SYDNEY (AP) -- Budget carrier Virgin Blue said Thursday it would buy up to 105 new Boeing 737s in its biggest ever single plane order, signaling confidence that the Australian market is recovering.
The price was not released, but CEO Brett Godfrey said the deal was completed on "attractive commercial terms." He said financing was expected to be completed soon.
Virgin Blue Holdings Ltd., Australia's second-largest airline, said Boeing deal includes firm orders for 50 B737-800NG aircraft, 25 additional firm delivery positions secured as options and 30 future purchase rights. The 50 planes on firm order can be converted to either B737-700 or B737-900 models.
Delivery of the new planes from Chicago, Illinois-based Boeing Co., is scheduled from June next year through 2017, the company said in a statement to the Australian stock exchange.
"Securing this agreement now places Virgin Blue in a strong position to prepare for steady future growth as domestic and short haul markets recover," Godfrey said in a statement.