Guy Norris/LOS ANGELES

America West has confirmed a deal valued at $1.4 billion for up to 46 Airbus Industrie A319-100s and A320-200s after securing a last-minute agreement with the Air Line Pilots Association (ALPA).

The order was initially outlined a year ago, but prolonged negotiations over financing following the airline's emergence from bankruptcy and talks with the pilots union meant that the deal could not be given the firm go-ahead until 15 September. ALPA says that the agreement "-ensures that only America West pilots will fly those aircraft included in the order that are new-equipment models in the airline's fleet. Additionally, the accord allows America West to operate newly introduced A319s and any A321s acquired through this order under the same pilot contract provisions that apply to the A320."

America West, which now operates 26 A320s, says the firm portion of the order commits it to 22 A319-100s and 24 A320-200s, 12 of which are "subject to reconfirmation". The firm aircraft will be delivered between 1998 and 2001. The order also includes options to purchase an additional 40 A320 "class" aircraft during 2001 through 2005 and "-certain rights to convert firmly ordered A319s and A320s to larger A321 aircraft", it adds. The A319s will be configured with 124-128 seats in two classes.

William Franke, chairman and chief executive of the airline's parent group, America West Holdings, says that the deal "-replaces the agreements made prior to and during the airline's bankruptcy with an order providing significantly improved commercial terms". The airline adds that the restructured arrangements also cover finance assistance on between 12 and 16 aircraft, "-subject to the conclusion of satisfactory arrangements with an engine manufacturer". The current fleet is powered by International Aero Engines V2500s, although the language of the airline statement suggests that CFM International may make a strong bid for the order.

America West, which is based at Phoenix, Arizona, is due to decide by the end of the year on where and how the new aircraft will be used. "We're looking at different options ranging from opening services to new cities to increasing frequencies. The Airbus fleet is used for long- and short-haul services so anything is possible," it adds.

The carrier now operates a ßeet which includes large numbers of Boeing 737 200/300s and 757s.

Source: Flight International