Wizz Air signs up for another 146 next-generation Airbus aircraft

Josh White WebFG News | 15 Nov, 2017 08:00 - Updated: 09:28 | | |

ep wizz air 20170621155902
Wizz AirWIZZ AIR
  • 3,228.00
  • -0.06%-2.00
  • Max: 3,284.00
  • Min: 3,222.00
  • Volume: 151,478
  • MM 200 : n/a
17:19 22/11/17
  • 20,013.86
  • 0.35%69.88
  • Max: 20,059.37
  • Min: 19,943.89
  • Volume: 0
  • MM 200 : n/a
17:20 22/11/17
  • 9,560.43
  • -0.36%-34.59
  • Max: 9,625.48
  • Min: 9,546.31
  • Volume: 0
  • MM 200 : n/a
17:20 22/11/17
  • 4,127.98
  • 0.15%6.01
  • Max: 4,147.16
  • Min: 4,121.95
  • Volume: 0
  • MM 200 : n/a
17:20 22/11/17
  • 4,076.76
  • 0.16%6.31
  • Max: 4,094.81
  • Min: 4,070.45
  • Volume: 0
  • MM 200 : n/a
17:30 22/11/17

Central and Eastern Europe’s largest low-cost airline, Wizz Air Holdings, announced on Wednesday that following a competitive selection process, it has signed a memorandum of understanding with Airbus relating to the purchase of a further 146 Airbus A320neo family aircraft.

The FTSE 250 airline said the makeup of the order was for 72 A320neo and 74 of the higher-capacity A321neo.

It said that, while deliveries would start in 2022, the bulk of the aircraft would be delivered in 2025 and 2026, following on from the delivery of the 110 Airbus A321neo aircraft ordered by Wizz Air in 2015.

Under the memorandum of understanding, Wizz Air has the right to substitute a number of the A320neo aircraft with the Airbus A321neo and vice versa, depending on its future requirements.

At current list prices, the additional aircraft are worth more than $17.2bn, although discounts would be granted by Airbus.

Completion of the order remained subject to approval by Wizz Air shareholders.

“Once again, Airbus has delivered the best overall mix of aircraft, cost efficiency, support and price,” said Wizz Air chief executive officer József Váradi.

“We are convinced that the Airbus A320neo and A321neo will be game-changer aircraft for Wizz Air, as we continue to grow at an industry-leading rate and expand our market reach across and beyond Europe.

Váradi said the “next-step technology aircraft” would enable the airline to continue to lower its operating costs as it drives towards its goal of Wizz Air being the lowest fare and lowest unit cost airline in Europe.

“Wizz Air will continue to stimulate demand for air travel in CEE and beyond by offering the lowest fares to our customers, while still delivering a great customer experience on-board one of the youngest fleets in Europe.”

The new order, if approved by Wizz Air's shareholders, would bring the airline’s outstanding orders with Airbus to 282 aircraft.

Those include eight Airbus A320ceo and 18 Airbus A321ceo aircraft - deliveries of which will continue to early 2019 - and 110 Airbus A321neo aircraft, deliveries of which were planned to start in 2019 and continue through to the end of 2024.

More news

00:20 US close: Wall Street mixed ahead of Thanksgiving holiday

Wall Street finished mixed on Wednesday, following the record highs set the day before and amid lighter-than-usual trading volumes ahead of the Thanksgiving holiday on Thursday.

22 Nov Jefferies upgrades Kingfisher to 'buy', raises target price

Analysts at Jefferies upgraded home improvement products retailer Kingfisher (KGF) to 'buy' from its previous 'hold' rating on Wednesday, raising its target price from 310p to 400p along the way.

22 Nov Europe close: German stocks give back gains amid political impasse

Stocks ended the session modestly lower as traders waited for the release of the minutes of the US Federal Reserve's last rate-setting meeting in the evening and monitored the news-flow out of Germany, amid speculation that a 'grand coalition' between Germany's two main political parties, the centre-right CDU/CSU and the Socialist SPD, may yet be possible.

22 Nov Lebanon prime minister Hariri retracts resignation

Saad al-Hariri has revoked his resignation as Lebanon's prime minister, according to a local news report on Wednesday.

22 Nov Budget: Planning probe spooks builders, mixed reaction for stamp duty cut

A range of new housing policies were proposed by Chancellor Philip Hammond in his Budget statement, including more funds for smaller housebuilder, a probe into potential holding of land by major housebuilders and a stamp duty cut for first-time buyers.

22 Nov US open: Shares hold ground ahead of FOMC minutes

Wall Street is holding its ground following the record highs set the day before, albeit amid lighter than usual trading volumes ahead of the Thanksgiving Holiday on Thursday, with investors looking to the release of the minutes of the most recent meeting of the Federal Open Market Committee.

22 Nov London close: Stocks higher on UK budget

Shares closed higher on Wednesday as investors sifted through corporate releases as well as the Autumn Budget.

22 Nov FTSE 250 movers: Qinetiq boosted by Berenberg note as Thomas Cook tanks

The FTSE 250 index was up around 0.50% on the day in which Chancellor Philip Hammond revealed his budget for the upcoming year.

22 Nov Higher margins offset declining sales volumes at Cambria

Motor dealer Cambria Automobiles managed to successfully grow profit and revenue throughout the financial year, as per-unit profits counteracted a slide in sales volumes.

22 Nov First production at Texas asset transforms Pantheon Resources into full-cycle energy and power business

Oil and gas exploration firm Pantheon Resources announced "another year of progress" in its full-year results on Wednesday, as it completed the transition from a pure-play exploration company to a full-cycle energy and power business.