Cebu Air orders 7 Airbus planes, delays delivery of earlier order

Philippine low-cost carrier Cebu Air Inc said it has placed an order with Airbus for seven A321CEO planes worth $812 million to meet increased capacity needs but is delaying deliveries of 32 A321NEO planes already ordered by about a year.Cebu Air, also known as Cebu Pacific, said in a statement on Wednesday the seven A321CEO aircraft are for delivery from March 2018. The A321NEO aircraft will now be delivered between the fourth quarter of 2018 until 2022, compared to the earlier plan of deliveries beginning September 2017 until 2021, it said.Cebu Air said it has decided to defer the A321NEO deliveries due to delays with the Pratt and Whitney engines selected to power the aircraft.”We have decided to take a conservative approach to the introduction of the A321NEO into our operations,”Cebu Air Chief Finance Officer Andrew Huang said in the statement.”We remain confident that Pratt and Whitney will address all issues on the GTF (Geared Turbo Fan) engine.”Pratt and Whitney, the aircraft-engine unit of United Technologies Corp, did not immediately respond to an emailed request for comment.The $812 million value of the latest order is based on list prices. Aircraft manufacturers typically give discounts to list prices. Airlines in Southeast Asia, including AirAsia and Vietjet Aviation JSC, have placed large aircraft orders in recent years.

Source: Civil Aviation Authority, Qatar