Tuesday, June 19, 2018

FedEx orders 24 Boeing widebody freighters worth $6.6 billion at list

FedEx Corp. has ordered 12 new Boeing 767-300 freighters and 12 new 777F cargo jets from Boeing.

The 24 wide-body jets are worth $6.6 billion at list prices, though bulk buyers often receive deep discounts. Boeing has not said when the aircraft will be delivered.

The 777 freighter has a list price of $339.2 million, while the 767-300 freighter retails for $212.2 million.

Boeing said the deal brings its total wide-body freighter sales to more than 50 so far this year. Boeing earlier this year said it expected new orders for 777 freighters in 2018 due to an increase in global air cargo demand.

Cargo volumes are rising at Seattle-Tacoma International Airport and elsewhere, driving sales of new Boeing wide-body freighters such as Boeing's 747 and 777 jets. Sea-Tac Airport's cargo volume has increased 22 percent since January.

The International Air Transport Association said in January that global air freight markets grew nine percent in 2017, more than double the increase in 2016.

The FedEx order is not yet reflected on Boeing's orders and deliveries website, which says FedEx has so far received 28 of the 34 777s it ordered previously and 55 of the 108 Boeing 767s it has ordered.

FedEx has not ordered any of Boeing's next-generation 777X jets, which are also made in Everett.

FedEx is already the largest operator of 767 and 777 freighters, which are both made in Everett. FedEx and Boeing have been doing business for more than four decades.

Boeing is using a FedEx Express 777 freighter to test new technologies including collision avoidance, 3-D printed titanium parts and 100 percent biofuel. FedEx Express, a subsidiary of Memphis-based FedEx Corp., turned over a plane named “Hollie” to Boeing for the testing in January.


(Ashley Stewart - Puget Sound Business Journal)

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