14 July 2014 at 09.10 GMT
International Airlines Group today converted 20 of 100 Airbus 320neo options it announced in August into firm orders.
The new generation aircraft, valued at $92 million each, will be delivered in 2018 and 2019 to provide both cost savings and environmental benefits.
New technology and improved aerodynamics will lower fuel burn and CO2 emissions by 15%, as well as providing both noise and performance advantages.
The A320s are intended to replace 21 British Airways’ short-haul aircraft “but will be re-allocated if the airline cannot make a profitable return from its short-haul business,” IAG said.
The BA, Iberia and Vueling parent company has negotiated a “substantial discount” from the list price of the new aircraft.
The 100-strong options are part of a Vueling order for up to 120 A320 family aircraft.
The remaining options can be used for any of the airlines in the group for aircraft replacement requirements.
Sourced from Travel Weekly