Cathay Dragon has signed a memorandum of understanding to acquire 32 Airbus A321neo aircraft, in a deal valued at HK$31.7 billion ($4.05 billion) at list prices.
The new jets, scheduled to be delivered between 2020 and 2023, are intended to replace the Hong Kong regional carrier's existing fleet of 23 narrowbodies. These comprise of 15 A320s and eight A321s.
"The intention to purchase these 32 environmentally-friendly aircraft will allow us to add new destinations to Cathay Dragon's network. We also intend to increase frequencies on some of our most popular routes in order to provide our customers with more travel choices and convenience," says Cathay Pacific's chief executive Rupert Hogg.
"The substantial investment we are making in new aircraft underlines our confidence in the future of the Cathay Pacific Group, as well as our commitment to bolstering Hong Kong's position as Asia's largest international aviation hub as we bring new connectivity to and from our home."
Besides the 23 narrowbodies, Cathay Dragon also has 24 Airbus A330s in its fleet.