Monday, November 26, 2018

Boeing wins deals for 15 planes from Caribbean and Turkish airlines for 777 and 737 Max jets

Boeing said it won two deals for a total of 15 new airplanes worth $2.5 billion, bolstering work for its Puget Sound region jet factories.

The Chicago-based jet maker said Turkish Airlines ordered three new 777 Freighters, while Caribbean Airlines has picked Boeing's 737 Max 8 single aisle jet to replace its aging fleet of 12 older model 737s.

The freighter deal with Turkish is valued at just over $1 billion at list prices, though the carrier is a big Boeing customer and likely gets discounts of up to 50 percent. It ordered three 777 Freighters just a year ago.

"The additional aircraft will provide us more flexibility to serve even more destinations as we continue to grow our global freight network," Turkish Airlines Chairman of the Board İlker Aycı said in a Boeing news release.

Neither company said when the jets will be delivered, but the order helps Boeing fill out the Everett 777 manufacturing line as the jet maker transitions to building the new advanced 777X jet.

Turkish Airline's Boeing jet fleet has grown to more than 160 aircraft, with nearly 100 additional jets on order. Turkish Airlines operates more than 30 777s, putting it among the top 10 operators of the wide-body jet in Europe and the Middle East.

As part of the deal, Boeing said it's planning to open an engineering center in Istanbul, specializing in research and supporting Turkey's aerospace sector.

As well, Turkish Technic, the maintenance arm of Turkish Airlines, becomes a strategic supplier for Boeing's Global Fleet Care program.

The program provides airlines with maintenance, component service and repair for multiple jet models. Boeing and Turkish Technic will also partner to train and certify aircraft technicians.

Boeing declined to say whether its deal with Trinidad and Tobago' carrier Caribbean Airlines was a firm order or merely a commitment for future orders.

A deal for 12 737 Max 8 jets is worth $1.4 billion at list prices. Boeing and Caribbean said in a statement the airline "plans to take delivery of 12 aircraft in the coming years."

A selection ceremony was attended by Boeing executives and Trinidad and Tobago's Prime Minister Keith Rowley.

Press reports in Trinidad and Tobago said deliveries are to begin the fourth quarter of 2019.


(Andrew McIntosh - Puget Sound Business Journal)

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