SINGAPORE, March 24 Singapore's Tiger Airways
Holdings Ltd has placed an order for 37 Airbus
A320neo aircraft valued at $3.8 billion at list prices,
taking delivery of the planes from 2018 to 2025, the carrier
said in a statement on Monday.
Tiger said an existing order for nine Airbus A320 aircraft,
part of a larger order agreed in 2007, will now be cancelled.
These aircraft were originally scheduled for delivery in 2014
The long-term fleet renewal and expansion comes as Tiger,
which is about 40 percent-owned by Singapore Airlines Ltd
, takes steps to try to prevent a third straight year
of losses. In January it sold its Tigerair Philippines business
to Cebu Pacific, the archipelago's biggest airline, cutting its
losses in a market where a sharp increase in available seats
pushed down ticket prices.
"We have re-calibrated our strategy and taken the necessary
steps to re-position Tigerair," Tiger chief executive Koay Peng
Yen said in the company's statement. "This deal effectively
dissipates some concerns over a potential capacity overhang in
the next couple of years."
Tiger said the negotiated price for the new order was
"significantly lower" than the list price. The jets will be
powered by engines from Pratt & Whitney.
(Reporting by Anshuman Daga; Editing by Kenneth Maxwell)