Oders 32 Airbus Jets, As Well As Two 777-300s

Brazil’s largest airline has signed a Memorandum of Understanding for 32 Airbus A320 aircraft, 22 of which are the new A320neo airplanes, while placeing an order for two new Boeing 777-300ERs as well. 10 A320 Family aircraft were also included in the Airbus MoU.

TAM A320

The order makes TAM the launch customer for the A320neo in Latin America. Engine selection will be announced by the airline at a later date.

The A320neo, which will begin deliveries in 2016, incorporates new more efficient engines and large wing tip devices called Sharklets, which Airbus says delivers fuel savings of up to 15 percent, representing up to 3,600 tonnes CO2 annually per aircraft. In addition, the A320neo provides a double-digit reduction in NOx emissions and significantly reduced engine noise, according to the planemaker.

“Our order for industry leading fuel efficient aircraft opens a world of possibilities for TAM, thanks to its substantially increased range capability,” said Líbano Barroso, CEO of TAM Airlines. “Ordering more A320s allows TAM to reduce costs and further improve our environmental performance.”

“The A320neo will fit neatly into TAM Airlines’ fleet, offering maximum benefit for minimum change,” said John Leahy, Chief Operating Officer, Customers.  “This enables TAM to take full advantage of Brazil’s expected growth in air travel, especially in light of the upcoming World Cup and Olympic Games, and to do so in the most eco-efficient way possible”.

The Brazilian carrier has also ordered two additional 777-300ERs (extended range) with two purchase rights. The order, announced Monday, is valued at approximately $568 million at current list prices and brings TAM's total number of 777s to 12.

TAM B777

"TAM continues to position itself as one of the world's leading airlines," said Marlin Dailey, vice president of Sales & Marketing for Boeing Commercial Airplanes. "We are pleased TAM continues to choose Boeing's 777-300ER for its long-haul fleet needs and look forward to working together with TAM as they grow their international network."

Boeing says the 777 is the market leader in the 300 to 400 seat market. "These additional airplanes will help us expand our long-haul service capability to meet the growing market demand in Brazil and beyond," said Marco Antonio Bologna, chief executive officer, TAM Holdings.

"The Brazilian aviation market continues to grow at a rapid pace. The 777-300ER provides us the performance and versatility we need to develop our network competitively and capitalize on robust international traffic growth," added Libano Barroso, chief executive officer, TAM Airlines.

FMI: www.boeing.com, www.airbus.com, www.tam.com.br