PRESTWICK, Scotland, Feb. 27 /PRNewswire/ -- GE Caledonian, a wholly owned subsidiary of the General Electric Company , announced a $55 million investment in its Prestwick operation in Ayrshire, Scotland. The move will safeguard 300 jobs in the current workforce and prepare the facility for maintenance and overhaul of the company's next generation of jet engines, which will power the new Boeing 787 Dreamliner and 747-8 aircraft.
GE Caledonian's Prestwick site currently overhauls and repairs aero engines and component parts, specializing in large engines for commercial aircraft such as GE's successful CF6 engine.
The new generation GEnx power plant, scheduled to succeed the CF6 engine, is already designated for use in the Boeing 787 Dreamliner aircraft and the new stretched version of the Boeing 747 freighter. To maintain and overhaul these engines, GE plans to construct a new 'test cell' building at its Prestwick site to test the GEnx engine. The site is capable of withstanding the engine's output of 84,000lbs of thrust.
Managing Director of GE Caledonian David Crews said; "This is very positive news for GE Caledonian as it represents a significant investment in our site over the next five years, providing GE Caledonian with a new generation engine. It will replace the CF6 engine which has been the mainstay of the company for many years."
The new investment is supported by a Regional Selective Assistance grant of $11 million. Announcing the news, the Scottish Deputy Minister for Enterprise Allan Wilson said; "This is excellent news for the workforce at GE Caledonian and for Ayrshire. This new investment will safeguard 300 jobs and keep Ayrshire at the forefront of leading aerospace maintenance and overhaul hubs against fierce global competition. I congratulate everyone at GE Caledonian, Scottish Enterprise Ayrshire and Scottish Development International for working so hard to secure this project for Scotland."
Martin Togneri, Chief Executive of Scottish Development International said; "Aerospace is a truly global business and Scotland's reputation for skills, capability and innovation is helping us to stay ahead in this demanding and competitive sector. Making sure we are equipped to deal with the evolution in engine design is paramount to the country's future success in this industry and I applaud the workforce at GE Caledonian for their determination to make this happen."
Lorna Jack, US based president of the Americas for Scottish Development International, said; "GE Caledonian's announcement to continue its leading work in maintenance repair and overhaul for the GEnx engine is a great win for Scotland, coming only four days after the engine's first ever flight in California. The renewed investment in the Prestwick facility is yet another example of Scotland's commitment to the global aerospace industry."
About Scottish Development International
Scottish Development International works to attract inward investment and knowledge to Scotland in order to help the economy grow. SDI also works to help Scottish companies do more business overseas and to promote Scotland as a good place to live, work and do business. It is jointly operated by the Scottish Executive and Scottish Enterprise. Its work is guided by the global connections theme of the Scottish Executive's Smart Successful Scotland strategy for economic development in Scotland. http://www.sdi.co.uk/
About GE Caledonian
GE Aviation, an operating unit of General Electric Company , is one of the world's leading manufacturers of jet engines for civil and military aircraft. GE also is a world-leading provider of maintenance and support services for jet engines.
About Regional Selective Assistance
Regional Selective Assistance (RSA) is the main national scheme of financial assistance to industry. It provides discretionary grants for investment projects that will create or safeguard jobs in Assisted Areas -- areas designated for regional aid under European community law. The scheme is administered by the Innovation and Investments Grants unit of the Scottish Executive. Payment of RSA is made in installments, typically over several years, provided that job and project expenditure targets are met. The amount quoted above represent the maximum grant potentially payable if the project is satisfactorily completed. Job numbers are based on the firms' forecast at the time a grant is offered, and are subject to change depending on future economic conditions and other factors affecting the business concerned. For further information on the scheme, go to http://www.rsascotland.gov.uk/.
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