Farnborough Air show: Startup LCC FlyDubai places $4 billion order for 50 737-800s

FlyDubai, a Dubai government owned startup LCC, due to launch services by the middle of next year, has placed a firm order for 50 Boeing 737-800s. At list prices, the deal will be valued at $3.74 billion.

The carrier said it will also lease four 737-800s from Babcock & Brown. Deliveries will run through May 2009 to 2015.

According to CEO, Ghaith Al Ghaith, a former senior executive with Emirates, the carrier will operate an all-economy class 737-800 fleet. Each aircraft will be configured for 189 seats. He clarified that the carrier will retain the right to convert some of the 737-800 orders to 737-900ERs.

Without disclosing a likely route network, Ghaith told reporters at the Farnborough Airshow that the LCC will operate out of the new Al Maktoum International airport at Jebel Ali and will serve "a four-and-a-half-hour radius from Dubai."

He said that the airport's first runway was finished and it was expected that the airport would come into operation by the middle of 2009. He pointed out that FlyDubai would be the first passenger carrier to operate out of the new premises following the launch of cargo services in the second quarter of 2009.

According to a media statement, the carrier will have a "pure low-cost model," with passengers being given the option to pay for additional services such as food, checked and excess baggage, and ticket flexibility.