Icelandair (FI, Reykjavik Keflavik) has announced new dry-lease agreements with AviLease and Aircastle covering four and six A320-200Ns. ch-aviation schedules analysis shows that the airline plans to debut the type's operations in March 2027, initially with the AviLease aircraft, as the Aircastle-owned batch is scheduled for deliveries by summer 2028.

"Next year, we will reach the important milestone of operating our entire passenger network with new-generation aircraft that consume up to 30% less fuel per seat. Our fleet renewal also supports our ambitions to strengthen our route network, simplify the fleet, and continue to provide customers with outstanding service and great travel experience," chief executive officer Bogi Nils Bogason said.

The airline said the A320neo will be units manufactured in 2018-2020.

The A320neo will complement Icelandair's new-generation fleet, currently comprising six A321-200NX(LR)s, seventeen B737-8s, and four B737-9s. Including three additional A321-200NX(LR)s due for delivery later this year, and the recently dry leased A320-200, the airline aims to operate ten Airbus aircraft by the end of the year, and 20 when the A320neo are delivered.

The A320neo and incoming A321-200NX(LR)s will allow the airline to accelerate the retirement of its remaining eight B757-200s and two B767-300ER. Both types are currently expected to exit operations in January 2027.

ch-aviation schedules show that Icelandair will debut the A320neo on its route to Manchester on March 4, 2027.