Boeing and SMBC Aviation Capital have announced that the global aviation finance platform and lessor has ordered 100 737 MAX airplanes, including 60 737-10 and 40 737-8 jets.
The 737-10 order represents SMBC Aviation Capital's first purchase for the 737 MAX family's highest capacity variant. With this order, SMBC Aviation Capital increases its owned, managed and committed to portfolio for the 737 MAX family to 450 jets.
"This transaction represents a significant milestone for SMBC Aviation Capital and will ensure our airline customers have access to a long-term pipeline of new technology aircraft," said Peter Barrett, CEO of SMBC Aviation Capital. "Our partnership with Boeing spans over two decades and this order reflects market dynamics as our airline and investor customers look to upgauge to the 737-10. This order will support their growth ambitions well into the next decade and reflects our strong confidence in the Boeing 737 MAX and sustained demand for fuel-efficient, technologically advanced narrowbody aircraft."
The 737-10 has the best per-seat economics of any single-aisle airplane, seating up to 230 passengers with a range of 3,100 nautical miles (5,740 km). By selecting the 737-10, SMBC Aviation Capital will be able to meet strong market demand for larger single-aisle jets, diversify its asset mix and capture a new customer base.
"We are honoured that the new and expanded team at SMBC continues to place its trust in Boeing and the 737 MAX family," said Stephanie Pope, president and CEO of Boeing Commercial Airplanes. "This commitment, including SMBC's first 737-10 order, reflects the strong demand we are seeing for the 737 MAX family's efficiency, reliability and versatility."
As global passenger traffic is forecast to grow 4% annually over the next two decades, lessors are increasingly looking to grow and diversify their single-aisle portfolios to provide airlines with more fuel-efficient jets capable of operating across a variety of route networks. Lessors have ordered more than 1,450 737 MAX jets, representing 20% of the 737 MAX backlog.
Philippine Airlines deal for 20 Dreamliners
In another major deal for Boeing at the Farnborough International Airshow, Philippine Airlines committed to order up to 20 787 Dreamliner jets. Once finalised, the agreement for 15 787-10 airplanes, with opportunity to purchase five more, will support Philippine Airlines' fleet modernization and expansion plans.
"This investment manifests our confidence in the future of Philippine Airlines and the continued growth of air travel. The Boeing 787-10 will strengthen our medium and long-haul fleet, allowing us to provide an even better travel experience for our customers while improving operational efficiency and supporting our long-term sustainability goals," said Lucio C. Tan III, president and chief operating officer of PAL Holdings. "As Asia's first and longest serving airline, we proudly celebrated our 85th anniversary earlier this year. An equally meaningful milestone that we celebrate this year is 80 years of partnership between Philippine Airlines and Boeing." - TradeArabia News Service