IAG Firms 14 A320neo Family Options Placed In 2013

The International Airlines Group (#IAG), a business that owns a number of significant #European #airlines, has taken the initiative to solidify 14 options for #Airbus #A320neo aircraft. The options were originally placed by IAG in 2013, and this purchase is one of several purchases for next-generation narrowbodies that the company has solidified this year.

In a statement released by the holding company this morning, The International Airlines Group stated its intentions to convert the 14 options into firm orders. 11 of the orders are for examples of the common Airbus A320neo version, which pertains to the specific aircraft involved. The other three, though, deal with the bigger #A321neo.

In actuality, this isn't the first time this year that the committee has changed their minds about the contemporary single-aisle family in Europe. In fact, IAG converted eight A320neo series options into firm orders in March 2022, including two A321neos and six A320neos. IAG's Chief Financial Officer, Nicholas Cadbury, made the following comments about the benefits and timings of the new aircraft: "When these planes are delivered in 2024 and 2025, they will take the place of short-haul A320ceo family aircraft in the fleet of the Group. These more recent, fuel-efficient aircraft will benefit IAG airlines in terms of cost savings and the environment."

Certain aspects of the order issue are still unclear, either because they haven't been decided upon or because they haven't been made public. For instance, IAG has not yet decided which engines it will install in the aircraft. The choice will be between the Pratt & Whitney PW1100G and CFM International LEAP-1A turbofan families.

Although the group did at least mention that it had "negotiated a substantial discount from the original price," the amount IAG will pay for the aircraft is likewise unknown. The holding firm has not yet decided how it would finance the order, but it still has some time as it will make that choice closer to the delivery date.

It will be interesting to observe where the planes land and which IAG member airline they wind up flying for. Given that four of its carriers currently use A320neo-family aircraft, there are numerous alternatives. The exception is Level Airlines; the others are Aer Lingus, British Airways, Iberia, and Vueling Airlines.

It's interesting to note that IAG has made commitments to several next-generation narrowbody families this year in addition to the Airbus A320neo series. In fact, after much speculation, the group placed a solid order for the Boeing 737 MAX in May after expressing interest in the model at the 2019 Paris Air Show three years prior.

With a total of 50 firm orders secured for Boeing's contemporary single-aisle aircraft, this turned out to be a much bigger deal than IAG's previous A320neo family conversion. With deliveries beginning the next year, it also offers options for an additional 100.