Aermacchi, Hurel-Dubois form JV

June 18th, 1999

Hurel-Dubois, an Anglo-French company, and Aermacchi, an Italian company, signed an agreement at the Paris Air Show to form MHD, a 50/50Joint Venture company, bringing together their complementary strengths and expertise in the engine nacelle industry.

MHD will provide programme coordination between the two partners, and will act as single interface to customers. MHD will thus be responsible for all aspects of nacelle integration and production, from programme management to contract administration and customer support.

MHD will begin its operation on July, 1st, 1999, at offices located at Hurel-Dubois' headquarters in Meudon, near Paris, France. Michel Abella of Hurel-Dubois has been nominated President of MHD. Firm aircraft orders represent already more than 300 nacelles as MHD comes into being.

One of the first new orders will be to provide General Electric with integrated nacelle/thrust reverser systems for the CF34-8E propulsion systems which have been chosen for the Embraer ERJ 170 aircraft. MHD is also supplying the nacelle for Fairchild Dornier 728JET aircraft.

ERJ 170 family nacelles are separate flow nacelles, with non-conventional cascade thrust reverser. Under the work sharing agreement between the two companies, Aermacchi will provide the Inlet, Fan Cowl and Engine Build-Up, and Hurel-Dubois the Thrust Reverser and the Aft Core Cowl.

Commenting on Embraer's announcement, Michel Abella welcomed this new customer. "We are very pleased to share in the success of such leading companies as Embraer and GE. This second aircraft application strengthens the business plan of MHD, which now accounts for more than a billion dollars in sales, based on projected aircraft deliveries. Development work for 728JET nacelles is well underway, with first nacelle delivery scheduled mid-2000. Development work for the ERJ 170 shall begin in the coming weeks.

Hurel-Dubois and Aermacchi, which had been selected earlier this year respectively for the thrust reverser and the air inlet of PW6000 powered A318 aircraft, are now involved in the development of the nacelles of aircraft representing more than two thirds of the fast growing regional jet market segment.

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