Airbus secures £1.5bn deal with Indonesian airline

FLAGSHIP airline Garuda Indonesia has signed a £1.5bn contract with Airbus for 25 A320 jets.

The contract also includes 10 A320neos, and the planes will replace the Boeing 737 aircraft flown by the Indonesian airline’s low-cost unit, Citilink.

The two companies announced on June 21 that they had signed a memorandum of understanding on the sale.

The news came after the European plane-maker, which employs 6,000 people at its Deeside wing-making factory, finalised an order earlier this week for 30 A321neo eco-efficient aircraft with Cebu Pacific of the Philippines.

The contract firmed-up a previously announced MOU, also signed in June.

With this latest purchase agreement, the fast-growing carrier has increased its total firm orders for the A320 Family to 71, of which 16 have already been delivered.

Cebu Pacific plans to configure its A321neo fleet with 220 seats in a single class.

“The A321neo will enable us to increase capacity on our key routes,” said Lance Gokongwei, Cebu Pacific President and CEO.

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