By Senad Karaahmetovic
United Airlines (NASDAQ:UAL) today announced an order consisting of 100 Boeing (NYSE:BA) 787 Dreamliners, which is the largest widebody order by a U.S. carrier in commercial aviation history. United has the option to buy 100 more Dreamliners, the company said.
The airline expects to take its first deliveries in 2024 and continue receiving 787 Dreamliners until 2032. The company can also choose among the 787-8, 9, or 10 models, it added. United plans to use new Dreamliners to replace Boeing 767s and some of its Boeing 777s.
"This order solves for our current widebody replacement needs in a more fuel-efficient and cost-efficient way, while also giving our customers a best-in-class experience," said Gerry Laderman, United's EVP and Chief Financial Officer.
United also used its option to buy another 44 Boeing 737 MAX aircraft and ordered another 56 MAX aircraft for delivery in 2027 and 2028.
The historic order is a massive boost for Boeing, whose share price is down almost 60% from its record high in 2019.
"With this investment in its future fleet, the 737 MAX and 787 will help United accelerate its fleet modernization and global growth strategy," said Stan Deal, president and CEO of Boeing Commercial Airplanes.
Reuters reported yesterday that both Boeing and Airbus (EPA:AIR) (OTC:EADSY) are in talks with Air India over selling up to 500 new aircraft.
Boeing shares are up over 2% in pre-market Tuesday, while United stock is down 1.6%.