Company Looks To Strengthen Fleet Performance And Efficiency

American Airlines has confirmed the selection of the Airbus A319 and A321 variants to be a part of its A320 family fleet order, which was announced in July 2011. The airline says it also plans to acquire 200 additional aircraft from the 737 family, with options for another 100 737 family aircraft.

The A319 aircraft will be powered by the CFM56-5B engine from CFM International, a joint venture between General Electric and Snecma. The A321 aircraft will be equipped with V2500-A5 engines from International Aero Engines (IAE), a joint venture between Pratt & Whitney, Rolls-Royce, MTU and JAEC. These engines were selected to enhance the operational performance and fuel efficiency of American's new Airbus fleet. The Airbus A320 family aircraft offer a 35 percent reduction in fuel cost per seat versus the MD-80 and a 12 percent and 15 percent fuel cost reduction per seat, respectively, versus the 757 and 767-200.

These 130 current-generation A319 and A321 aircraft are fully financed through lease transactions. The financial terms and conditions of the CFM56-5B and V2500-A5 engine purchase have not been disclosed.

"We are aggressively moving forward with our plans to have the youngest, most fuel-efficient fleet in the U.S. in the next five years," said Tom Horton, President of AMR and American Airlines. "The A319 and A321 aircraft will strengthen our fleet, helping us dramatically improve our fuel and operating costs, while at the same time, offering our customers the chance to fly in aircraft that are designed to greatly enhance their travel experience."

"We appreciate the high level of confidence this order shows in the CFM56 product line," said CFM President and CEO Jean-Paul Ebanga. "American is one of our largest CFM56-7B customers and we are pleased to introduce the CFM56-5B into its fleet. We are honored to be given this opportunity to be a part of their long-term fleet strategy and to continue our very successful relationship with American."

As announced in July 2011, American plans to take delivery of 130 current-generation aircraft from the Airbus A320 family starting in 2013. American exercised its rights to convert its delivery positions to the A319 and A321 variants.

Beginning in 2017, American expects to begin taking delivery of 130 aircraft from the A320neo (New Engine Option) family, making it the first network airline in the U.S. to deploy this new technology. Engine selection for the A320neo family aircraft will be made in the future.

As part of the Boeing agreement, American plans to take delivery of 100 aircraft from Boeing's current 737NG family starting in 2013, including three 737-800 options that had been exercised as of July 1, 2011. American also expects to acquire 100 of Boeing's next-generation 737 MAX aircraft, which will be powered by CFM International LEAP-1B engines. The new-engine variant is expected to have 10 to 12 percent lower fuel burn than current 737s.

American has plans to acquire 42 state-of-the-art 787 Dreamliners, which are currently scheduled to be delivered starting in late 2014. The Company also has firm orders for 15 777 widebody aircraft, which are scheduled for delivery in 2012 through 2016.

FMI: www.aa.com