Croatia Airlines to cancel A320neo order

Croatia Airlines (OU, Zagreb) is in talks with Airbus about the cancellation of orders for four A320-200Ns and the use of corresponding pre-delivery payments for other services provided by the manufacturer. “Negotiations concerning the Termination Agreement, which will result in the cancellation of the A320neo order and the use of the deposit for other Airbus services are currently on hold due to COVID-19 and will resume as soon as possible,” the airline confirmed in a statement to Ex-Yu Aviation. Talks between Airbus and Croatia Airlines about the cancellation started before the onset of the COVID-19 pandemic. Croatia Airlines planned to take two A320neo in 2022 and another two in 2023 and has so far made EUR8.5 million euros (USD10 million) in pre-delivery payments for the four jets. The order was converted in 2015 from a previous commitment for four new A319-100s. While the airline did not specify the exact nature of the “services” it is looking for from Airbus, they could be related to the carrier’s existing fleet of A320ceo Family jets, which entails five A319s and two A320-200s. According to the ch-aviation fleets ownership module, the airline owns four A319s and one A320. The fifth A319 is leased from Oaktree Capital Management, and the other A320 from Carlyle Aviation Partners. Croatia Airlines’ A319s are 19 years old on average, while the A320s are 20.8 years old on average. Croatia Airlines also operates six DHC-8-Q400s, which are all dry-leased (two each from AeroCentury, Chorus Aviation Capital, and Falko Regional Aircraft).