United Places Order for Boeing 737s Valued at $14 Billion

 - July 14, 2012, 12:13 PM
United Airlines placed a firm order on July 12 for 150 new 737 narrowbodies worth $14.7 billion at list prices. (Photo: Boeing)

Boeing announced a firm order from United Airlines on July 12 for 150 new 737 narrowbodies worth $14.7 billion at list prices, rounding out a week in which airlines and leasing companies placed more than $37 billion in orders and commitments for 737s at the Farnborough International airshow.

The United order, announced in Chicago, calls for one hundred 737 Max 9s equipped with CFM International Leap-1B engines and advanced-technology winglets, and fifty 737-900ERs. “It’s taken us a year to get to this point with the best airplane … and the best price,” said Jeff Smisek, United president and CEO. He said the airline had “extensive discussions with both Airbus and Boeing” over the selection of a new narrowbody. United is the North American launch customer for the 737 Max 9, which will seat 180 passengers in two-class configuration.

With the order, Boeing said it has received orders for 10,039 aircraft in the 737 series since the twinjet was introduced in the mid-1960s.

At Farnborough, Randy Tinseth, Boeing Commercial Airplanes vice president of marketing, said the airframer began the biennial trade event with orders and commitments in hand for one thousand 737s from 16 customers. With the United announcement, Boeing now claims orders and commitments from 18 customers for more than twelve hundred 737s and anticipates “additional activity around the Max and NG” versions, he said.

From July 5 through July 12, customers announced orders and commitments for 396 airplanes. This number includes orders for the 737 Max from Virgin Australia (number unspecified); an order for 75 from Air Lease Corporation; a commitment for seventy-five 737 Max 8s and twenty-five 737-800NGs from GE Capital Aviation Services; a commitment for twenty 737 Max 8s from Alafco; a commitment for fifteen 737 Max 8s and 9s and ten 737-800NGs from Irish leasing company Avolon; and the United order. In addition, Boeing revealed an order for three 737-800s worth $253 million on Thursday from an unidentified customer.