Motor Sich may get a new order for An-158 engines

State Antonov signed a USD 300 mln contract to sell ten An-158 aircrafts to Russian Ilyushin Finance in 2012-14, Interfax reported yesterday. Vitaly Gorovoy: as a manufacturer of An-158 engines Motor Sich (UX: MSICH UK) can benefit from this contract. However, the company will first have to obtain an FAA certification necessary for flying in the USA. We expect Motor Sich to generate USD 642 mln revenue from sales of An-148/158 engines in 2012-14E with the deal with Ilyushin Finance potentially contributing another USD 75 mln to company’s top line.