Wizz Air Sign Compensation Deal with Pratt & Whitney

Wizz Air Holdings Plc, the low cost European airline, on Tuesday said that it has entered into a commercial support agreement with Pratt & Whitney, an American aerospace manufacturer with global service operations, in relation to the continued grounding of aircraft owing to powder metal issues in the PW1100G-JM geared turbofan (GTF) engines.

Wizz Air, the Budapest-based budget airline, is projecting a continued grounding of around 40 Airbus A320NEO family aircraft through F26 due to inspections required on its GTF fleet, the company said in a regulatory filing with the London Stock Exchange (LSE) this morning.

The commercial support from Pratt & Whitney, which extends through the end of 2026, includes both operational support and a compensation package covering the company’s direct costs associated with the aircraft that have been grounded or are expected to be grounded and is on terms consistent with levels of support currently being received by the company.

Wizz Air Holdings continues to take proactive action to mitigate the financial and operational impact of the grounded aircraft and will continue to work with Pratt & Whitney to ensure that aircraft are returned to operation as soon as possible. 

Returns to Growth in 2026

During the financial year 2026, the company expects to return to growth by taking 50 new Airbus A321NEO deliveries and grow seat capacity by about 20%.

These additional latest technology aircraft will take the type’s share of the WIZZ fleet to 77%, as the Company continues its retirement of A320CEO family aircraft, further bolstering its fuel-efficient operations and its market-leading sustainability credentials.

The airline last month reported a 19% fall in pre-tax profit for its half-year results, as a result of the engine inspections begun in September 2023 after the discovery of manufacturing issues.

Operating under RTX Corp, Pratt & Whitney will provide operational support to Wizz Air through to the end of 2026, as well as a compensation package to cover the costs to Wizz Air associated with the grounded aircraft.

Wizz Air, one of the most sustainable low cost European airlines, operates a fleet of over 220 Airbus A320 and A321 aircraft. A team of dedicated aviation professionals delivers superior service and very low fares, making Wizz Air the preferred choice of 62 million passengers in the financial year ended 31 March 2024.