Airbus and Boeing bag $3.1 bn order from Vistara

Airbus and Boeing have bagged major airline orders — together valued at $3.1 billion – from Vistara, a joint venture between Tata Sons and Singapore Airlines.
Vistara airline dealVistara plans to add 13 A320 neo aircraft and six B787-9 Dreamliners to its fleet between 2019 and 2023.

The deal with Airbus is for 13 A320 neo and A321 neo aircraft as well as options for seven more aircraft from the A320 neo family. The airline will also lease another 37 new A320 neo family aircraft from leasing companies taking the total new A320 neo planes it intends to add it its fleet to 50.

Vistara will use the A320s, which will be inducted into the fleet between 2019 and 2023, for domestic as well international flights.

The agreement with Boeing comprises firm orders for six B787-9 Dreamliners and purchase rights for four more aircraft from the 787 Dreamliner family. Vistara will take deliveries of these aircraft between 2020 and 2021. These planes will be used for medium haul and long haul international flights.

“India’s position as the world’s fastest growing domestic aviation market and its impressive growth in air passenger traffic that has more than doubled over the last decade, makes us confident of our plans for domestic expansion and international foray,” Vistara CEO Leslie Thng said.

The airline currently has a fleet size of 21 aircrafts comprising 13 Airbus A320ceo and eight A320 neo aircraft. It will induct its final plane from the previous order with Airbus in September taking its fleet size to 22 planes.

Reuters reported that Boeing’s first-half aircraft deliveries rose more than 7 percent, lifted by demand for its bestselling 737 jetliners as airlines seek more fuel-efficient planes, and orders were more than double those of European rival Airbus.

Meanwhile, Airbus said U.S. airline JetBlue would buy 60 of its A220-300 narrowbody jets, the first major order for the planemaker’s newly rebranded program as its battle with rival Boeing Co intensifies.