Airbus Announces Nearly $50 Billion Deal

Tammy Harvey
November 16, 2017

IndiGo and Indigo Partners are separate firms with separate management. The deal between Airbus and Franke's Indigo Partners is billed as the industry's largest by number of aircraft.

In near tandem with Airbus, Boeing announced an order from budget airline flydubai for 225 medium-haul 737 MAX aircraft with a list price of $27bn, hailing it as the "largest-ever single-aisle jet order" from a Middle East carrier.

The combined $76.5 billion in deals kept the momentum alive on the third day of the air show.

Worth almost $50 billion at list prices, the deal is a major rebound for Airbus, which has significantly lagged its USA arch rival Boeing in orders this year.

After opening the show with a 40-aircraft commitment from Emirates for the 787-10, Boeing has followed up with smaller orders from three other customers. Leahy, 67, termed the transaction "remarkable", while Franke, 80, who co-founded Indigo in 2002, said it underscored his confidence in the A320 and the bargain fares, no-frills travel model he helped develop. We are proud to augment (Indigo Partner's) airline fleets in Latin America, North America and Europe with the single-aisle aircraft that offers the lowest operating costs, longest range and most spacious cabin.

Signing this agreement, the Chairman and Chief Executive of the world-renowned airline, S. Ahmed bin Saeed Al Maktoum, did so in the presence of the current Vice President and UAE Prime Minister and also the Ruler of Dubai, His Highness Mohammed Bin Rashid Al Maktoum. "We look forward to the arrival of the new aircraft from 2019 in support of our future ambitions".

The airline had announced orders for 288 planes as of the end of October. The rest of the order comprises MAX 8 and MAX 9 aircraft. "There is enough demand for us and competitors", he said. "This caps a terrific week for all of us at Boeing".

The Airbus, Indigo Partners deal isn't just good news for the airplane manufacturer, it will also double the stock of planes across the Indigo Partners low-priced carrier group.

Leasing company AerCap will be providing 15 Airbus A320neo aircraft to the north African carrier, for delivery in 2020.

The Boeing 787 will give Emirates a level of flexibility and economy that its larger Boeing 777-300ER and Airbus A380 fleet could not approach.

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