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Vietjet signs deal for 50 additional A321neo aircraft and MoU for long-term engine support

Author: Theodore Koumelis / Date: Wed, 11/07/2018 - 05:20
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Vietjet President & CEO, Nguyen Thi Phuong Thao (1st from right) and Airbus Chief Commercial Officer, Christian Scherer (first from left) represented both parties in the signing of the purchase agreement. The signing was witnessed by Vietnam Prime Minister, Nguyen Xuan Phuc (3rd from right) and French Prime Minister, Édouard Philippe (third from left) during his official visit to Vietnam.
Vietjet President & CEO, Nguyen Thi Phuong Thao (2nd from right) and Vice President of Sales and Marketing for CFM International, Philippe Couteaux (2nd from left) with the signed MoU’s.
Vietjet President & CEO, Nguyen Thi Phuong Thao (2nd from right) and Vice President of Sales and Marketing for CFM International, Philippe Couteaux (2nd from left) with the signed MoU’s.
Vietjet President & CEO, Nguyen Thi Phuong Thao (1st from right) and Vice President of Sales and Marketing for CFM International, Philippe Couteaux (1st from left) signing the MoU for a long-term LEAP-1B engine support worth US$5.3 billion.
Vietjet President & CEO, Nguyen Thi Phuong Thao (1st from right) and Vice President of Sales and Marketing for CFM International, Philippe Couteaux (1st from left) signing the MoU for a long-term LEAP-1B engine support worth US$5.3 billion.
Vietjet President & CEO, Nguyen Thi Phuong Thao (2nd from right) and Airbus Chief Commercial Officer, Christian Scherer (2nd from left) holding the signed agreements
Vietjet President & CEO, Nguyen Thi Phuong Thao (2nd from right) and Airbus Chief Commercial Officer, Christian Scherer (2nd from left) holding the signed agreements

The new order will comprehensively realise Vietjet’s growth strategies and enhance the airline’s operational efficiency and capacity to expand its flight network especially on international routes, as well as serve the carrier’s development of airline alliances across the Asia Pacific region which sees the fastest aviation growth rate in the world.

Kuala Lumpur, Malaysia - New-age carrier Vietjet and Airbus has signed a purchase agreement for additional 50 A321neo aircraft worth US$6.5 billion according to manufacturer’s list price, finalising a Memorandum of Understanding (MOU) that was signed earlier this year at the Farnborough International Airshow.
 
Vietjet President and CEO, Nguyen Thi Phuong Thao and Airbus Chief Commercial Officer, Christian Scherer represented both parties in the signing of the purchase agreement. The signing was witnessed by Vietnam Prime Minister, Nguyen Xuan Phuc and French Prime Minister, Édouard Philippe during his official visit to Vietnam.

“We are honoured to be a long-term partner of Vietjet and pleased to finalise this new order,” said Christian Scherer, Airbus Chief Commercial Officer. “The airline’s latest preference for the Airbus product is a testimony of Vietjet’s professionalism and a great endorsement for the A321 in the fast-growing market.”

The new order will comprehensively realise Vietjet’s growth strategies and enhance the airline’s operational efficiency and capacity to expand its flight network especially on international routes, as well as serve the carrier’s development of airline alliances across the Asia Pacific region which sees the fastest aviation growth rate in the world.

As part of the agreement, Airbus will also deploy a series of strategic partnership programs inclusive of training for pilots, technicians and engineers, as well as flight management and flight safety management for Vietjet.

The A321neo is equipped with the latest engines, aerodynamic advances and cabin innovations and offers a reduction in fuel consumption of at least 15 per cent per seat and up to 20 per cent in 2020.

Separately, Vietjet has also signed a Memorandum of Understanding (MoU) with CFM International for a long-term LEAP-1B engine support worth US$5.3 billion according to the manufacturer’s list price. 

The MoU was signed between Vietjet President and CEO, Nguyen Thi Phuong Thao and Vice President of Sales and Marketing for CFM International, Philippe Couteaux under the witness of Vietnam’s Prime Minister Nguyen Xuan Phuc and French Prime Minister Édouard Philippe.

The MoU includes spare engines and support packages to facilitate the airline’s pre-existing order of new and modern aircraft.

CFM International has provided engines for Vietjet’s modern aircraft since the airline commenced operations in late 2011 with CFM56-powered aircraft and currently operates a fleet of 65 CFM56-powered aircraft.


“The LEAP-1B has been doing extremely well in commercial service in the last 18 months and we believe the engine will prove to be an important asset for Vietjet over the long term,” said Philippe Couteaux, Vice President of Sales and Marketing for CFM International.

“Over the past seven years, CFM has worked closely with Vietjet to introduce several support programs in terms of technical management, training, and fuel efficiency. We certainly appreciate the high level of confidence this agreement shows in CFM and we look forward to further strengthening this very special relationship in the years to come.”

ABOUT THE AUTHOR

Theodore Koumelis

Co-Founder & Managing Director

Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.