Virgin Blue signs up for 105 Boeing 737s
01 Apr 2010
Sydney: Australia's second biggest airline and budget carrier, Virgin Blue, announced its biggest ever single plane order Thursday saying it would buy up to 105 new Boeing 737s. The move, said analysts, marks confidence in the recovery of the Australian market.
Virgin Blue CEO Brett Godfrey said the deal was completed on "attractive commercial terms" and that financing would be completed soon. The price was not released.
According to Virgin Blue the Boeing deal includes firm orders for 50 B737-800NG aircraft, 25 additional firm delivery positions secured as options and 30 future purchase rights. Also, the 50 planes on firm order can be converted to either B737-700 or B737-900 models.
Delivery of the new planes is scheduled from June next year through 2017, the company said in a statement to the Australian stock exchange.
"Securing this agreement now places Virgin Blue in a strong position to prepare for steady future growth as domestic and short haul markets recover," Godfrey said in a statement.
