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Written by Tim Heffer, Rajesh Kumar Singh, Valerie Insinna
PARIS/CHICAGO/WASHINGTON (Reuters) – Airbus is close to ordering dozens of wide-body jets from Delta Air Lines, including additional A350-1000s, industry sources told Reuters.
Depending on last-minute negotiations, the agreement could be made public as early as Friday, when U.S. airlines report their fourth-quarter results.
Airbus declined to comment. Delta Air Lines said it does not comment on industry speculation.
The Atlanta-based airline, which has ordered 100 Boeing 737 MAX 10 jets in 2022, is primarily an Airbus customer.
As of the end of September, the airline had 65 Airbus A330 wide-body aircraft and 28 A350-900 wide-body aircraft, with commitments to purchase 16 more of each.
The twin-aisle jets are expected to help the airline expand its network in Asia-Pacific, where global travel demand has been slower to recover than the United States and Europe after the pandemic.
But U.S. airlines are betting on the region as their next high-margin revenue stream as costs soar. This quarter, Delta Air Lines, United Airlines and American Airlines are estimated to increase the number of seats they fly to the region by more than 70% year-over-year.
Airlines are also rushing to order new aircraft to replace their existing fleets, fearing a shortage in the coming years.
Airbus set industry records for gross and net orders last year.
(Reporting by Rajesh Kumar Singh; Editing by Chris Reese)
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