Airbus has won an order for 54 aircraft from Philippine Airlines (PAL) in a deal worth $7bn, which will allow the airlines to more than triple its fleet.
The deal, which is he largest ever order from a local carrier, includes 34 units of Airbus’ A321 ceo planes, ten 321Neo, and ten A330-300 aircraft.
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PAL chairman, Lucio Tan, said: "The orders we are placing with Airbus will play a key role in revitalising PAL and growing trade and tourism in this country."
The deliveries expected to commence in 2013, and will support PAL’s intention to acquire approximately 100 new aircraft in total within the next five to seven years, with none of them leased.
PAL president, Ramon Ang, said: "Our intention is to buy up to 100 aircraft, 26 of that will be long range, wide body."
The Philippine flag carrier is currently negotiating with both Airbus and Boeing for its next portion of planes.
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By GlobalDataThe order follows San Miguel’s purchase of a 49% share in the loss-making airline for $500m in April 2012.
PAL’s existing fleet comprises 39 aircraft, which include 31 Airbus planes comprising four A340-300s, eight A330-300s, 15 A320-200s, and four A319s, as well as three 777-300ERs and five 747-400s from Boeing, serving 31 overseas cities and destinations.
Airbus also anticipates to win orders for about 100 A320 planes from China during the upcoming visit of German Chancellor Angela Merkel to Philippines.
According to the aircraft maker, the order, worth about $9bn, is anticipated to be the first Airbus deal with China, since the Beijing and the European Union rows over emissions trading, which disrupted former transactions worth around $14bn.
Image: Philippines Airlines’ A320-200 aircraft. Photo: courtesy of Cipher01.
