FIJI’S AIR PACIFIC TO SPEND $655 MILLION ON NEW AIRCRAFT

admin's picture

FIJI’S AIR PACIFIC TO SPEND $655 MILLION ON NEW AIRCRAFT

SUVA, Fiji (Fijilive, Jan. 15) - Fiji’s flag carrier, Air Pacific is planning to spend almost FJ$1 billion [US$655 million] to buy three more B787-9 Dreamliners, powered by GE GEnX engines, for delivery in 2016 and 2017, airline chairman Nalin Patel announced today.

These are in addition to the five B787-9 Dreamliners purchased by Air Pacific for delivery in 2011 and 2012.

The aircraft have a list price of FJ$927 million [US$607 million]. This brings the total fleet order to FJ$2.4 billion [US$1.5 billion], the largest transaction ever undertaken by a Fiji company, Patel says.

Purchase rights for a further three B787-9’s to be delivered after 2019 have been taken by Air Pacific. These purchase rights will be converted to firm orders at a later time to bring the B787-9 fleet to eleven aircraft, Patel said.

Patel further said that the commitment for these additional aircraft was an expression of confidence by Air Pacific in the future of Fiji’s tourism industry and the overall growth of passenger and cargo business within the South Pacific over the coming decade.

The first five B787-9 Dreamliner aircraft to be delivered in 2011 and 2012 will replace the airline’s current fleet of two Boeing B747-400 and one Boeing B767-300ER aircraft and provide for forecast growth.

At the projected growth rate, further aircraft will be required from 2016 and this order will meet that demand, Patel added.

The eight aircraft will be deployed on the existing USA, Japan and near Pacific network and facilitate the airline’s planned expansion to points in Asia and around the Pacific Rim.

The three additional aircraft are projected to create around 160 new jobs for pilots, cabin crew, engineers and support staff in Fiji.

The aircraft will be funded through cash flow and borrowings with a decision yet to be taken on the ratio of aircraft to be acquired by outright purchase and sale/lease back, Patel said.

Rate this article: 
No votes yet

Add new comment