Airbus finalises $50bn deal with Indigo Partners | News

Airbus has finalised agreements with Indigo Partners and its four portfolio airlines for the purchase of 430 additional A320neo family aircraft.

The planes will be delivered to the four ultra-low-cost airlines operated by Indigo: Frontier Airlines (United States), JetSMART (Chile), Volaris (Mexico) and Wizz Air (Hungary). 

The signed purchase agreement follows a memorandum of understanding among the parties announced at the Dubai Air Show last month.

The 430-aircraft order is made up of 274 A320neos and 156 A321neos worth $49.5 billion at list prices.

Airlines in the Indigo Partners family had previous placed orders for a total of 427 A320 Family aircraft.

“These customer-friendly and efficient A320neo aircraft form a great platform for continued growth for our family of ultra-low-cost airlines,” said Bill Franke, managing partner of Indigo Partners.

“The Indigo Partners team looks forward to creating even more value for even more passengers around the world with these modern and efficient aircraft.”

The aircraft ordered today are a mix of A320neos and A321neos and will be delivered to the individual airlines as follows:

Wizz: 72 A320neo and 74 A321neo
Frontier: 100 A320neo and 34 A321neo
JetSMART: 56 A320neo and 14 A321neo
Volaris: 46 A320neo and 34 A321neo

Indigo Partners’ Franke indicated that engine selections will be made at a later date.

John Leahy, Airbus chief operating officer, customers, added: “Bill Franke and the teams from Wizz, Volaris, JetSMART and Frontier are great partners, and the global Airbus team is very proud to continue to meet their growing needs for aircraft that provide value, reliability and comfort. 

“The A320neo Family offers the lowest operating costs, longest range and most spacious cabin in the single-aisle aircraft market, making the ‘Neo’ a great choice for these low-cost airlines in the Americas and Europe.”

The A320neo Family incorporates the very latest technologies, including new generation engines and Sharklet wing-tip devices, which together will deliver 20 per cent fuel savings by 2020. 

With more than 5,800 orders received from 98 customers since its launch in 2010, the A320neo family has captured some 60 percent market share.

Indigo Partners, based in Phoenix, Arizona, is a private equity fund focused on worldwide investments in air transportation.

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