TOULOUSE, FRANCEThe European airframer Airbus has agreed to cut prices or reschedule delivery for hundreds of jets ordered by Malaysia's budget carrier AirAsia.

The restructuring deal aims to reset relations between two of the industry's closest partners, torn apart by the financial impact of the coronavirus crisis that caused uncertainty over the fate of up to 400 A320-family single-aisle jets ordered by AirAsia.

The deal does not involve canceling jets on order but includes a new delivery schedule and price cuts or other improvements in terms, the sources said.

AirAsia said last year it would stop taking deliveries of all Airbus jets and review remaining orders.

Industry sources said it had also stopped sending progress payments to Airbus, prompting the planemaker to suspend plans to produce jets on order pending the new restructuring deal.

The deal comes as other airlines in Asia that have ordered hundreds of jets to secure their growth are in the midst of restructuring or are expected to press for relief.
Via Reuters