Planemaker Airbus was yesterday on the brink of securing a major order from low-cost airline easyJet in a deal which should sustain 10,000 UK jobs.
The budget carrier is to switch allegiance from its usual supplier Boeing to order 120 planes from Airbus, the European firm part-owned by BAE Systems.
The proposed deal is the largest secured by Airbus in the low-cost sector and provides crucial work at a time when the aviation industry is struggling in the face of the post-September 11 downturn.
Wings are assembled at Broughton, north Wales, while staff at Filton, near Bristol, manufacture key components. Each site employs about 5,000 people.
A spokeswoman said: "As far as the UK is concerned, it's very good news. It sustains around 10,000 jobs at Airbus and throughout our supply chain.''
The proposed deal, which is still subject to contract negotiations over the next 45 days, will see Airbus supply easyJet with A319 single-aisle aircraft over the next five years from September.
The low-cost carrier will also hold an option until 2012 to buy a further 120 planes.
The value of yesterday's contract has not been disclosed but it is thought easyJet will have negotiated a considerable discount to the estimated $6.2bn (£4bn) book value of the planes. Airbus has also offered to provide maintenance support.
EasyJet chairman Stelios Haji-Ioannou said the tie-up made economic sense in the long term: "Low cost companies remain low cost by not wasting money."
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