Australia’s Qantas Airways on Monday (May 2) announced a landmark Airbus SE order for 12 A350-1000 planes capable of the world’s longest commercial flights from Sydney to London as well as 40 narrowbody jets to renew its domestic fleet.

The airline also said in a separate filing that market conditions were improving, with domestic travel demand returning more quickly than expected, allowing it to reduce debt levels and forecast a return to profit in the financial year starting Jul 1.

Reuters on Sunday reported, citing sources, that the carrier was set to announce the deal which brings it closer to launching record-breaking direct flights of nearly 20 hours on the “Kangaroo route” between Sydney and London by late-2025.

“The board’s decision to approve what is the largest aircraft order in Australian aviation is a clear vote of confidence in the future of the Qantas Group,” chief executive Alan Joyce said in a statement.

The deliveries of 12 A350-1000 planes will begin in 2025 and complete by 2028. The carrier also placed orders for 20 A321XLRs, and 20 A220s, which will begging arriving late next year, and also includes option to buy another 94 aircrafts which would arrive through to at least 2034, it said.

Qantas in December had selected Airbus as the preferred supplier for a major order to renew its ageing narrowbody fleet, in a blow to its incumbent supplier Boeing.

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The carrier in its trading update said while it expects to report an underlying operating loss for fiscal 2022, second-half of the year was benefiting from return of domestic travel and recovery in international travel demand. REUTERS