Arkia Israeli Airlines has signed a comprehensive technical services
contract with Lufthansa Technik. Within the framework of a ten-year
agreement, Lufthansa Technik will support the airline with Total
Technical Support (TTS®) including Technical Operations Management
(TOM) for Arkia's three Airbus A321LR.

Integrating all MRO activities into one service package, Lufthansa
Technik will provide engineering, line maintenance and component
support including consumables and expendables as well as
wheels-and-brakes services. The first aircraft delivered from the OEM
to Arkia will be the first aircraft of the A321neo type featuring the
long-range configuration.

The on-site services in Tel Aviv will be performed by Lufthansa
Technik Maintenance International (LTMI). Over the next three years,
experienced mechanics and the station manager will provide TOM and
line maintenance services on site at Arkia's hub in Tel Aviv,
preparing the carrier's technicians to take over line maintenance
after that period.

"Arkia has been modernizing its entire fleet, moving to a full jet
fleet for its regional and international routes," says Nir Dagan,
President and CEO of Arkia. "Our main fleet now comprises new and
state-of-the-art jets: Embraer E-195, Airbus A321LR and, starting in
2020, the A330-900. We were looking for the best support for our new
fleet and we are happy and proud to rely on Lufthansa Technik's
experience and expertise to support the new era of Arkia. I feel this
combination of the latest aircraft models with the best support in
the market are the basis for Arkia's development."

"This contract is a milestone for us, as it is our first major
contract with Arkia. We are very much honored and proud that we were
selected by Arkia to support the A321LR fleet with our TOM Services,"
says Georgios Ouzounidis, Senior Director Corporate Sales Europe at
Lufthansa Technik.

As part of a TTS® contract, TOM is a service package which integrates
all local line maintenance services on a long-term basis. Working
closely with the operator, the TOM staff optimizes the integration of
maintenance and engineering services into the airline's flight
operations and ensures the smooth functioning of all other MRO
services. The permanent presence of both a station manager and a
Lufthansa Technik team at the customer's home base assures both a
close and well-coordinated working relationship and the optimal
adaptation of Lufthansa Technik's services to the airline's
requirements.

Arkia will also benefit from Lufthansa Technik's new digital platform
AVIATAR, which offers the latest technologies for large amounts of
data to be delivered by new aircraft types like the A321LR.