AirAsia X considering switching from Airbus order to narrowbody jets: CEO



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SINGAPORE: AirAsia X Bhd, which has yet to firm up an attempt at 34 Airbus SE A330neo widebody jets placed in July, is considering switching to somebody else A321neos, the CEO of its Malaysian arm said on Friday.

"This is something the team is discussing," Chief Executive Benyamin Ismail told reporters on the sidelines of a CAPA Center for Aviation Conference.

He said that the number could have been increased, but it could have been used in other markets.

The A330neo has a list price of $ 296.4 million each compared with $ 129.5 million for the smaller A321neo, though.

A switch to narrowbodies would be a setback for Airbus' A330neo program, which has been hit by a series of market losses to the rival Boeing Co 787.

AirAsia X is the largest customer for the A330neo, which is more fuel efficient than the older A330ceo jet that is part of the fleet's present.

Ismail said the deal signed with Airbus in July for 34 A330neos was a memorandum of understanding that had yet to be signed off by the company's board, but an earlier order for 66 A330neos was firm, with deliveries set to start by the end of 2019 .

In July, Airbus called the deal for 34 more A330neos "firm", which observers said usually received and paid. But the manufacturer has yet to place the deal in its order book.

Boeing Co, 787s as a result of potential problems with the Rolls-Royce Holdings PLC engines on the A330neo.

Similar Rolls-Royce engines on the 787s. AirAsia X would consider buying 787s with General Electric Co Engines, Ismail said.

AirAsia X founders Tony Fernandes and Kamarudin Meranun last week stepped down as co-CEOs of the group, which has been off-set in Malaysia, Thailand and Indonesia. They will remain non-executive directors.

Nadda Buranasiri, head of the Thai arm since 2014, was appointed as new group CEO.

AirAsia Group Bhd with AirAsia X AirAsia Group Bhd with AirAsia

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