MRO & Manufacturing
Willis Aviation & Jet2.com Expand MRO Partnership at Teesside Airport
Strategic expansion of aircraft maintenance collaboration creates jobs, boosts UK MRO sector growth at Teesside’s Freeport hub.

Expansion of Aircraft Maintenance Partnership Between Willis Aviation Services and Jet2.com at Teesside Airport
The strategic expansion of the maintenance partnership between Willis Aviation Services Limited (WASL) and Jet2.com represents a significant development in the UK’s aviation maintenance, repair, and overhaul (MRO) sector. Announced on July 9, 2025, this agreement commits Jet2.com to two base maintenance lines for the 2025-2026 season at WASL’s new facility in Teesside International Airport, doubling the capacity from the previous single-line arrangement. This collaboration underscores the growing demand for MRO services in Europe, driven by fleet expansions and aging aircraft, while highlighting Teesside’s emergence as a key aviation hub.
The partnership leverages Willis Lease Finance Corporation’s (WLFC) vertically integrated leasing platform and Jet2.com’s position as the UK’s third-largest airline, creating high-skilled jobs and supporting regional economic growth in Northeast England.
Background of Willis Lease Finance Corporation and WASL
Willis Lease Finance Corporation (WLFC), founded in 1985 and publicly listed on NASDAQ in 1996, has established a 39-year track record of consistent profitability through its aircraft engine leasing and aviation services platform. The company operates a vertically integrated model combining leasing, trading, and maintenance services, generating revenue primarily through lease rents and maintenance reserves. As of March 2025, WLFC’s portfolio was valued at $2.82 billion, comprising 347 engines, 15 aircraft, and related equipment, with a utilization rate of 86.4%.
In March 2022, WLFC incorporated Willis Aviation Services Limited (WASL) as a UK-based subsidiary to expand its MRO capabilities. Headquartered at Hangar 2 in Teesside International Airport, WASL focuses on base maintenance, engine overhaul, and aircraft disassembly services. This move aligned with WLFC’s services-enhanced leasing strategy, which aims to control asset lifecycles through integrated maintenance solutions while reducing reliance on original equipment manufacturers.
WASL’s establishment coincided with Teesside Airport’s redevelopment and its designation as a Freeport in 2021. The Freeport status provides tax and customs advantages to aviation businesses operating within its boundaries, enhancing the region’s attractiveness for MRO investment.
Jet2.com: A Leading UK Leisure Airline
Jet2.com is the UK’s third-largest airline, operating a fleet of Boeing 737 and Airbus A320 family aircraft from 13 UK bases. Known for its focus on leisure travel, Jet2.com serves over 75 destinations across Europe and beyond. The airline has expanded operations in recent years, including the addition of new bases at Bournemouth and Liverpool John Lennon airports.
The airline’s growth has increased its demand for regular and reliable maintenance services. Jet2.com’s engineering strategy is centered on safety, reliability, and operational excellence. According to Chris Hubbard, Director of Engineering & Maintenance, Jet2.com maintains “the highest standards of safety, operational excellence and reliability for our customers.”
Prior to the WASL partnership, Jet2.com relied on a network of MRO providers across the UK and Europe. However, consolidating maintenance activities at Teesside offers logistical advantages and reduces aircraft downtime, especially for its northern UK bases. The expansion of the partnership with WASL reflects Jet2.com’s confidence in the quality and reliability of WASL’s services.
Teesside International Airport as an Emerging MRO Hub
Teesside International Airport has undergone significant redevelopment since returning to public ownership in 2019. A £25 million investment into an “Aviation Village” includes five hangars, a fixed-base operation (FBO) terminal, and supporting infrastructure such as a new link road to the A67. These developments are designed to position the airport as a comprehensive aviation services hub.
WASL’s new twin-bay hangar at Teesside, measuring 100 meters by 50 meters, is under construction and will accommodate Boeing 737 and Airbus A320 family aircraft. The facility is expected to be completed in 2025 and will support both current and next-generation aircraft, including the 737 MAX. This expansion is part of a broader effort to attract aviation businesses to the region, including Airborne Colours and Draken.
Teesside Airport’s Freeport status enhances its competitiveness by offering customs and tax benefits. Its location in Northeast England provides geographic advantages for serving airlines based in northern UK cities. Phil Forster, Managing Director of Teesside Airport, has emphasized the airport’s strategic position and its potential to become a key MRO center.
Details of the Expanded Maintenance Agreement
The July 2025 agreement between WASL and Jet2.com confirms a commitment to two base maintenance lines for the 2025–2026 season. This expansion builds on the successful completion of a single maintenance line earlier in the year. The services will be carried out at WASL’s new facility at Teesside International Airport and will include heavy airframe checks, transitional maintenance, and aircraft painting.
Jet2.com cited WASL’s performance and reliability as key factors in expanding the partnership. The collaboration allows Jet2.com to centralize a significant portion of its maintenance operations, improving efficiency and reducing turnaround times. For WASL, the agreement strengthens its position in the UK MRO market and supports its long-term growth strategy.
WLFC’s vertically integrated model enhances the value proposition of the partnership. By combining leasing, maintenance, and asset management, WLFC provides a comprehensive solution to airline customers. The financial impact of this strategy is reflected in WLFC’s Q1 2025 results, which showed a 32.5% year-over-year increase in revenue to $157.7 million.
“Our investment in Teesside enables WASL to deliver essential services for airlines including Jet2 and reflects our commitment to driving local economic growth and creating skilled jobs in the UK aerospace industry.” – Austin C. Willis, CEO of WLFC
Economic and Regional Development Implications
The expanded partnership is expected to generate significant economic benefits for the Teesside region. WASL’s facility will create a substantial number of high-skilled jobs, including positions for aircraft engineers, technicians, and support staff. The broader Aviation Village project is projected to result in 250–300 permanent jobs upon completion.
Beyond direct employment, the collaboration supports workforce development through apprenticeships and training programs. These initiatives are aligned with the UK’s Aerospace Technology Institute (ATI) framework and aim to build a sustainable pipeline of technical talent in the region. Local authorities have emphasized the importance of such initiatives in addressing regional skill shortages.
Public investment in the airport’s infrastructure, including a £12.5 million package approved by the Tees Valley Combined Authority, further supports the region’s economic transformation. The improvements in road and taxiway access enhance the airport’s capacity to attract additional aviation businesses and expand its service offerings.
Industry Context and MRO Market Growth
The European MRO market is experiencing steady growth, driven by increasing air travel and the aging of aircraft fleets. In 2025, the market is valued at approximately €10.82 billion and is projected to grow at a compound annual growth rate (CAGR) of 3.42% through 2033. Narrowbody aircraft, such as the Boeing 737 and Airbus A320, dominate the market and align with WASL’s capabilities.
The UK MRO market alone had a market share of approximately USD 3.99 billion in 2024 and is expected to grow at a CAGR of 4.8%. Regional hubs like Teesside are well-positioned to capitalize on this growth, particularly as larger airports face capacity constraints. Teesside’s Freeport status and infrastructure investments enhance its ability to attract MRO business.
WLFC’s focus on next-generation engines, such as the LEAP engines used in the 737 MAX and A320neo, positions WASL for long-term relevance. As these engines mature, demand for specialized maintenance services is expected to increase. Jet2.com’s fleet renewal plans, which include newer 737 variants, ensure ongoing demand for WASL’s services.
Conclusion
The expanded maintenance partnership between WASL and Jet2.com represents a strategic alignment of capabilities and needs in the evolving MRO landscape. For WLFC, it reinforces the value of its vertically integrated model, while for Jet2.com, it ensures reliable and efficient maintenance support. The collaboration also contributes to regional economic development and supports the UK’s broader aviation strategy.
Looking ahead, the partnership may evolve to include additional services and clients as WASL expands its capacity. The integration of advanced maintenance technologies and sustainable aviation initiatives could further enhance the value of the Teesside facility. As the European MRO market continues to grow, collaborations like this will play a critical role in shaping the industry’s future.
FAQ
- What is WASL?
Willis Aviation Services Limited (WASL) is a UK-based subsidiary of Willis Lease Finance Corporation, providing aircraft maintenance, repair, and overhaul (MRO) services. - What does the new agreement between WASL and Jet2.com involve?
The agreement includes two base maintenance lines for Jet2.com’s fleet at WASL’s facility in Teesside for the 2025–2026 season. - What is the economic impact of the partnership?
The partnership is expected to create a significant number of skilled jobs and contribute to regional economic development in Northeast England.
Sources
Photo Credit: Wales Online
MRO & Manufacturing
Baxter Aerospace Invests $19.55M in Utah Manufacturing Facility
Baxter Aerospace expands into Washington County, Utah with a $19.55M facility to scale UAS and satellite comms production.

Baxter Aerospace will invest $19.55 million to lease and equip a new manufacturing facility in Washington County, Utah, transitioning its unmanned aircraft and communications systems from prototype development into full-scale production.
The expansion, announced in an October 8, 2026, press release by the Utah Governor’s Office of Economic Development (GOED), is projected to create 90 high-paying jobs over the next five years while strengthening the state’s aerospace and defense industrial base.
Transitioning to full-scale production
The new facility in Washington City will feature high-capacity infrastructure, specialized testing spaces, and security systems. This site is designed to support mission-critical work across aerospace, defense, satellite communications, autonomous aircraft, and public safety.
Baxter Aerospace CEO Jeff Baxter stated that expanding in southern Utah allows the company to increase manufacturing capacity and support growing customer needs. He noted the company is prepared to help shape the region’s aerospace future.
The project is backed by a Rural Economic Development Tax Increment Financing (REDTIF) post-performance tax credit approved by the GOED. Under the agreement, Baxter Aerospace can earn a rebate of up to 30% on new state revenues generated over the five-year term, capped at $456,939.
State officials project the expansion will generate $20,758,160 in new state wages and $1,523,131 in new state tax revenue during that period. GOED Commissioner Jefferson Moss noted that the investment signals Utah’s economic future is fueled by frontier innovation. Washington County Commissioner Adam Snow added that the expansion connects local talent with emerging aerospace opportunities.
Scaling the BA-1 Dragonfly and defense portfolio
The manufacturing expansion follows a period of steady growth for the St. George-based defense and aerospace innovator. Brothers Jeff and Michael Baxter founded the company in 2015 following a severe Oregon wildfire, focusing their initial efforts on real-time sensing, resilient communications, and autonomous systems for emergency response and defense applications.
The company’s flagship aerospace product is the BA-1 Dragonfly. The Dragonfly is a Group 3 vertical takeoff and landing (eVTOL) unmanned aircraft system designed for intelligence, surveillance, and reconnaissance (ISR) missions, featuring over 12 hours of endurance.
Alongside the BA-1 Dragonfly, Baxter Aerospace produces deployable broadband satellite communications kits that utilize low Earth orbit (LEO) networks. The company also manufactures precision components for the fusion and nuclear energy sectors.
To support the scaling of these product lines, Baxter Aerospace secured a $6 million Series A funding round in July 2025. The capital was raised from the Department of Defense (DoD) Accelerator fund, managed by Accuidity Capital Management, specifically to accelerate production of the Dragonfly system and the deployable communications kits. The new Washington County facility represents the physical infrastructure required to execute that production scale-up between late 2026 and 2031.
Photo Credit: Utah Governor’s Office of Economic Development
MRO & Manufacturing
IAI 777-300ERSF P2F Conversions Launch in North America
The first Boeing 777-300ER for P2F conversion in North America arrives at Ascent Aviation Services in Marana, Arizona.

The first Boeing 777-300ER slated for passenger-to-freighter (P2F) conversion in North America arrived at Ascent Aviation Services in Marana, Arizona, on October 22, 2026. The induction marks the regional launch of the Israel Aerospace Industries (IAI) modification program for the widebody twinjet.
The arrival of the World Star Aviation aircraft initiates operations at a newly expanded site designed to increase global capacity for the Boeing 777-300ERSF program, according to a joint press release issued by the companies.
Expanding global conversion capacity
Ascent Aviation Services, an independent aircraft aftermarket service provider and Federal Aviation Administration (FAA) Class IV Part 145 certified repair station, will operate two parallel conversion lines at its Pinal Air Park campus. To accommodate the Boeing 777-300ERSF program, the company invested $70 million to construct two 90,000-square-foot widebody hangars. Ascent broke ground on the facilities on March 29, 2024, effectively tripling the site’s hangar capacity.
“The launch of Boeing 777-300ERSF conversions in North America marks an important milestone for IAI’s global conversion program,” Yaacov Berkovitz, executive vice president and general manager of IAI Aviation Group, stated in the release. “Together with Ascent Aviation Services, we are expanding production capacity and bringing our conversion capabilities closer to customers in the region.”
Ascent Aviation Services chief executive officer David Querio noted that the induction represents the beginning of a long-term partnership with IAI, with multiple Boeing 777-300ERSF conversions planned for the Marana site.
“Our vision is to shape the future of aviation by turning engineering innovation into lasting value for our customers,” IAI president and chief executive officer Guy Bar Lev added. “Passenger-to-freighter conversions are a key part of that vision, extending the productive life of aircraft and helping airlines adapt to changing market needs.”
World Star Aviation’s fleet strategy
The inaugural aircraft belongs to World Star Aviation, a full-service aircraft and engine lessor headquartered in London. The company specializes in mid-to-late life assets and manages a portfolio of approximately 150 aircraft and engines. This includes 60 narrowbody and widebody freighters currently on lease to cargo operators globally.
World Star Aviation partner Yoyo Allalouf cited the strength of the IAI program during a critical period for widebody passenger-to-freighter production as the primary driver for their selection.
“IAI’s dominance in the widebody P2F space, demonstrated by its Boeing 747 and 767 programs, together with our long-standing relationship, underpinned our decision to choose IAI for the 777-300ERSF,” added Garreth Slevin, partner at World Star Aviation.
The rise of the “Big Twin” freighter
The Boeing 777-300ERSF program, marketed as “The Big Twin,” launched on October 22, 2019, as a joint venture between IAI and GECAS, which was subsequently acquired by AerCap. It remains the only certified P2F conversion program for the Boeing 777-300ER.
The converted freighter offers 25 percent more cargo volume than a production Boeing 777-200LRF and 15 percent more volume than a Boeing 747-400BCF. This capacity positions the aircraft as a direct replacement for aging Boeing 747-400 and McDonnell Douglas MD-11 freighter fleets.
IAI brings over 50 years of experience to the program, having delivered more than 350 converted cargo aircraft across Boeing 747, 767, 737, and Airbus A330 platforms. The company currently holds a dominant market share in medium-size freighter conversions, particularly with the Boeing 767.
The 777-300ERSF recently transitioned from certification into commercial service. In August 2026, Challenge Group took delivery of its second 777-300ERSF, which marked the fifth redelivery of the type across the industry for the year.
AirPro News analysis
We view the activation of the Marana conversion lines as a critical step in maturing the Boeing 777-300ERSF program. By establishing a North American footprint, IAI mitigates geographic bottlenecks and provides operators with a domestic option for heavy modifications. The $70 million infrastructure investment by Ascent Aviation Services indicates strong long-term confidence in the widebody conversion market, even as the air cargo sector normalizes following pandemic-era peaks. As legacy quad-engine and tri-engine freighters approach mandatory retirement or become economically unviable, the availability of parallel conversion lines in the United States ensures IAI can capture a significant share of the impending widebody replacement cycle.
Photo Credit: IAI
MRO & Manufacturing
Cirrus Aircraft Breaks Ground on $8M Engine Run-Up Center
Cirrus Aircraft begins construction on a 15,000-sq-ft Engine Run-Up Center in Duluth, MN, set to open summer 2027.

Cirrus Aircraft has commenced construction on an $8 million, 15,000-square-foot Engine Run-Up Center in Duluth, Minnesota, moving critical engine testing and fuel calibration processes into a year-round, climate-controlled environment.
The new facility, detailed in a company press release on October 23, 2026, is designed to support the certification process for the SR Series, Vision Jet, and TRAC10 aircraft while reducing noise at the surrounding airport.
Centralizing certification operations
The Engine Run-Up Center will consolidate several final-phase manufacturing steps into a single enclosed building. The facility will house two calibration stalls dedicated to engine setup and testing, utilizing an 8-foot exhaust collector to ventilate the spaces. A separate climate-controlled control room will allow technicians to conduct data analysis during the testing phase.
In addition to the testing stalls, the building will include two stalls specifically engineered for fueling and defueling aircraft. These areas incorporate specialized fire protection systems and are designed to meet requirements for handling flammable fluids.
Cirrus Chief Executive Officer Zean Nielsen stated that engine run-ups and fuel system calibration are essential processes across aircraft manufacturing. He noted that the modern facility will allow the company to streamline these critical operations, improve efficiency, and provide team members with a dedicated environment to perform the work.
Expanding the Duluth manufacturing footprint
The new testing center adds to an existing corporate footprint that exceeds 1.3 million square feet. The majority of this infrastructure is located in Duluth, which serves as the primary production hub for the manufacturer.
Founded in 1984 and now publicly traded on the Hong Kong Stock Exchange, Cirrus has manufactured more than 12,000 SR Series piston aircraft and Vision Jets to date. The groundbreaking follows closely on a major program milestone for the company. On October 21, 2026, Cirrus celebrated the 10-year anniversary of Federal Aviation Administration (FAA) type certification for the Vision Jet, the first single-engine personal jet to reach the market.
Patrick Waddick, President of Innovation & Operations at Cirrus, highlighted the scale of the company’s historical output in Duluth. He noted that the new facility expands a footprint where the company has produced its entire fleet of over 12,000 aircraft, adding that the manufacturer has spent decades challenging conventions through innovations that transform personal aviation.
Project timeline and operational impact
Construction on the Engine Run-Up Center is underway, with the facility expected to open and become fully operational by the summer of 2027. By moving engine testing indoors, the company anticipates a reduction in noise levels for the surrounding airport environment, a common challenge for manufacturers conducting high-power engine runs on open ramps.
The $8 million investment reflects broader efforts by the airframer to scale production capabilities in response to market requirements. Nielsen indicated that as the company continues to grow, investments in manufacturing infrastructure position Cirrus to meet customer demand while maintaining high standards of quality and safety.
Photo Credit: Cirrus Aircraft
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