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Cathay Pacific Airways today announced that, subject to the approval of the Board of the Company, it will enter into an agreement with Airbus to convert 16 of its previously ordered Airbus A350-900 aircraft into larger Airbus A350-1000 aircraft and to exercise an option to purchase an additional 10 Airbus A350-1000 aircraft. The list price of the 10 aircraft is about HK$25.565 billion and the incremental list price for the conversion is about HK$8.457 billion.
The Board of the Company is expected to consider the agreement when it meets on 8 August 2012.
Cathay Pacific Chief Executive John Slosar said: "This is an important and strategic development for Cathay Pacific. The A350-1000 aircraft will bring us world-beating fuel efficiency and environmental friendliness. It will also be a very popular aircraft with our customers and its improved payload and range will allow us to connect more and more important cities worldwide directly with Hong Kong. With this order, Cathay Pacific will have a total of 100 aircraft on order for delivery by 2020 comprising an aggregate investment at list prices of HK$ 218 billion."
Following this latest order, the airline will have 22 Airbus A350-900s and 26 Airbus A350-1000s on order. The A350-1000 aircraft will be powered by the higher thrust version of the Rolls-Royce Trent XWB engine.
Airbus President & CEO Fabrice Brégier said: "This announcement from one of the world's most highly respected airlines is a clear endorsement of the unbeatable operating economics offered by the A350 XWB. The A350-1000 will be a game changer in the 350-seat category, offering outstanding payload-range capability, new levels of comfort and a 25 per cent reduction in fuel burn. We look forward to building on our long-term relationship with Cathay Pacific as the airline brings new levels of efficiency to the long haul market."
This additional order will be yet another key milestone in the airline's fleet modernisation, which is in line with the Company's long-term growth plan. Cathay Pacific currently operates a fleet of 135 wide-body aircraft.
Mr Slosar said that the latest aircraft order demonstrates once again the airline's confidence in Hong Kong and its very successful aviation hub and underlines its commitment as the home carrier of Hong Kong.
In addition to new aircraft, Cathay Pacific is investing HK$5.9 billion in a new cargo terminal at Hong Kong International Airport, scheduled to open in early 2013, and is enhancing its products on board its aircraft and on the ground.