http://nz.biz.yahoo.com//091103/2/fh62.html

An aviation analyst believes Air New Zealand has made the right move in buying 14 new Airbus A320 aircraft to replace its current domestic fleet of 15 Boeing 737-300 aircraft.

As part of the agreement, the airline has also secured purchase rights for a further 11 aircraft.

Air New Zealand spokesman Bruce Parton says the company secured a hefty discount on the aircraft, which would normally cost more than $US1 billion.

"As we did with the 777, 787 and earlier A320 purchases, we have been able to buy counter-cyclically and again secure an excellent deal for Air New Zealand."

Senior editor of Air Transport World Geoffrey Thomas says the purchase sets up Air New Zealand to take advantage of the economic recovery as the airline will have the most fuel efficient and modern fleet in the world when it adds the aircraft to its fleet.

He says the purchase takes advantage of the pricing agreed to when the airline placed its order after September 11 when aircraft prices were very depressed. He says Air New Zealand has proven to be very astute with the timing of its aircraft delivery.