SAS closes in on big Airbus order

Deal would include up to 50 A320neo aircraft.

SAS is in talks with Airbus about buying a significant number of A320neo aircraft for its short-haul fleet, up to 50 of them according to some sources. A deal is expected this spring after the airline stopped negotiations with Boeing, its finance chief told the news agency Reuters.

SAS is in talks with Japanese investors, Goran Jansson also revealed, about a Japanese operating lease with a call option, or JOLCO, to fund the purchase.

JOLCO is a little-known aircraft financing structure that SAS already uses, where planes are leased from a Japanese investor and the airline has a buyout option.

Out with the Boeings
Jansson, who will start a new role plotting strategy at the airline in March, has said previously that SAS needs to invest in 40 to 50 new aircraft in addition to those already on order. The list price for an A320neo is $108 million.

SAS is currently trying to renew its elderly and fuel-intensive fleet, such as its older Boeings, in the face of low-cost competition. Back in the black after years of struggling, it is forging ahead with new efforts to stay competitive, such as setting up bases outside Scandinavia to cut staff costs.

Related stories

New face at SAS for “key strategic ventures”

SAS premieres new aircraft type

Wizz Air agrees massive Airbus deal

x

Check Also

Primera Air, airlines, list, low-cost, long-haul, cheapest, Rome2Rio, ranking, cost per kilometre, SAS, Norwegian, Finnair, Virgin, world, Global Flight Pricing

Cheapest airlines in the world listed

Airlines are ranked according to the lowest fares for passengers in terms of cost per kilometre.

SAS, wifi, internet, price, cost, flight, air travel, free, go, premium, business, high-speed, wireless, device, steam

SAS rolls out fast wi-fi on Europe routes

SAS declares the new high-speed connectivity to be the “best product on the market”.

SAS, food, Nordic, new, menu, inflight, SAS Plus, local, seafood

SAS presents new Nordic summer menu

It’s the tiny details that count in New Nordic City, now being served to SAS Plus passengers.

SWISS, Lufthansa, order, Airbus, delivery, delays

Delivery delays force Lufthansa Group into new order

The group, which includes SWISS, is having to make an order that includes older Airbus A320ceos.

SAS, Heathrow, London,

New routes and extra flights for Sweden

SAS plans increased air traffic from Stockholm Arlanda and Gothenburg for winter 2018-19.

wizz air, brexit, licence, UK, easyjet, Vienna, Austria, airline, Luton, subsidiary, company

Wizz Air UK wing gets licence as Brexit looms

The move is in the opposite direction to UK’s easyJet, which says it will set up a new HQ in Vienna.