Boeing nabs Dreamliner order from two Saudi airlines
TWO Saudi Arabian airlines announced plans on Tuesday (Mar 14) to order 78 Boeing 787 Dreamliners, marking the fifth-largest commercial order by value in Boeing’s history.
State-owned Saudi Arabian Airlines (Saudia) and new national airline Riyadh Air will each buy 39 wide-body 787s from the US-based plane maker. The deal includes options for 10 additional Dreamliners for Saudia, as well as 33 for Riyadh Air.
Reuters previously reported that the list prices for 78 planes would total nearly US$37 billion.
Boeing chief executive Dave Calhoun said the order was the latest in a series of big 787 orders, and showed the huge demand for wide-body aeroplanes around the world amid a continued rebound in tourism.
“It’s like the biggest I’ve ever seen,” he said of the spike in demand. “The world wants to connect in this post-Covid moment.”
Calhoun said that Boeing was standing by its 787 production guidance, which was announced in November. “And we’re confident we can do it,” he added.
The US Federal Aviation Administration approved Boeing’s plan to resume deliveries of 787s on Friday. The company’s shares rose 2.3 per cent in early trading.
On Sunday, Saudi Arabia’s Crown Prince Mohammed bin Salman announced the creation of Riyadh Air, with industry veteran Tony Douglas as its chief executive. This came as the kingdom moves to compete with regional transport and travel hubs.
“We’ve got a blank sheet of paper,” Douglas told Reuters on Tuesday. REUTERS
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