Emirates Airlines said Thursday it has struck a $16 billion deal to buy 36 Airbus A380 superjumbos just days after the European manufacturer said it would have to halt production without new orders.
The company said it had placed firm orders for 20 double-decker aircraft, with options for 16 more. Deliveries are scheduled to start in 2020.
Emirates is already the world’s biggest customer for the A380, with 101 in its fleet and 41 firm orders already placed.
The Dubai-based airline said that with the new order, it will have commitments for 178 A380s worth $60 billion.
The deal was expected to be signed during the Dubai Airshow in November but was delayed without explanation amid reports of tough negotiations.
Instead, Emirates inked a deal to buy 40 Boeing Dreamliners for over $15 billion.
Airbus’s decision in 2007 to pursue the A380, capable of packing in 853 seats, opposed Boeing’s bet on the Dreamliner, marketed as a more efficient plane that could be used for both medium and long-distance flights.
However, the economics of the A380 have proved daunting, with airlines having to fly every flight at full capacity to make a profit.
Airbus warned on Monday that it might have to end production of the A380, as it has not booked any new orders for the plane in two years.
It said it regarded Emirates as the only airline with the capacity to place an order of the size required to keep production going.
“We’ve made no secret that the A380 has been a success for Emirates,” the airline´s chairman and CEO, Sheikh Ahmed bin Saeed Al-Maktoum, said.
“Our customers love it, and we’ve been able to deploy it on different missions across our network, giving us flexibility in range and passenger mix.”
Emirates operates a fleet of 269 wide-bodied aircraft and flies to 157 destinations. (AFP)
