Airbus seals US$6.4b VietJetAir order

[SINGAPORE] European planemaker Airbus yesterday finalised an order with VietJetAir for 63 A320 family aircraft worth US$6.4 billion as the budget carrier seeks to expand both at home and overseas.

The purchase agreement covers 42 A320neo, 14 A320ceo and seven A321ceo planes, with an additional 30 purchase rights. The carrier will take delivery of the first plane within this year. Separately, it will lease eight more A320 family aircraft from third-party lessors.

The privately owned VietJetAir, which commenced operations in 2011, has a fleet of 11 leased A320s covering 20 domestic and international routes. It has 26 per cent domestic market share in the country and started eking out a profit in its second year of operations.