AEROFLOT AND LUFTHANSA TECHNIK EXTEND COOPERATION

Aeroflot Russian Airlines and Lufthansa Technik AG concluded a
long-term agreement for the provision of maintenance and repair
services (MRS) of aircraft components to the Russian aviation company
on improved conditions. Lufthansa Technik became the winner of the
tender for selecting a MRS supplier for aircraft components to all
companies of Aeroflot Group.

The new ten-year-long agreement will be valid from January 2015. It
supersedes the contract that currently exists between the two
companies. Due to effective management of material assets, unique
quality and constant innovation of repair work, as well as individual
approach to the service of customers based on the volume of work,
Lufthansa Technik was able to offer the Russian partner the most
beneficial conditions of cooperation. According to specialists’
estimates it will allow Aeroflot Group to save significant financial
investment within the duration of the agreement due to cost
reduction.

The new agreement also includes clauses on the liability of the
supplier for the quality and promptness of work.

According to the Deputy General Director – the Technical Director of
Aeroflot Igor Parakhin: “Costs of MRS of aircraft components is one
of the key expenses aimed to maintain the air worthiness of aircraft
fleet. The conclusion of the ten-year agreement with Lufthansa
Technik on new conditions means substantial increase of effectiveness
of Aeroflot activities, which is especially important in the
complicated economic situation.”

Lufthansa Technik is a global provider of technical maintenance
services for aerotechnics. The company will provide JSC Aeroflot with
MRS (including access to the pool) of aircraft components for Airbus
A320 and A330, as well as Boeing 737NG.

Senior Vice President of Lufthansa Technik for Marketing and Sales
Wolfgang Weynell is confident that “the new agreement with Aeroflot
provides the leader of the Russian aviation with unparallel quality
of components service and operational reliability of the fleet with
long-term cost reduction for MRS. Aeroflot is our key partner in the
region and its choice confirms the effectiveness of the partnership
with Lufthansa Technik that has been successfully developing for over
20 years.”