easyJet has 'no ability to terminate' purchase agreement with Airbus

16 April, 2020

easyJet commented (16-Apr-2020) on its aircraft order arrangement with Airbus, stating it has "no ability to terminate the contract by reason of force majeure". The carrier outlined the following consequences if it were to attempt to terminate its purchase agreement with Airbus:

  • The level of direct OEM support for the operation of its existing fleet would "increase in cost significantly", as the LCC would have to purchase requisite software licences, training and onsite supports directly from a single-source supplier, as well as losing access to warranties and guarantees which underwrite the long term performance of the aircraft;
  • easyJet noted it would be liable for compensation related to the discounts received on the 45 aircraft it has had delivered to date under the 2013 contract;
  • It would also be liable for any future losses that the OEM could demonstrate as a result of the termination of the contract. [more - original PR]