American Airlines orders 100 Boeing 787-9 Dreamliners
17 Oct 2008
American Airlines said Wednesday it intends to buy up to 100 Boeing 787-9 Dreamliners in a plan that will see the airline convert to an all-Boeing fleet. It is currently in the process of divesting itself of its fleet of Airbus 300 aircraft.
At list prices, the order for an initial 42 of these aircraft will be worth about $8.17 billion, though actual prices, according to industry valuations, may be closer to $5.3 billion. Deliveries, starting September 2012, will run through 2018.
American executives said the carrier had not discussed how it would finance the newer planes and was making a "very modest" down payment for them.
American also said it has taken options on a further 58 Dreamliners with flexible delivery dates.
Industry analysts say the order is expected to re-ignite the sales campaign of Boeing's much-delayed 787 programme. While the 787 is the most successful sales campaign in history for a jet that is yet to fly, already notching up 895 orders, 2008 has seen sparse orders of just 78.
Though Boeing does not provide delivery slots to other customers any time before 2016, American has secured early deliveries, as soon as 2012, because of a long-term agreement with Boeing that provides preferential delivery slots to the carrier. Under a 1996 agreement American identifies Boeing as a "preferred provider" and has signed up for the supply of 600 jets over two decades.
The agreement remains in force though it was formally dropped in 1997 as a pre-condition to the European Union approving Boeing's merger with McDonnell Douglas. Notably, American has not ordered an Airbus jet since.
American executives said that the Airbus offering, the A350XWB, was not due to enter service until 2015 and the early availability of the 787 "was one factor" in the choice.