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Korean Air partners with Boeing on Military Aircraft Support Business

Travel News Asia 5 November 2003

Korean Air is partnering with Boeing to establish an Asian Support Center or ASC., the first of its kind in Asia.

Sang-Mook Suh, president of Korean Air Aerospace Business Division and David Spong, President of the Aerospace Support for Boeing Integrated Defense Systems, today signed the teaming agreement at the Korea Air Show in Busan Bexco.

According to the agreement, the two companies will establish a facility in Gimhae Airport near Busan and they will provide front office, customer support, engineering, repair management and comprehensive warehouse service, beginning with components for the CH-47 Chinook helicopter and eventually expanding to other military aircraft. A part of the Boeings military aircraft support business, Boeing Integrated Defense Systems or BIDS, presently is constructing the Global Support Network (GSN) by supporting the military aircraft like CH-47, F-15, and F-18 worldwide.

In addition, the Asian Support Center chose the CH-47 helicopter as the first military aircraft to start the business with, which is in service with the Republic of Korean Army and Air Force and is widely used by other Asian countries including Taiwan and Thailand. Starting with the component repairing and technical support of Chinook helicopters, both companies plan to gradually expand their business areas.

Our agreement with Korean Air provides us with a firm foundation for progress in the increasingly vital military support market and enhances Koreas position as the Logistics Hub of Asia, said David Spong, president of Aerospace Support for Boeing Integrated Defense Systems.

We are pleased to join Boeing in this important effort, said Mr. Suh, president of Korean Air Aerospace Business Division. By establishing this operational base in the Republic of Korea, Boeing will certainly enhance its position in Asia by engaging our people, our technical expertise and our customer knowledge. This agreement represents a plus for Korean Air and the Asian region as well as Boeing.

Boeing opened the Europe Support Center (ESC) in Amsterdam last March for the first time and decided to locate the support center in Asia. Boeing, with the Asian Support Center, plans to provide the services in maintenance components, various technology supports, reconstructs, performance improvements, and technical supports from early this month.

With the establishment of the ASC in Korea, Korean armed forces will be able to receive high quality support service at lowered cost. Korean Air, as an advance Aerospace leader, by signing the agreement, expects an enhanced cooperation with Boeing that will bring great opportunities to expand business on the international military aircraft support market.

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