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Dubai Airshow 2017: Airbus announces $50bn MoU
A320neo. © Airbus

Dubai Airshow 2017: Airbus announces $50bn MoU

Airbus and U.S. equity fund Indigo Partners have signed an MoU for the purchase of 430 A320neo Family aircraft for Indigo's four portfolio airlines in the largest-ever single order commitment for Airbus.

Airbus and U.S. equity fund Indigo Partners have signed a Memorandum of Understanding (MoU) for the purchase of 430 A320neo Family aircraft for Indigo's four portfolio airlines. The aircraft will be allocated among low cost carriers Frontier Airlines (United States), JetSMART (Chile), Volaris (Mexico) and Wizz Air (Hungary) upon the completion of final purchase agreements between Airbus and the four airlines.

The 430-aircraft commitment, comprised of 273 A320neos and 157 A321neos worth $49.5bn at list prices, was announced at the show by Bill Franke, Managing Partner of Indigo Partners, and John Leahy, Airbus Chief Operating Officer Customers, Airbus Commercial Aircraft. It is the largest-ever single order commitment for Airbus.

When added to existing Airbus A320 Family orders, the new agreement will make Indigo Partners one of the largest customers by order number in the world for the Airbus single-aisle aircraft family. Airlines in the Indigo Partners family previously have placed orders for 427 A320 Family aircraft.

The breakdown of the orders among the four carriers is as follows: 

  • Wizz - 72 A320neos, 74 A321neos

  • Frontier - 100 A320neos, 34 A321neos

  • JetSMART - 56 A320neos, 14 A321neos

  • Volaris - 46 A320neos, 34 A321neos

Franke indicated that engine selections will be made and announced at a later date.

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