United Airlines to Purchase Up To 200 New Boeing Widebody Planes

United Airlines announced today the largest widebody order in American commercial aviation history: 100 Boeing 787 Dreamliners, with options to buy 100 more

This historic acquisition is the next chapter of the ambitious United Next plan. It will strengthen the airline's leadership position in global travel for many years to come.

United anticipates taking delivery of the widebody planes in 2024-2032. They can choose from the 787-8, 9 and 10 models. This will allow them to be flexible enough to support a broad range of routes.

United also purchased 44 Boeing 737 MAX planes for delivery in 2024-2026 - consistent to United Next 2026 capacity plan – and ordered 56 additional MAX aircraft for delivery in 2027-2028.

The airline expects to receive 700 new narrow- and widebody aircraft by 2032. This includes an average of more than two per week in 2023, and more than three each week in 2024.

United is continuing its unmatched effort to improve the interiors of its fleet. Over 90% of United's international widebodies feature the United Polaris(r), business class seat and United Premium Plus(r). Upgrades for the remaining aircraft are expected to be complete by the summer 2023. United will also retrofit all its narrow-body mainline planes with its signature interior. About 100 aircraft are expected to be finished by 2023, with the remainder due to be complete by 2025.

The new widebody order will replace approximately 100 older Boeing 767 and Boeing777 aircraft. All 767 aircraft from the United States fleet will be retired by 2030. This is expected to result in a 25% reduction in carbon emissions per seat.

"United emerged from the pandemic as the world's leading global airline and the flag carrier of the United States," said United CEO Scott Kirby. "This order further solidifies our lead and creates new opportunities for our customers, employees and shareholders by accelerating our plan to connect more people to more places around the globe and deliver the best experience in the sky."

"With this investment in its future fleet, the 737 MAX and 787 will help United accelerate its fleet modernization and global growth strategy," said Stan Deal, president and CEO of Boeing Commercial Airplanes. "The Boeing team is honored by United's trust in our family of airplanes to connect people and transport cargo around the world for decades to come."

Creating bottom-line value

United's needs for widebody aircraft replacements over the next decade will be addressed by the firm order for 787 aircraft. Their greatly improved maintenance and fuel economy will help United improve its overall cost profile. This order, in partnership with Boeing allows United to maintain flexibility regarding the timing of widebody plane retirements.

The 787 options would allow United to expand its global network, and would also help keep the airline's leading margins in international flight among U.S. carriers.

Gerry Laderman (United's EVP/CFO) stated that the order addresses our widebody replacement requirements in a more fuel-efficient and cost-efficient manner, while giving our customers a best of class experience. "And if long-haul flying's future is bright, United will be able to take advantage of those opportunities by using these new widebody options. I look forward the incremental margins and earnings these aircraft can generate."

The MAX aircraft exercised options are in line with the United Next plan's 2026 capacity and the two margin targets. United has also begun to build its order book for 2027 with the firm order of 56 more MAX aircraft.

 

Source: breakingtravelnews.com