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Mon, Jul 17, 2006

Boeing Announces 737, 747F Orders At Farnborough

...But May Have Jumped The Gun On Qatar 777 Order

While rival Airbus revealed its plans for an entirely new plane to do battle with the Boeing 787 on the first day of Farnborough 2006, just down the way Boeing announced two new orders for existing planes... and, almost, a third.

Boeing and Jakarta-based Lion Air announced the airline has ordered an additional 30 737-900ERs (Extended Range) airliners. Valued at more than $2.2 billion at list prices, deliveries of these additional 737-900ERs are scheduled to begin in early 2010 and continue through 2012.

Lion Air, the launch customer for the 737-900ER, announced its first order for 30 737-900ERs and 30 purchase rights in July 2005. These two orders combined total 60 airplanes. Deliveries of the first order are scheduled to begin in 2007.

"The Next-Generation 737 is the most efficient single-aisle family today, and we are thrilled that Lion Air has selected the 737-900ER to support its expansion and fleet modernization plans," Boeing Commercial Airplanes CEO Alan Mulally said.

"This fleet will help meet Lion Air's strategic expansion goals," said Dinesh Keskar, Boeing Commercial Airplanes vice president of Sales, South-Southeast Asia. "With more range and the lowest operating cost of any single-aisle jet in its class, the 737-900ER is an ideal fit to deliver superior economics and premier service."

In addition to the Lion Air order, Boeing also touted news that LoadAir Cargo, a recently-launched air freight operation based in Kuwait, has signed an order with the manufacturer for the delivery of two 747-400 Extended Range Freighters. The deal is valued at $494 million at list prices with both deliveries scheduled for early 2009.

"This major investment demonstrates our commitment to build a world-class cargo airline business based in Kuwait" said LoadAir's Chairman, Sheikh Khalifa Ali Al-Sabah. "The 747-400ERF has demonstrated the ability to perform unmatched cargo operations across the globe, and we look forward to employing our new freighters to offer a competitive solution to customers worldwide."

...But What About Qatar?

Here's where it gets interesting, though... Boeing had evidently hoped to feature a triple play of new aircraft orders at Farnborough... but at the last minute, news of a 20-plane order from Qatar Airways was pulled back -- after Boeing pulled the official release from its website Monday morning.

A spokeswoman for Qatar told the Dow Jones Newswires that there may be a press conference in the next day or two, but no announcement will be made until a deal on the purchase of the new Boeing 777s is finalized... which means, apparently, that Boeing jumped the gun on issuing the release. Qatar Airways was also scheduled to hold a press conference at Farnborough Monday... but later canceled the event, saying the carrier's chairman wasn't feeling well.

Of course, in this business that might not be the WHOLE story... especially as Airbus announced earlier Monday that its newly-announced A350-XWB family will include a long-range Triple-7 fighter, the A350-900R.

Should Boeing be a bit suspicious? (Remember, just because you're paranoid doesn't mean somebody isn't gunning for you.) Time will tell...

FMI: www.boeing.com, www.farnborough.com

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