PHOENIX --- America West Holdings Corporation announced today that its wholly owned subsidiary, America West Airlines, Inc., has agreed on a term sheet to amend its 1999 Airbus purchase contract.
The new agreement would call for the airline to acquire 22 Airbus A320 family aircraft (a mix of A320s and A319s), all powered by IAE V2500 engines from International Aero Engines. Of the 22 aircraft, 17 (10 A320s and seven A319s) would be purchased directly from the manufacturer and five would be leased from various lessors.
America West plans to take delivery of the five leased aircraft in early 2005, and the remaining 17 aircraft would be purchased in late 2005 and 2006. The additional 22 aircraft would be used by the airline to meet its growth targets of 8 to 10 percent in 2005 and 2006.
"We are pleased to announce we've reached an agreement with Airbus that allows us more flexibility as we plan for future growth," said Chairman and CEO Doug Parker. "The challenging industry environment continues to present opportunities for the low cost sector, and we believe America West has significant potential to capitalize on these opportunities."
In the context of this incremental order, America West also secured extensive flexibility from Airbus with respect to its existing A318 order, allowing the airline to better react to market conditions by enabling it to amend its 15 A318 delivery positions to A319s and A320s, if it so desires, or to no additional aircraft under certain conditions.
Fourteen of the 22 aircraft would be A320s configured with 12 first class and 138 main cabin seats; the eight remaining aircraft would be A319s configured with 12 first class and 112 main cabin seats.
America West has flown the A320 since 1991 and introduced the A319 in 1998. America West currently operates a fleet of 139 aircraft, including 50 A320 and 32 A319 aircraft.
America West Holdings Corporation is an aviation and travel services company with 2003 sales of $2.2 billion. Wholly owned subsidiary, America West Airlines, Inc., is the nation's second largest low-fare carrier with 13,000 employees providing service to nearly 55,000 customers a day in 94 destinations.
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America West Airlines Signs Agreement for Additional Airbus Aircraft
