IAG to order up to 150 737 Max
Flight Global reporting that IAG is ordering 150 737 Max across two variants
19th May 2022 British Airways and Iberia parent company IAG has agreed to order up to 150 Boeing 737 Max jets. The order will comprise 25 737 Max 10 variants, plus 25 of the high-density 737 Max 8-200. JAS |
Downgrade.
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Now that the problems have been addressed and solved, why not?
Speculation: Boeing likely offered a nice discount/package deal to get a major order from a major carrier. That (order) would be a step in re-establishing confidence in the product. Would be interested to hear from pilots what the new/conversion training improvements are. |
No really choice if they want delivery this decade.
Airbus are delivering about 500 aircraft a year but have over 7000 aircraft on order. Accepting they are aiming to ramp up production, but they are being cautious. Do the maths. |
Rumour is that Boeing is so desperate for orders that the Max is going for about a 25% discount over pre crash valuations. With the huge impairment costs of the Max fiasco, the airplane will never be profitable and the company only cares about short term cash flow to keep the illusion that Boeing Commercial is still a viable company so the stock price doesn’t crash.
But not to worry Boeing won’t crater until after the current executives have cashed out their juicy bonuses. |
...and if the Starliner doesnt go well tonight, then the space division of Boeing is well and truly up a certain creek, without a certain instrument!
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Originally Posted by ATSA1
(Post 11232458)
...and if the Starliner doesnt go well tonight, then the space division of Boeing is well and truly up a certain creek, without a certain instrument!
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Tbh as long as the US can print money out of thin air there will always be enough for Boeing.
To get back to the topic at hand it would be really interresting to know what kind of discount has been ironed out. But even so I wonder what will the TCO be over the whole life of the aircraft. |
They are in a very tight corner now. No certainty of whether Max10 and Max7 will make the end of year deadline for certification before EICAS becomes a requirement for all new approvals. Congress might normally have extended that deadline for them but given their record in recent years putting your signature on that type of waiver is a lot riskier than it used to be. Airbus are going to hit 89 narrawbodies per month production in coming years, that drives down costs enormously.
Still no sign if when 787 deliveries will resume, another FUBAR made there in recent days with incomplete documentation submitted to the FAA. 777X EIS delayed another year to 2025, meaning it will be 6 years late at least. They lowballed bids on fixed price military contracts which is hurting them a great deal on the KC-46, VC-25 and T-7. USAF is going cold and reducing orders on the F15-EX. Because they messed up the 787 program so badly it'll never make money, now potentially the MAX is in the same boat. Penny wise, pound foolish as the saying goes. As for IAG, order makes sense. Leveraging both manufacturers is sound for future orders. Wonder where they'll end up, those are LCC targeted variants. |
So 50 less than the LOI in 2019. And the 737-8200 order points to “Ryanair-ization” of some of the IAG carriers.
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Originally Posted by Big Pistons Forever
(Post 11232450)
Rumour is that Boeing is so desperate for orders that the Max is going for about a 25% discount over pre crash valuations. With the huge impairment costs of the Max fiasco, the airplane will never be profitable and the company only cares about short term cash flow to keep the illusion that Boeing Commercial is still a viable company so the stock price doesn’t crash.
But not to worry Boeing won’t crater until after the current executives have cashed out their juicy bonuses. |
Originally Posted by Just a spotter
(Post 11232347)
Flight Global reporting that IAG is ordering 150 737 Max across two variants
19th May 2022 https://www.flightglobal.com/airline...148714.article JAS https://www.theguardian.com/business...g-737-max-jets Hardly Rumour or News. Yawn. |
Originally Posted by Auxtank
(Post 11232530)
They announced this over 15 months ago.
https://www.theguardian.com/business...g-737-max-jets Hardly Rumour or News. Yawn. |
Originally Posted by Una Due Tfc
(Post 11232531)
That wasn't a firm order, only an LOI. These 50 are firm.
Just another Fail lined up like ducks in the sights. Another front-sided re-finance and Juggle/ Strip Show - Long Finance Hit and Miss card shuffle. Thank God BA ain't a Flag Carrier anymore. Sad that they aern't, But glad that they aern't. |
Originally Posted by oceancrosser
(Post 11232514)
So 50 less than the LOI in 2019. And the 737-8200 order points to “Ryanair-ization” of some of the IAG carriers.
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Originally Posted by AIMINGHIGH123
(Post 11232517)
More than 25% discount!!! I don’t know the exact figure RYR paid for 737-8200 but it was at least 65% off.
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Originally Posted by Big Pistons Forever
(Post 11232620)
The 65 % is from the list price which basically no serious airline pays. My quote of a 25% discount is over the average amount airlines were actually paying for the Max. RYR is an especially advantageous position because of the size of their 737 fleet and therefore the amount of future orders. There is no doubt that they were able to drive a price point that would not have been attainable before the Max crashes and subsequent grounding.
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Originally Posted by Auxtank
(Post 11232532)
LOI's these days form the basis of intent so again - with the World rushing to get in to the Debt Lane (with the rest of us) - so hardly news.
Just another Fail lined up like ducks in the sights. Another front-sided re-finance and Juggle/ Strip Show - Long Finance Hit and Miss card shuffle. Thank God BA ain't a Flag Carrier anymore. Sad that they aern't, But glad that they aern't. |
Originally Posted by HOVIS
(Post 11232735)
Could we have that again but in English please? For those of us who don't speak corporate buzz word.
Jack |
Originally Posted by Una Due Tfc
(Post 11232483)
Wonder where they'll end up, those are LCC targeted variants.
Some beancounter in Madrid thinks they can get away with this. |
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