OREANDA-NEWS. November 15, 2010. Motor Sich, a major producer of aircraft engines in the CIS region, and state-owned enterprise Antonov, the domestic aircraft construction company, have resolved the  contentious outstanding matter of installation of Motor Sich engines on the first 50 aircrafts An-148 produced by Antonov. It was announced by Anatoliy Malysh, the Head of Motor Sich Supervisory Board, on Nov 12. Motor Sich has decided to withdraw its lawsuit from the court, as Antonov had confirmed its obligations.

Millennium Capital considers the news as POSITIVE for MSICH. The news guarantees a leading position in the CIS aircraft engine market for the next 3-5 years. Motor Sich competes with Power Jet, joint venture between Snecma (France) and NPO Saturn (Russia) to supply engines for An-148, the most promising model on the market. Currently, Motor Sich has competitive advantage over Power Jet as all its engines are certified. It is also highly important for Antonov to launch a production chain of in-demand An-148, rather than waste the time being bogged down in litigation.