Airbus Industrie this week confirmed a landmark Latin American deal worth up to £2.4bn for up to 179 short haul airliners.
British Aerospace, with a 20% stake in Airbus, stands to earn up to £480m from the combined order for A319 and A320 airliners from three airlines Lan-Chile, Brazil’s TAM and the El Salvador-based Taca Group.
This is the first major breakthrough for Airbus in Latin America, where it has fought off stiff competition from the US’s Boeing, offering variants of its 737.
Under the terms of the deal, the airlines are placing 90 firm orders and are also taking out 89 options. Although the value of the deal was not officially disclosed, A319 and A320 airliner list prices are between $41m and $49m each.
The Latin American airliner group ordered and took options on 11 fewer airliners than was expected when news of the deal emerged in February. Despite this, the originally expected value of the contract was £100m less than the latest £2.4bn price.