Qantas buying Airbus A320's

[Pieter C. 5]

Qantas To Buy 9 Airbus A320s For Jetstar

 

March 29, 2007

Australian takeover target Qantas Airways said on Thursday it planned to buy nine additional Airbus A320 planes to be used by its low-cost subsidiary Jetstar.

 

The order is worth more than USD$600 million at list prices although airlines usually negotiate a discount for plane orders.

 

The new single-aisle aircraft would be delivered over 15 months from late 2007 and will be used on domestic and short-haul international routes, Qantas said in a statement.

 

Qantas, which is subject to an USD$8.7 billion takeover offer, also said it planned to transfer four Boeing 767-300 planes that were due to be sold from its international fleet to domestic operations.

 

Qantas and its domestic rival Virgin Blue want to expand domestically and on international routes amid growing demand for air travel and stiff competition.

 

In December, Qantas ordered eight more A380 super jumbo planes from Airbus, taking its total order for the delay-hit plane to 20. It also ordered an extra four Airbus A330-200 jets.

 

Virgin Blue last week said it would spend AUD$2.2 billion (USD$1.8 billion) to buy new Boeing planes to use on long-haul flights.

 

(Reuters)

 

[Keith T 2]

No doubt to consolidate its own position in preparation for Tiger Airways Australia's debut.

[Seng Lim 0]

That's right:

 

Qantas chief executive Geoff Dixon said Jetstar would use the aircraft, to be delivered from late this year, on domestic and short-haul international routes.

He said Qantas would also boost the capacity of its full-service operations in Australia by transferring four Boeing 767-300 aircraft currently used for international flights to domestic operations.

Dixon said the increased capacity for both Jetstar and Qantas should help the airline retain its 65 percent share of the Australian domestic market.

 

From : http://www.channelnewsasia.com/stories/afp.../267254/1/.html