Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Air Berlin says to buy 14 Airbus planes from Alitalia

Published 24/01/2015, 16:10
© Reuters. An aircraft operated by German carrier Air Berlin rolls out on the tarmac at Berlin's Tegel airport
AIR
-
AB1
-

BERLIN (Reuters) - Air Berlin (DE:AB1) said on Saturday it would buy 14 Airbus (PA:AIR) A320 planes from Alitalia [CAITLA.UL] in a move designed by major shareholder Etihad to benefit both loss-making airlines.

"I can confirm that we are receiving 14 A320 family aircraft from Alitalia to speed up our transition to an Airbus-only fleet. The aircraft will be bought and then sold to leasing companies," an Air Berlin spokesman said.

The spokesman, who was confirming a report in German business weekly WirtschaftsWoche, said the airline was still negotiating with potential leasing partners. He declined to comment on financial details.

WirtschaftsWoche said Alitalia would get a better price than on the open market by cutting out the middleman.

Etihad, the national airline of the United Arab Emirates, owns 49 percent of Alitalia and 29 percent of Air Berlin.

It has invested about 560 million euros ($628 million) in a rescue plan for the troubled Italian flagship carrier.

Air Berlin, Germaný's second-largest airline, plans to complete its move to an all-Airbus fleet for short- and medium-haul routes to help cut service and maintenance costs by the end of 2016.

© Reuters. An aircraft operated by German carrier Air Berlin rolls out on the tarmac at Berlin's Tegel airport

($1 = 0.8923 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.