Bet they got themcheap given the current situation

If it looks lke it's going to, IAG can simply walk away from it - it's not a firm order.

How many tiger tokens did they pay per air frame. Bet they got them for near enough cost so that Boeing can use BA/IAG as lever for future orders

This is doubly smart from IAG. First, as has been pointed out, it's only a Letter of Intent, so it's not binding on IAG. Second, remember the last time Boeing's order book took a dive, after Sept 11, when Ryanair swooped in and did the deal of the century which formed the basis for its future expansion? By giving Boeing a good news story, Willie has also greatly reduced the incentive for Boeing to cut another sweet deal with Ryanair this time.

Smart move, general public have short memory, Boeing will remember BA for years to come.

I don't know about short memory but i don't think anyone will forget the MAX crashes..But what i don't understand is since IAG operate only Airbus how will they combine the 737s..I mean Vueling has a very big fleet and BA already operates A320-family only..How is that driving costs down by introducing new fleet-type,flying along the A320s,new type-rating,crew trainings costs,maintenance costs etc?

They probably have absolutely no intention of operating them. What they do have now is a very large lever to use on airbus for future orders as well as a benchmark price point.

Both fleets large enough to eliminate any potential cost savings would be my guess. Airlines like IAG don't make huge decisions involving investments this size lightly. I would bet they know what they're doing...

Short sighted IMO. Heathrow's news today? Lead times on NEO's? BA operated 737s before - no reason they wont again.

News press release clearly points the 737 Max order intent for 200 jets are intended for distribution across the group airlines to include Vueling, Level and BA Gatwick.

LHR presumably will remain an all Airbus 319/320/321 fleet serving short haul ops considering delivery on orders of NEO’s coming online.

LGW on the other hand previously operated 737 fleet SH and currently operates 772’s LH, so perhaps a strategic move to switch LGW to a all Boeing fleet!

I must admit I too am flabbergasted by this order! What can the MAX do so much better than the NEO that it outweighs the extra expense of maintenance/training etc? They'd have been better off ordering more A350s and A330NEOs to replace the 747/777/787 fleet, not that the latter needs replacing but surely the argument for commonality that was so prevalent just five years or so ago is still as strong now?! I hate to mention the "B" word but all I can think of is BA wanting to deprive Europe of some lucrative business due to Brexit?

What shocks me most about this order is the language in the press release. Expressing 'every confidence' in Boeing, who have been shown to have lied, cheated and elided the facts throughout the Max's development. How can *anyone* have confidence after such revelation?

Just shows what a chummy club exists at the top-tier of industry, and what complete indifference they have for accountability and decency.

The "argument for commonality" is largely a myth - if you buy enough of a type, it doesn't matter what else you have in your fleet, you are already enjoying massive economies of scale.

BA as I have said have got a very good deal. Ryanair are an excellent training ground from which IAG can recruit crew offsetting the cost of a dual fleet. Boeing will HAVE to come up with a fix for 737MAX and I have every confidence they will do so; it is very closely matched with the NEO over some sectors in terms of operating costs otherwise TUI and Ryanair would have bought Airbus.

Good move from IAG which will keep eggs in both baskets continuing to extract good deals from both airframers.

For goodness sake grow up. IAG are a business, and they almost certainly played the situation with the 737 MAX to great commercial advantage.

As IAG is registered as a Spanish company and the larger part of the order would probably be for Vueling and Level what has Brexit got to do with it?

We live in interesting times,

BA Staff to Strike this Summer?