Red Jet 7 will be built at East Cowes, securing 85 jobs there - and will join the fleet next summer.
Coach Carrying Schoolchildren Catches Fire
A coach transporting around 60 schoolchildren and teachers on a day trip had to be evacuated following a fire.
The blaze broke out in the vehicle's engine at around 8.45am this morning as it was carrying them to Beaulieu National Motor Museum in the New Forest.
All the passengers left the coach on London Road, near Whiteways Lodge roundabout in Arundel, West Sussex, and another coach was called to meet them.
Sussex Police said three children were taken to hospital for smoke inhalation. The families of the Storrington First School pupils who were taken to hospital were called.
Sergeant Alan Spicer praised the calmness of the teachers and pupils. He said: ''They remained calm throughout and listened to the direction of the emergency services.''
Headteacher Garry Smart said: ''The children have been safely returned back to school and have been collected by their families.''
Traffic was disrupted in the area while the fire was dealt with but it has now cleared, a police spokesman said.
Five men have been questioned after shots were heard in Wimborne Road.
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