Red Jet 7 will be built at East Cowes, securing 85 jobs there - and will join the fleet next summer.
Growth For South Coast Firms
Two South Coast firms have been named in a list of the top 10 fastest growing aerospace and defence companies in the world.
Meggitt, based at Bournemouth Airport, and Chemring, with headquarters in Fareham, were seventh and ninth respectively in PricewaterhouseCoopers' (PwC) rankings.
Rolls-Royce is the highest placed UK firm in the list of the most successful businesses in the industry, while Boeing retained the number one spot.
Aircraft engine manufacturers have seen a 6.6% growth in year-on-year revenue, with Rolls-Royce enjoying a 9.8% increase.
Neil Hampson, of PwC, said: "The industry is undergoing one of the most rapidly evolving periods in its history. Factors such as technology, innovation, globalisation and programme management will undoubtedly be key markers for a company's success.
But we are also in the midst of one of the most challenging economic climates. This is inevitably placing pressure on businesses, especially those in the defence sector where once secure government programmes are now under intense scrutiny. In such a global industry, consolidation will continue as companies will need to change and adapt to this environment and build new relationships. In some cases restructuring will be inevitable."
Five men have been questioned after shots were heard in Wimborne Road.
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