Singapore Airlines has ordered five more Airbus A380s and 20 A350-900s, plus announced plans to transfer its 20 787s on order to low-cost subsidiary Scoot.
The new Airbuses are valued at US$7.5 billion at list prices. It is the third A380 order by Singapore Airlines and brings its total commitments for the type to 24, while it now has 40 A350s on order.
“This major order will provide us with additional growth opportunities and is consistent with our longstanding policy of maintaining a young and modern fleet. It demonstrates our commitment to the Singapore hub, and our confidence in the strength of the market for premium full-service travel,” said Singapore Airlines CEO Goh Choon Phong. “The aircraft will enable us to further enhance our network, providing more travel options to our customers. They will also feature the next generation of in-flight cabin products to keep us at the forefront of airline product innovation.”
Under the deal Airbus will trade-in the airline’s five A340-500s, which will be removed from service in the fourth quarter of 2013. As a result Singapore Airlines will cease non-stop Singapore-Los Angeles and Singapore-Newark flights, “in the absence of replacement aircraft in the SIA fleet with sufficient range and operating economics”.
Said Mr Goh: “Although disappointing that we will be halting these services, we remain very committed to the US market. Over the past two years we have increased capacity to both Los Angeles and New York by deploying A380 superjumbos on flights via Tokyo and Frankfurt. We will also continue to explore additional options to enhance our US services.”
Meanwhile, Singapore Airlines’ 20 Boeing 787s on order will now be transferred to its low-cost, long haul Scoot subsidiary.
“Today’s announcement that we’ll be acquiring 20 Boeing 787s to power our growth is exciting news and great for our guests – not least because the aircraft’s fuel efficiency will help keep ticket prices low,” said Scoot CEO Campbell Wilson.
The 20 787-9s will be delivered from 2014. “The 20 fuel-efficient aircraft will be used to replace Scoot’s Boeing 777-200 fleet and facilitate the airline’s ongoing expansion,” the airline said in a statement.
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