UPDATE: $18bn deal boosts Airbus jobs
European aircraft manufacturer wins landmark deal with Indonesian budget airline for 234 planes
EUROPEAN plane manufacturer Airbus has signed its largest order ever with a contract for 234 A320 jets - enough to guarantee work for 5,000 staff for the next 10 years.
Indonesian low-cost airline Lion Air has agreed to buy $18.4 billion worth of planes in a deal that ends its previous reliance on Boeing. It is the third major order in a week for Airbus as it follows deals with German airline Lufthansa for 102 planes worth $11.2bn and another 82 for Turkish Airlines worth $9.3bn.
President Hollande hosted the signing ceremony today at the start of French Industry Week.
The deal includes 109 of the new A320neo, which gives a 15% reduction in fuel consumption, two tonnes of additional payload, up to 500 nautical miles of more range, lower operating costs, plus reductions in engine noise and emissions. It also includes 65 A321Neo and 60 of the present A320.
Indonesia’s population is the fourth largest in the world and its domestic aviation market, serving the 17,000 islands that make up the archipelago, is growing at more than 20% a year, making it a major target market for aircraft firms.
The Lion Air deal is a major coup for Airbus as the company has been 100% Boeing aircraft – and at the end of 2011 it bought 201 Boeing jets in a contract worth $21bn.
