Paris: Upstart Brazilian airline Azul, run by US-Brazilian entrepreneur David Neeleman, is buying 35 fuel-efficient mid-range A320neo planes to expand its operations, according to manufacturer Airbus.
The deal is nominally worth €2.9 billion (Dh13.25 billion) at Airbus’s catalogue prices, though discounts are routinely given.
Azul has separately already concluded a leasing contract for another 28 A320neos.
The A320neo is an upgrade of Airbus’s popular A320 short- and mid-range aircraft, fitted with new engines designed to be 15 per cent more fuel efficient.
Airbus said in a statement that Azul had chosen the A320neos to service routes within Brazil, particularly high-density ones such as between Campinas in Sao Paulo state with the popular coastal destinations of Salvador de Bahia and Recife.
“An important driver for selecting the A320neo was the aircraft’s low operating costs and excellent fuel efficiency,” Airbus said, adding that the purchased planes would be equipped with CFM turbofan engines made jointly by GE Aviation of the US and France’s Safran.
Azul started as a low-cost domestic outfit in Brazil in 2008, competing with established airlines Gol and TAM.
Neeleman, who founded JetBlue in the United States, has plans to add long haul international routes to its services. Azul has already started flights to the US state of Florida.
“In addition to its market leading economics ... the A320neo is also a perfect complement to our E-Jet fleet” of Brazilian-made Embraer aircraft, Neeleman said in the same statement.
