Dubai Aerospace Enterprise said today it had signed an initial agreement to buy as many as 100 aircraft from European planemaker Airbus for $13.5 billion.
The order consists of 70 A320s and 30 A350 XWB planes, the State-owned company said.
The deal includes the cost of A350 engines purchased from the Rolls-Royce Group in a contract worth $1.2 billion at list prices.
DAE, which in September dropped a $1.8 billion bid for New Zealand's Auckland airport, plans to start an aircraft leasing business to tap growing demand for planes and air travel around the world, especially Asia.
The planes are for delivery starting in 2013, DAE said. The company plans to compete with global aircraft leasing companies such as GE and ILFC, capitalising on Dubai's plans to become a global aviation centre.
Dubai's government-owned Emirates yesterday ordered 93 aircraft from Airbus and Boeing, though eight of these had been announced previously, worth $23.4 billion.
