Boeing, GE say get U.S. license to sell spare parts to Iran
Send a link to a friend
[April 05, 2014]
By Andrea Shalal and Tim Hepher
WASHINGTON / PARIS (Reuters) — Boeing Co
<BA.N>, the world's biggest airplane maker, and engine maker General
Electric Co <GE.N> said on Friday they had received licenses from
the U.S. Treasury Department to export certain spare parts for
commercial aircraft to Iran under a temporary sanctions relief deal
that began in January.
GE spokesman Rick Kennedy said the Treasury had approved the
company's application to service 18 engines sold to Iran in the late
1970s. They will be serviced at facilities owned by GE or Germany's
MTU Aero Engines <MTXGn.DE>, which is licensed to do the work.
He said GE officials would meet with officials from Iran flag
carrier Iranair and MTU in Istanbul next week to discuss Iran's
A Boeing spokesman said his company received the license this week
and would now contact officials in Iran to determine which parts
He said the license covered only components needed to ensure
continued safe flight operations of older Boeing planes sold to Iran
before the 1979 revolution, and did not allow any discussions about
sales of new aircraft to Iran.
"It's very limited," said the spokesman.
The sales would be the first acknowledged dealings between U.S.
aerospace companies and Iran since the 1979 U.S. hostage crisis led
to U.S. sanctions that were later broadened during the dispute over
Iran's nuclear activities.
Reuters reported in February that both Boeing and GE had applied for
permission to export aircraft parts to Iran during a six-month
window agreed by Iran and six world powers in November.
Iran agreed in November to curtail its nuclear activities for six
months from January 20 in exchange for sanctions relief from
Britain, China, France, Germany, Russia and the United States. The
deal provides for the sale of parts to flag carrier Iranair, the
fleet of which includes vintage Boeing and Airbus <AIR.PA> jetliners
delivered as long ago as 1978.
A spokesperson for the Treasury, which enforces international
sanctions, said the department does not comment on license
applications or requests.
[to top of second column]
Iran says the sanctions have prevented it from renewing its fleet,
forcing it to use sub-standard Russian aircraft and to patch up jets
that have long since exceed their normal years of service. Since
1990 it has had more than 200 accidents, causing more than 2,000
deaths, according to official news agency IRNA.
Boeing said the license was granted under the temporary sanctions
relief deal, and was aimed at helping improve the safety of Iran's
"We take the safety of flight issue very seriously," said the Boeing
spokesman. He had no immediate details on how many parts would be
sold to Iran, or their potential value.
Analysts say the sales could help American companies position
themselves for potential sales of new aircraft if a broader
softening of sanctions is agreed.
A senior Iranian official told Reuters in November that Iran could
require between 250 and 400 jets if and when sanctions are lifted
(Additional reporting by Jason Lange in Washington and Babak
Dehghanpisheh in Beirut; editing by Sandra Maler, Bernard Orr)
[© 2014 Thomson Reuters. All rights
Copyright 2014 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.