Airbus shares gain as it wins orders for 431 new planes

Airbus shares are higher Friday as the conclusion of the Farnborough air show saw the European plane maker secure orders and commitments for 431 aircraft.

Airbus shares gain as it wins orders for 431 new planes

Airbus shares are a little higher Friday, after the European plane maker announced it had won orders for 431 planes at this week’s Farnborough air show. While that was below the 673 new orders and commitments secured by rival Boeing, it represented a positive outcome for the firm.

By 1035 BST, Airbus shares were 0.09% higher at €107.18 after giving back some of the initial gains made at the market open. The stock has been broadly higher in recent weeks.

Airbus secures new AirAsia order

Among the deals Airbus agreed over the past four days in the UK, was an important one from AirAsia. The fast-growing airline is an existing Airbus customer and an order for 34 Airbus A330neo jets raised its total orders with the European airline to 100 planes.

“We did a three-year review in coming to terms on this order as we looked for aircraft suitable for our growth expansion, and it is a testament to Airbus and its A330 on how they will help AirAsia in our business growth expansion,” said Kamarudin Meranun, AirAsia X Group Chief Executive Officer.

Including the AirAsia agreement, Airbus said it had secured firm orders for 93 planes and memorandum of understanding for another 338 aircraft.

A220 success

Airbus also said that it was pleased with the performance of its latest aircraft, the A220. This new model is the result of the company’s purchase of the Bombardier C-Series and suggests the deal was the right choice for the plane maker.

“Having taken charge of the A220’s sales and marketing activity only two weeks ago, we’ve been able to conclude two major orders,” Eric Schulz, Airbus Chief Commercial Officer said.

“Building on the previous commercial efforts of Bombardier, we’re bringing the major resources of Airbus today – especially with our expertise in the single-aisle market,” Schulz added.

By adding the A220 to its aircraft options, Airbus said it had created more flexibility for its potential customers and that’s something they appear to appreciate.

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