Spirit Airlines Inc commits to buying 100 Airbus A320neo jets worth $11-$12 billion

On Monday, U.S. budget carrier Spirit Airlines Inc stated it aims to purchase 100 Airbus A320neo-family jets which are scheduled to be delivered to it through 2027; the agreement comes with options to purchase up to 50 additional aircraft.

Spirit’s statement also mentions that the purchase deal includes a mix of Airbus A319, A320, and A321 models.

The purchase agreement comes in the wake of a provisional deal, which Spirit signed this October with Boeing despite U.S. tariffs threats on European planes.

Depending on which models form part of the deal, the purchase agreement could be worth $11 billion to $12 billion, basing on 2018’s Airbus list prices; industry sources say, such deals typically involve deep discounts of at least 50%.

Spirit currently operates an all-Airbus fleet of 140 jets.

Since aircraft are typically ordered several years in advance, any planes ordered now would only be covered by tariffs in the event of an extended transatlantic tariff war.

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