CFM International will provide rate per flight hour support on the Leap-1A engines powering Arkia Israeli Airlines’ fleet of Airbus A321neo aircraft.
The contract value is valued at $200 million and will run for a period of 15 years.
The support follows on from the announcement of the engine order by Arkia in April.
The order for the new narrowbodies was first confirmed in the summer of 2012.
Tel Aviv-based Arkia will be the first Israeli carrier to run the Leap enginee, CFM’s successor the CFM56 family which entered into service in August 2016.
Nir Dagan, president and CEO of Arkia, said: “Being able to have predictable maintenance costs is an important element in our long-term strategy and we are happy to have chosen CFM as our partner.”