The Spanish airline Iberia acquired 20 new Airbus A320neo aircraft to modernize its short- and medium-haul fleet. The aircraft is set to be delivered from the first half of 2018 through 2021.

The value of the aircraft order is $1.84 billion, but Iberia’s parent company IAG reportedly negotiated a significant reduction in the price. The order follows the modernization of the carrier’s long-haul fleet, which began in 2013, and consists of 39 new aircraft joining the fleet through 2021. The new aircraft include 16 new-generation Airbus A350-900s, with the first delivered next year.

The A320neo represents a major advance in fuel economy, reduced emissions and low noise, while the larger A350-900s combine additional passenger comfort with maximum operational efficiency.

Luis Gallego, chairman and chief executive officer, made the announcement at an event celebrating the carrier’s 90^th anniversary. Gallego also announced the revamped Madrid (MAD)–Barcelona (BCN) walk-on air shuttle service known as Puente Aereo or Air Bridge, which Iberia will jointly operate with Vueling. The new shuttle service will launch July 19, with additional advantages for customers. As a result, frequencies will increase from 16 to 26 per day and 13 on weekends.

Apart from the open tickets on the route, customers can book a specific flight, change or cancel reservations for the shuttle or cancel them without restrictions. Tickets can be reserved or purchased and boarding cards can be issued online, or on Iberia’s app, allowing travelers to proceed directly to boarding gates. Air shuttle passengers will continue to use dedicated facilities in both Madrid and Barcelona airports.