organizations:
Boeing, Emirates, Cointrin Airport, REUTERS, Rights, Airlines, Royce, Airbus, GE Aerospace, Reuters, GE, Agency Partners, Thomson
Locations:
Cointrin, Geneva, Switzerland, Rights DUBAI, Dubai, India, Gulf