AirAsia is set to place a record order for 200 revamped A320neo jets plus 100 options in a $17 billion deal making the Malaysian carrier Airbus's largest airline customer, industry sources said.
The deal is expected to be finalized at the Paris Air Show on Thursday by chief executive Tony Fernandes, who flew into France overnight to put his signature to the largest ever order for Airbus A320 single-aisle jets.
The order may be billed as the biggest civil aircraft order by the number of planes and third in value for the European manufacturer behind Emirates and Qatar Airways, which is also expected to sign a deal for more A380 superjumbos on Thursday.
The A320neo is a version of Airbus's best-selling 150-seat passenger jet offering fuel savings with new engines from 2015.
AirAsia, already Asia's largest budget carrier, plans to take delivery of 86 ordinary A320s that it has not yet received under an earlier deal for 175 aircraft, industry sources said.
Parties involved in the aircraft talks declined comment.
(Reporting by Tim Hepher)