Low-cost carrier (LCC) Cebu Pacific Air has agreed to sell four of its Airbus A319 aircraft to the subsidiary of Allegiant Travel Company.
Under a forward sale agreement signed by both sides, the four airplanes are scheduled to be delivered from 2017 to 2018 to Allegiant, the parent company of Las Vegas-based LCC Allegiant Air.
“By the end of 2016, Allegiant will be a majority Airbus carrier, as measured by available seat miles. This agreement to purchase additional aircraft from Cebu Pacific is an important step in our long-term transition to a single fleet type,” Allegiant chief operating officer Jude Bricker said in a statement.
Allegiant had previously agreed to purchase six Airbus A319 aircraft from Cebu Pacific, with three remaining deliveries scheduled to occur later this year. The younger A320 family aircraft will help Allegiant increase operational efficiency in the coming years. The enhanced operating economics of the aircraft will also open up new growth opportunities for the company by making longer routes and off-peak flying profitable, it said.
Meanwhile, Cebu Pacific is anticipating the arrival of additional aircraft that will form part of its conservative fleet renewal program.
“As we aim to expand our operations both in the Philippines and abroad, we remain invested in upgrading our fleet with fuel efficient, versatile aircraft. Between 2016 and 2021, we are anticipating the delivery of 30 Airbus A321neos, for long-range capability, and 16 ATR 72-600 turboprop planes, for better inter-island connectivity,” Cebu Pacific president and chief executive officer Lance Gokongwei said.
Cebu Pacific will be taking delivery of 30 brand-new Airbus A321neo aircraft, the largest model in the A320neo series. The A321neo incorporates new engines and wing-tip devices called Sharklets that together can deliver fuel savings of 20% and additional payload or range capability. The aircraft has a flying radius of over six hours and can be configured to have up to 240 seats, allowing the carrier to access new markets in the Indian sub-continent and Australia.
Cebu Pacific also ordered 16 ATR 72-600 turboprop aircraft to meet increasing demand for inter-island services in the Philippines. The ATR planes can operate on short runways, enabling the budget carrier to expand operations to several smaller airports in the country.
