Boeing plans to grow its aftermarket presence at Gatwick, where several GoldCare customers operate. Jeffrey Milstein for Gatwick Airport
Boeing plans to grow its aftermarket presence at Gatwick, where several GoldCare customers operate.

Boeing Bets On UK For GoldCare Expansion

Boeing plans to open a maintenance facility at London airport, catering to GoldCare clients.

Boeing is eyeing the expansion of its GoldCare aftermarket services offering in Europe after announcing plans to build a new maintenance facility at London Gatwick Airport in a multimillion-pound investment.

The site, which is subject to approval from local authorities, would provide support for European airline customers of the GoldCare program. If plans are approved, construction on the hangar at the UK’s second-busiest airport is penciled in to start later this year, with a projected opening date of 2018.

Boeing says once it is operational, the facility will create up to 100 jobs across the company and its suppliers in the Gatwick area. “This is an important investment for Boeing as we commit still further to our customers in the UK and across the European region,” says Mike Fleming, vice president of fleet services, Boeing Commercial Aviation Services.

The U.S. aircraft manufacturer’s Gatwick announcement follows an investment commitment made at the 2016 Farnborough Airshow targeting growth and the creation of up to 2,000 new jobs across its UK commercial and defense operations.

Coinciding with its UK expansion, Boeing also has gradually built up its GoldCare aftermarket presence in the country, which has become a strong base for the program in Europe.

Before the Gatwick announcement, Boeing opened a GoldCare hangar in Frimley, England, strategically located for target airline customers in both Britain and Europe. Its customer base in the UK also has grown, with a record $3 billion GoldCare deal signed last summer between Boeing and budget carrier Norwegian Air Shuttle, running until 2035 and covering Boeing 737 MAX and Boeing 787 aircraft.

The program has more than 60 airline customers worldwide and is also supported by a number of global MRO partners. Approved European providers include UK-based maintenance provider Monarch Aircraft Engineering, which runs a line station at Gatwick, and Germany’s Nayak Aircraft Services, which has provided GoldCare services on 737 and 787 aircraft since 2011.

Boeing is anticipating strong growth in its services business in the next 10 years. In November 2016, CEO Dennis Muilenburg said he expects service revenues across the commercial, defense and space segments to reach up to $50 billion from the current level of $15 billion.

To stimulate this growth, Boeing established new services arm Boeing Global Services, to be led by Stanley Deal. In another move deemed to be targeting aftermarket growth, it named Kevin McAllister, head of GE Aviation’s services unit, as the successor to Ray Conner as president and CEO of its commercial airplanes division.

TAGS: Europe
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