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Cebu Pacific has signed a binding MOU with Airbus for the purchase of up to 152 A321neo aircraft for $24 billion (P1.4 trillion) based on list prices
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This is the largest aircraft order in Philippine aviation history
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The MOU covers firm orders for up to 102 A321neo, plus 50 A320neo family purchase rights
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The transaction is expected to be completed in the third quarter of the year
Cebu Pacific has signed a binding memorandum of understanding with Airbus for the purchase of up to 152 A321neo aircraft for $24 billion (P1.4 trillion) based on list prices, the largest aircraft order in Philippine aviation history.
The MOU covers firm orders for up to 102 A321neo, plus 50 A320neo family purchase rights. The low-cost carrier selected Pratt & Whitney (P&W) GTF™ engines to power the future aircraft.
The MOU signing comes after Cebu Pacific last year said it was reviewing proposals from suppliers after it issued in October 2023 the request for proposals to both Airbus and Boeing for 100 to 150 narrowbody jets representing the largest ever commitment of any airline in the Philippines.
READ: Cebu Pacific eyes purchase of up to 150 aircraft worth $12B
“The order is designed to provide Cebu Pacific with maximum flexibility to adapt fleet growth to market conditions, with the ability to switch between the A321neo and A320neo,” Cebu Pacific chief executive officer Michael Szucs said in a statement.
“When finalized, the deal will be a significant milestone for the local airline industry and a testament to CEB’s unwavering commitment to support the Philippine growth story,” Szucs added.
The purchase agreement to finalize the transaction is expected to be completed in the third quarter of the year.
Aside from the Airbus MOU, Cebu Pacific last February also signed an MOU with P&W to provide the low-cost carrier with engines for 15 narrowbody jets for the A320/A321 family of aircraft to support its operational resiliency and capacity.
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