India's IndiGo orders 300 planes, Airbus' biggest order from one airline
INDIA's budget airline IndiGo has placed an order for 300 Airbus A320neo family aircraft worth US$33 billion at list prices
INDIA's budget airline IndiGo has placed an order for 300 Airbus A320neo family aircraft worth US$33 billion at list prices. This will take IndiGo's total orders for this model of aircraft to 730, making it the world's biggest customer for these planes.
This latest deal includes Airbus's newest jet, a long-range version of the single-aisle A320neo family called the A321XLR, reported Reuters.
'This order is an important milestone, as it reiterates our mission of strengthening air connectivity in India,' IndiGo chief executive officer Ronojoy Dutta was quoted as saying.
IndiGo's announcement comes just days after the company posted its biggest quarterly loss due to issues surrounding engines from a former supplier of A320neo family jets already in the airline's fleet.
In June, IndiGo dropped its original engine supplier, United Technologies unit Pratt & Whitney, in favour of French-US engine venture CFM by agreeing to a record $20 billion deal for 600 engines to power Airbus jets already on order.
The choice of engine manufacturer for the new order will be made at a later date, according to IndiGo's chief aircraft acquisition and financing officer Riyaz Peermohamed.
Many of the latest batch of aircraft are not expected to be delivered until mid-way through the next decade, replacing others only just joining the IndiGo fleet.
The carrier is known for turning over aircraft quickly to keep its average fleet age low, but such a strategy depends on overall strong demand in the jet market.
IndiGo has expanded rapidly to claim half the Indian market. Its closest competitor is budget carrier SpiceJet Ltd, a Boeing operator.