Brazilian carrier TAM Airlines has signed a deal to buy 32 new Airbus planes.
The order includes 10 A320 aircraft and 22 next-generation A320neo planes, which offer more fuel-efficient operations.
José Zaidan Maluf, TAM’s contracts and supply vice president, said: “These new A320s will allow us to keep a young fleet, reduce costs and further improve our environmental performance.”
The A320neo will enter service from 2015, with Virgin America set to be the first customer to fly the plane. It will deliver a 15% reduction in fuel consumption, according to Airbus.
TAM currently operates a fleet of some 150 Airbus aircraft.