Dubai, 15 November 2017 – As Aviation Expert Julian Bray flagged up over the last few months, long before todays announcement from the Dubai Airshow, the new Airbus neo variant is winning much needed 'better than expected orders' for the Airbus neo, over its Boeing counterpart and this Julian Bray maintains can be put down to the new engine options offered. Although this is not yet a finalised deal, but a strong Memorandum of Understanding and will still have to go through the process of a final engine selection as will the specification for the internal fit-out..
Airbus and Indigo Partners’ four portfolio airlines have now signed a Memorandum of Understanding for the purchase by the 4 airlines of 430 additional A320neo Family aircraft.
The aircraft are to be allocated between four ultra low-cost airlines operating out of four different countries and in very different operating conditions. The airlines are: Frontier Airlines (United States), JetSMART (Chile), Volaris (Mexico) and Wizz Air (Hungary) upon the completion of final purchase agreements between Airbus and the four airlines.
The massive order, the largest ever announcement for Airbus will also add a whole new unexpected negotiation area for the Brexit debate with the EU. Simply all airbus aircraft need wings to fly and for many years these have been fabricated in Wales and Bristol and ferried back as completed sections to Airbus France.
Any break or disruption to the Welsh or Bristol output due to Brexit complications will seriously impact on delivery. As it is commercial flights between the Uk and Europe may well come to a juddering halt next March when we exit the EU with a deal in place or not...
Originally a chance conversation with a key component supplier let slip, "they were in the process of an unexpected gearing up to meet the new demands being placed on the supply line," also well publicised engine supply chain problems in the US tipped the balance towards the new Airbus neo family .
Now we can reveal that our early posts on this topic flagged up the possibilities of a set of even better environmental impacts, coupled with 'substantial fuel cost savings' and caught the eye of a senior air leasing company executive, who then demanded to know where our information had come from, needless to say we protected the source.
Valued at $49.5 billion, this is Airbus’ largest single MOU announcement ever
The 430-aircraft commitment, comprised of 273 A320neos and 157 A321neos worth $49.5 billion at list prices, was announced at the Dubai Airshow by Bill Franke, Managing Partner of Indigo Partners***, and John Leahy, Airbus Chief Operating Officer Customers, Airbus Commercial Aircraft.
When added to existing Airbus A320 Family orders, the new agreement will make Indigo Partners one of the largest customers by order number in the world for the Airbus single-aisle aircraft family.
Airlines in the Indigo Partners family previously have placed orders for 427 A320 Family aircraft.
“This significant commitment for 430 additional aircraft underscores our optimistic view of the growth potential of our family of low-cost airlines, as well as our confidence in the A320neo Family as a platform for that growth,” said Bill Franke.
John Leahy commented: “Indigo Partners have been a tremendous customer and supporter of the Airbus single-aisle fleet for many years. An order [MOU] for 430 aircraft is remarkable, but it’s particularly gratifying to all of us at Airbus when it comes from a group of airline professionals who know our products as well as the folks at Indigo Partners do.
"We are proud to augment their airline fleets in Latin America, North America and Europe with the single-aisle aircraft that offers the lowest operating costs, longest range and most spacious cabin: the A320neo Family.”
Also present at the announcement were Enrique Beltranena, CEO of Volaris; Barry Biffle, CEO of Frontier Airlines; Estuardo Ortiz, CEO of JetSMART; and József Váradi, CEO of Wizz Air. They confirmed their firm’s individual aircraft orders [MOU] as follows:
- Wizz - 72 A320neo, 74 A321neo
- Frontier - 100 A320neo, 34 A321neo
- JetSMART - 56 A320neo, 14 A321neo
- Volaris - 46 A320neo, 34 A321neo
The A320neo Family incorporates 'state-of-the-art' technologies, including new generation engines and Sharklet wing-tip devices, designed to deliver 20 percent fuel savings by 2020.
With more than 5,200 orders received from 95 customers since its launch in 2010, the A320neo Family has captured nearly 60 percent market share.
*** Indigo Partners LLC, based in Phoenix, Arizona, is a private equity fund focused on worldwide investments in air transportation.
JULIAN BRAY +44(0)1733 345581, Journalist & Broadcaster, Aviation Security & Airline Operations Analyst/expert, ... Travel & Holiday Guru www.aviationcomment.com, ... http://www.freelancedirectory.org/user.php?user=8121 ... www.freelancedirectory.org?name=Julian.Bray.aviation.comment, ... Aviation / Travel / Maritime & Cruise Industries, NUJ, EQUITY, LIVE ISDN LINK, Broadcast ISDN COOBE ++44 (0)1733 345020 ... SKYPE: JULIAN.BRAY.UK e&oe Old faithful NOKIA: 07944 217476
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