Kuwait Airways signed an agreement with Airbus to purchase eight A330-800 Neo aircraft after five months of negotiations with the French plane maker to replace leased jets in its fleet.
The new aircraft will be delivered starting March 2019 through to the end of 2026, Kuwait Airways said on its official Twitter account yesterday. The deal is worth more than $2 billion (Dh7.4bn) in list prices, though airlines often get discounted prices.
The aircraft will “reduce the capital investment in the fleet with its new re-configuration and improved operation costs,” the state-owned Gulf carrier said in its tweet.
Kuwait Airways’ fleet will be comprised of 38 planes including 5 A350-900s, the 8 A330-800 Neos, 15 Airbus A320 Neos and 10 Boeing 777-300ERs.
Kuwait Airways, the flag carrier of the Arabian Gulf nation, competes with low-cost Jazeera Airways and Wataniya Airways.
Jazeera Airways had previously expressed an interest in buying a stake in Kuwait Airways, which the government had considered privatising.
Kuwait Airways had undergone a major restructure after it suffered consistent losses over the past few years.