IndiGo Helps Put Airbus Orders Ahead of Boeing’s
Airbus has now surpassed Boeing in plane orders for this year now that Interglobe Enterprises airline IndiGo has ordered 100 of their A320 planes.
“IndiGo is the result of extensive analysis and planning by very experienced airline executives and we are convinced it will be a successful new player in a market that is both large and fast growing,” said Airbus president and CEO Nol Forgeard.
The planes are valued at $6 billion, but Airbus has not revealed the price of the deal. IndiGo is a low cost airline based in India. The deal was made at the Paris Air Show.
“The Indian market is growing rather dramatically right now,” Airbus’s chief commercial officer, John Leahyat said at a press conference at the Show. “We now see new carriers entering the market.”According to Bloomberg News,
Asia-Pacific airlines, including those in India, will account for 36 percent of the $2.1 trillion dollars that will be spent on new aircraft over the next 20 years, Boeing said on June 8.
Shares of EADS, Airbus’s 80 percent owner, rose as much as 38 cents, or 1.6 percent, to 23.68 euros and were 0.8 percent higher at 1:57 p.m. in Paris. The stock has risen 9.7 percent this year, compared with a 24 percent gain for Boeing shares.
“The aviation industry in India is on the threshold of the next big revolution and IndiGo is ideally positioned to fill the fast emerging need for reliable, efficient and economical air travel,” said InterGlobe Enterprises managing director Rahul Bhatia. “IndiGo will also make a humble yet significant contribution to India’s growth by creating employment opportunities directly and through ancillary services.”
Airbus has beaten Boeing in plane orders at the Paris Air Show for the last four years. The company has over 190 customers around the world. Orders for planes in the Airbus A320 family have totaled over 3,500.