Avianca A320neo

Avianca has finalised an agreement with Airbus to purchase 100 A320neo family aircraft for approximately $11bn.

The companies signed a memorandum of understanding in February for the deal, which is said to be largest in Latin America’s aviation history.

Under the deal, Avianca will buy A319neo, A320neo and A321neo aircraft, which will be used to replace Avianca’s fleet operating from its hubs in Bogota, Lima and San Salvador.

Avianca CEO Fabio Villegas Ramirez said: "This historic order allows us to solidify our passenger experience strategy in local markets on a broader scale.

"Thanks to the A320neo family’s fuel efficiency, technical reliability and unique passenger comfort, we can further Avianca’s fleet modernization process, while connecting the region and supporting its development."

The carrier has previously worked with Airbus on various fleet modernisation and expansion programmes.

"This historic order allows us to solidify our passenger experience strategy in local markets."

In 2012, Avianca placed an order for 51 A320 family aircraft, including 33 A320neo aircraft.

Airbus COO Customers John Leahy said: "The A320neo brings Avianca the highest efficiency at the lowest cost, making it ideally suited to operate within their network and especially within the region’s challenging airports."

With its new generation engines and Sharklets, the A320neois is claimed to offer more than 15% fuel efficiency.

In Latin America, the A320neo programme has so far logged 345 firm orders from six customers, including Avianca, Azul, Interjet, LATAM Airlines Group, VivaAerobus and Volaris.

Across Latin America and the Caribbean region, Airbus has sold more than 950 aircraft and has a backlog of around 500. Currently, over 550 Airbus aircraft are in operation.

Avianca Holdings operates Taca, Lacsa, Taca Peru, Aviateca, Aerogal, Avianca Brazil and Taca de Honduras.


Image: Avianca plans to use the new A320neo family airliners to replace its fleet operating from its hubs in Bogota, Lima and San Salvador. Photo: courtesy of Fixion / Airbus SAS.