Cebu Pacific inks $2bn deal for new Airbus A320NEO aircraft

Cebu Pacific, the Philippines’ largest national flag-carrier, has signed a purchase agreement with Airbus SAS for the order of 15 A320NEO family aircraft. The transaction is valued at $2 billion.

 

The 15-aircraft order includes up to 10 A321XLR jets, the world’s longest-range single-aisle aircraft.

 

The increased capacity of the A320neo will result in a 7 per cent reduction in cost per seat; and a reduction of fuel burn and emissions of as much as 15 per cent.

 

The purchase agreement is part of the memorandum of understanding (MoU) signed by Cebu Pacific with Airbus in June 2019 during the Paris Air Show—the global aerospace industry’s biggest trade event for an order of 31 next generation aircraft. As for the purchase agreement, the 16 widebody A330 NEO aircraft was already finalised in October, and this latest purchase agreement completes the remaining part of the MoU.

 

The aircraft are scheduled for delivery between 2021 and 2024. By 2024, Cebu Pacific expects to have an all-next generation fleet of Airbus jets.

 

Year-to-date, Cebu Pacific has accepted delivery of 10 new aircraft—five Airbus A321NEO and four A320NEO, as well as an ATR 72-600. The Cebu Pacific fleet is comprised of a total of 75 aircraft, including seven Airbus A321CEO, 30 Airbus A320, eight A330, seven ATR 72-500, 12 ATR 72-600, and an ATR Cargo Freighter. The ATR aircraft is used by subsidiary Cebgo to service inter-island flights in the Philippines where jet operations are not possible.

 

Cebu Pacific boasts of one of the youngest fleets in the world, with an average fleet age of five years.

 

Cebu Pacific flies daily from Dubai to Manila—its first long haul destination and has proven its commitment to provide only the best services, from upgrading its fleet to offering value-for-money flight options. In addition, Cebu Pacific has the widest network in the Philippines, connecting travellers from the UAE to 37 local destinations and 26 international destinations with over 120 routes. - TradeArabia News Service