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| Airbus A320 NEO |
Turkish aviation companies THY and Pegasus Airlines buys 217 Airbus Total Cost 25 $ billion. Europe's fastest growing aviation market Turkey's aviation companies Pegasus and flag carrier company Turkish Airlines buy 217 planes for support high demand and new flight destinations
Turkish Airlines said it would buy 117 narrow-body planes from European aircraft maker Airbus, as it targets a bigger share of the global aviation market.
Turkey's flag carrier announced 82 firm orders and options to buy a further 35 aircraft in the years 2015-2020.
Turkish Airlines said in a statement it would determine later how the order would be financed.
The order consists of 25 A321-200 aircraft, four A320 NEO, 53 A321 NEO and an option for a further 35 A321 NEO, it said.
Earlier this month, Turkish Airlines' chairman told Reuters the company was still in talks with both EADS unit Airbus and Boeing over plans for narrow-body orders.
"Turkish Airlines is continuing to increase its share in the global aviation market and as the airline's board of directors announced, 117 airplanes will join the existing fleet," it said.
Turkish Airlines said its fleet would grow to 375 with this order, and others it has placed, while its average fleet age would decrease to 5 years from 6.6 by the end of 2020, it added. The airline has 211 aircraft.
The airline carried 39 million passengers last year and expects to reach 46 million passengers this year, growing to 90 million by the end of 2020, it said.
It wants to generate annual sales of $18 billion within seven years, after posting sales of nearly $8 billion last year.
Pegasus Airlines, Turkey’s second-biggest carrier, is to buy up to 100 Airbus aircraft, in what it says is the biggest acquisition in the history of the country’s civilian aviation.
The deal, which includes the firm order to buy 75 Airbus 320neo and 321neo aircraft and the option to acquire a further 25, highlights the expansion drive of the low-cost carrier, even as Turkish Airlines, its larger rival, increases its own number of destinations to record levels.
It is particularly significant for Airbus since Pegasus’s current 42 aircraft fleet is entirely made up of Boeing 737-400s and 737-800s.
The privately owned group said the purchase of all 100 Airbus aircraft would be worth $12bn, based on the list prices for future delivery dates, although in practice airlines often receive substantial discounts. The aircraft are scheduled to be delivered between 2015 and 2022.
At a signing ceremony in Istanbul, Sertac Haybat, Pegasus’s chief executive, claimed the company was the fastest-growing airline in Europe, flying to 62 destinations and 26 countries. Pegasus, previously a small charter operator, was established in its current form in 2005 by Ali Sabanci, chairman, a year after he left Sabanci Holding, the family-controlled Turkish conglomerate.
Christopher Buckley, Airbus vice-president, said Turkey was rapidly becoming “Europe’s most dynamic commercial aviation market”, highlighting Pegasus’s own role in the change.
Over the past decade, the Turkish government has liberalised the domestic aviation market, while per capita incomes have tripled in dollar terms.
Turkish Airlines is also rapidly expanding, announcing in October that it would buy 15 Airbus A330s and 15 Boeing 777-300ERs. The 49 per cent state-owned carrier says it now has the world’s fifth-largest flight network, travelling to more than 200 destinations.
Source: http://www.reuters.com/article/2013/03/15/turkishairlines-airbus-idUSL6N0C7A1X20130315
http://www.ft.com/intl/cms/s/0/91beec72-4932-11e2-b25b-00144feab49a.html#axzz2Npec5Zvn
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