"This significant commitment for 430 additional aircraft underscores our optimistic view of the growth potential of our family of low-priced airlines, as well as our confidence in the A320neo Family as a platform for that growth", said Indigo Partners Managing Partner Bill Franke. Airbus declined to comment. These would be lapped up by four ultra low-priced airlines including Wizz Air from Hungary, US-based Frontier Airlines, Volaris from Mexico, and a three-and-a-half month old Chilean airline JetSMART.
Airbus has closed the gap with the single largest order in company history. Boeing, for its part, chalked up more than 4,000 orders for the various versions of the 737 MAX. So it appeared to snub Airbus on Sunday, and chose to purchase 40 American-made Boeing 787-10 Dreamliners in $15.1bn deal that's certain to please US President Donald Trump who has touted the plane's sales as a job creator in America.
Speaking at the Dubai Airshow Tuesday, the Chief Executive of Ethiopian Airlines, Tewolde Gebremariam, said the deal underlined the vitality of air traffic in North Africa.
The only major deal announced so far came Sunday, when long-haul carrier Emirates purchased 40 Boeing 787-10 Dreamliners in a $15.1 billion deal. However, airlines and manufacturers typically negotiate discounts on such deals. Shares in rival Boeing, who was also reported to be doing good business at the air show, closed 2.36% higher at $261.03, in the US. Overall, Boeing has been eating Airbus's lunch so far this year, out-selling the Toulouse, France-based planemaker by 690 to 343. It's an even bigger deal with the impending retirement of long-time sales boss John Leahy. "You'll just have to walked over there [to Emirates' show chalet] and ask them", he told reporters.
The stunning magnitude of the deal - which Airbus called its "largest single commercial announcement ever" - caught many in the aviation industry by surprise.
Burying the A380 program after little over a decade would mark a drastic step for Airbus that Emirates will want to help avoid because it would greatly diminish the value of its existing fleet.
The order consists of the A320neo and A321neo, the version remotorisée du best-seller for Airbus, according to this source.
Indigo Partners is a US-based private equity group that invests in airlines.
The future of the A380 has become a dominant talking point at this year's aviation expo in Dubai, after Airbus failed to clinch a widely expected deal on the first day of the event. Stay tuned for more action.