Boeing receives a mega order for the 737 MAX from a surprising customer

Paris, France - Boeing received a huge order at the Paris Air Show today for its troubled single-aisle jet. The International Airline Group has signed a letter of intent with the American aircraft manufacturer for the purchase of 200 737 MAX jets.

This is the first order placed for Boeing's MAX series jets since the second fatal crash of the aircraft in Ethiopia on March 10.

The letter of intent refers to an order that is a combination of the MAX 8 and MAX 10 series jets, but the exact numbers for each type were not revealed.

The deal is valued at $24 billion at list prices. But customers usually get huge discounts on bulk orders.

IAG probably received an extra advantageous offer from Boeing for the 737 MAX, because the airlines belonging to the group serve almost exclusively with the Airbus A320 family jets on the short and medium-haul routes.

Kevin McAllister, head of Boeing Commercial Airplanes, said he was greatly impressed by the leadership that IAG showed with its choice of the 737 MAX.

The 737 MAXs are still on the ground after the two crashes and it is not known when they will be allowed to fly again.

Because it is only a declaration of intent, IAG can easily cancel it when it wants. The agreement will presumably be finalized when the aircraft returns to the service after the approval of international regulators.

The International Airlines Group (IAG) is the parent company of Aer Lingus, British Airways, Iberia, LEVEL, and Vueling.

IAG Group wants Airbus's A321XLR as well

In addition to the 737 MAX orders, the British Group has signed another order agreement with Airbus for fourteen A321XLR, the newly announced extra-long-range single-aisle of the European aircraft manufacturer.

Of these orders, eight aircraft are intended for Iberia and six for Aer Lingus. Both airlines will use their A321XLRS on the transatlantic routes.

With this order, IAG became the fifth customer of the A321XLR after Air Lease Corporation, Middle East Airlines, Cebu Pacific and Saudi Arabian Airlines.

According to insiders, a big order from American Airlines will be announced at the Paris Air Show this week.



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