Boeing, SpiceJet Announce Order for 10 Next-Generation 737s
SEATTLE, Aug. 14, 2006 -- The Boeing Company [NYSE: BA] and New Delhi-based SpiceJet today announced that the airline converted its 10 options into an order for five Next-Generation 737-800s and five 737-900ERs. SpiceJet first announced the preliminary agreement for this order in February at the 2006 Asian Aerospace Air Show in Singapore. The order is valued at more than $700 million at list prices and deliveries are scheduled to begin in late 2007.
The options exercised today are part of an order SpiceJet originally placed in February 2005. That order included 10 737-800s, the first of which Boeing delivered to the airline in February 2006.
“The Boeing Next-Generation 737 is the most technologically advanced single-aisle airplane, which offers the best technical reliability and lowest operating unit cost, that is vital to our low-cost structure,” said SpiceJet Board Director Bhulo Kansagra. “These aircraft will enable us to develop additional routes in India and bring our low fares to even more customers.”
The 10 737s will be fitted with Blended Winglets, which will improve fuel efficiency, increase range and reduce takeoff noise.
“The 737 continues to play an integral role in meeting the needs of India’s rapidly growing aviation market,” said Dinesh Keskar, vice president of Sales, Boeing Commercial Airplanes. “We look forward to continuing to work closely with this valued customer as it expands its operations and serves its passengers.”
SpiceJet, one of India’s newest start-up private carriers, uses a single-class seating configuration on its short- and medium-haul flights within India. SpiceJet first began service in May 2005 with three leased Boeing 737-800s.
The digitally designed Next-Generation 737 is the most technologically advanced airplane family in the single-aisle market. With a bigger wing and more powerful engines, the 737 can fly higher, faster and farther than previous models and its competitor. The advanced-technology Blended Winglets allow airlines to save fuel, extend range, carry more payload and reduce engine maintenance costs.
The 737-800, which can seat between 162 to 189 passengers, is 1,500 pounds lighter, can fly 260 nautical miles farther and 1,100 feet higher while carrying 12 more passengers than the competing model.
The 737-900ER is the same size as today’s 737-900, but -- with the addition of a pair of exit doors and a flat rear pressure bulkhead -- will carry 26 additional passengers, raising the maximum capacity from 189 to 215 in a single-class layout.
The 737 Next Generation has logged 422 gross orders in 2006 including this order. As of July 31, 2006, 99 customers have placed orders for more than 3,300 Next-Generation 737s; the program has 1,366 unfilled orders with a value of nearly $91 billion at current list prices.
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