Cebu Pacific has signed a binding Memorandum of Understanding (MOU) with Airbus for the purchase of up to 152 A321neo aircraft. Valued at USD $24 billion (PHP 1.4 trillion) based on list prices, this agreement marks the largest aircraft order in Philippine history.
The MOU includes firm orders for up to 102 A321neo and 50 A320neo family purchase rights. Cebu Pacific has chosen Pratt & Whitney GTFTM engines to power these future aircraft. Michael Szucs, CEB Chief Executive Officer, emphasized the flexibility of this order, stating, “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.” The final purchase agreement is expected to be completed in the third quarter of the year.
Enhancing Fleet and Market Presence
This order represents a major milestone for Cebu Pacific and the local airline industry. Szucs highlighted the airline’s commitment, saying, “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.” The new aircraft will enhance Cebu Pacific’s ability to serve its market efficiently and adapt to changing conditions.
In addition to this historic order, Cebu Pacific is set to take delivery of 34 more planes, including eight A330-900neo. Xander Lao mentioned that this massive order would serve both as expansion and aircraft replacement, ensuring that the airline remains competitive and continues to grow its market presence.
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