Boeing Mops Up Orders For Its Grounded 737 Max Jets Worth $6bn

Despite the global grounding of Boeing’s 737 Max planes, the United States plane maker bagged big orders for the planes as various airlines announced plans to order up to 50 of the jets worth $6bn at the Dubai airshow.

A letter of intent to order 30 Boeing 737 Max 8 planes for its FlyArystan subsidiary was signed by Kazakhstan flag carrier Air Astana, the airline said. The airline was also confident that Boeing has the ability to find a solution to the current problems with the 737 Max, Air Astana, which operates Airbus and Embraer jets in its main network, said.

Following two deadly crashes involving the 737 Max planes within a span of just 5 months resulted in a worldwide grounding of all commercial flights of the jet model of Boeing. It would not be until the beginning of 2020 that the plans for Boeing to unground the planes can be realized because the company is still finalizing the software and training revisions which have to be approved by the regulators.

“We are making flying affordable for the people of Kazakhstan,” Air Astana’s chief planning officer Alma Aliguzhinova told reporters and added that the jest would start to be delivered to the budget carrier FlyArystan in late 2021. She said that 15 aircrafts are planned to be held directly by the airlines while the rest could be financed through a lease transaction.

A firm order for 10 Boeing 737 Max 7 and 10 Boeing Max 10 jets was also signed by another airline separately, claimed reports quoting sources. The airline’s name was not disclosed.

The Max models are seen to be crucial to the financial conditions of the plane maker over the coming decade and Boeing has in the past tried to secure market momentum for the grounded Max in the past two major industry events.

A letter of intent between Boeing and British Airways owner IAG for 200 jets, which grabbed the spotlight at the Paris airshow in June, has yet to be finalised as the European holding company discusses the fleet change with subsidiaries that currently use Airbus for medium-haul operations.

Long-range A321XLR jets has been agreed to be bought by the Saudi budget airline Flynas in industry moves that happened almost at the same time as the largest airshow of the largest Middle East. Separately, Air Senegal has placed a provisional order for eight of its small A220 jets, the European plane market Airbus unveiled. And options for 12 more Airbus A320neo aircraft was exercised by and Britain’s easyJet.

An order for 25 Airbus planes, including 12 A330neo jets powered by engines from Rolls-Royce, was expected to be confirmed by leasing company GECAS.

But there was no news in the industry about the finalization of a provisional order for 40 Boeing 787 Dreamliners by Dubai’s Emirates airlines, which is a part of a complex deal that is interlocking in nature which involves fleet changes at the world’s largest international airline.

(Adapted from TheGuardian.com)

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