Tigerair Singapore (which owns 40% of Tigerair Australia) has just placed the type of new jet order that an airline would when it can't afford to risk another dollar on fleet for the next two years.
It has cancelled a 2007 order for nine current series Airbus A320s for delivery this year and next, while ordering 37 A320 NEOs plus 13 options for delivery from 2018 to 2025.
These new technology engine versions of the A320 will use the Pratt & Whitney geared turbofan PW1100G-JM option.
The deal underlines signals that the low fare franchise model is under stress in Singapore from competitive pressure from Jetstar Asia, which has also 'paused' its expansion plans, and the Air Asia franchise.
The deal has no effect on Tigerair (Australia) which is 60% owned by Virgin Australia. While the two branches of Tigerair could engage in joint fleet ordering deals, this deal was struck by the Singapore division of Tigerair for its own purposes.
Under its terms Tigerair Singapore could also upgrade some of the jets to the larger A321 model.
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