AirAsia chief does not see risk of plane order bubble

PARIS Wed Dec 18, 2013 10:28am EST

PARIS Dec 18 (Reuters) - AirAsia Chief Executive Tony Fernandes dismissed speculation of an aircraft order bubble in Asia as his group ordered 25 jets worth $6 billion on top of 500 already ordered.

"I think all the planes that Airbus and Boeing have sold can be delievered in Asia, which is much bigger than Europe," he said.

"Whether all the airlines that bought them have a solid plan behind them, I can't comment, but definitiely the market can take it," he added.

Large orders by AirAsia and rival Lion Air have prompted some industry analysts to express concerns about over-ordering by low-cost carriers anxious to tap into the region's growth.

Fernandes also reiterated interest in a re-engined version of the long-haul Airbus A330, but speaking at the same plane order ceremony, Airbus executives deflected questions about whether they would consider such a plan.

A couple walks along the rough surf during sunset at Oahu's North Shore, December 26, 2013. REUTERS/Kevin Lamarque

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