Boeing nabs US$3.2b jet deal as United spurns Bombardier

Chicago

BOEING Co has won a hotly contested United Airlines order for 40 of the aircraft maker's smallest jetliners, thwarting Bombardier Inc's bid to land a marquee North American customer for its struggling C Series model.

The new Boeing 737-700 planes will enter service in mid-2017 as the airline cuts its use of cramped regional jets, United Continental Holdings Inc said in a statement last week. The order would be valued at US$3.22 billion based on list prices, although airlines typically negotiate significant discounts. Southwest Airlines Co, the largest 737 operator, separately said it was acquiring 33 of the Boeing single-aisle jets.