Boeing has confirmed a new aircraft order for its 737 MAX.
The American planemaker says it has signed a deal with AviLease, a global aircraft lessor based in Saudi Arabia and supports many international airlines with their fleet requirements.
The deal includes the purchase of up to 30 737 MAX jets, with the 737-8 selected as the middle ground to support the leading aircraft lessor’s customer requirements.
The deal includes 20 firm units with the option available for 10 more units should AviLease wish to activate these later.
AviLease already owns 200 aircraft and manages these with relationships in lease agreements to 48 airlines. This is now receiving additional backing with purchasing 30 more aircraft from Boeing.
This is AviLease’s first direct Original Equipment Manufacturer (OEM) order, and it highlights its aim to be a greater supporter of airlines’ growth and renewal ambitions in the future.
Building on our recently achieved investment grade ratings, this transaction proves our ability to transact across all market channels, including sale and lease-back, secondary trading, M&A and now direct OEM purchasing. These new aircraft will accelerate our growth and enable us to deliver the industry’s latest generation, fuel–efficient fleet solutions. We extend our gratitude to the Boeing team for the strong long-term relationship we have built.
Edward O’Byrne, CEO of AviLease
Ultimately, while AviLease isn’t an airline itself, its commitment to enhancing Boeing is part of broader efforts unveiled by the Kingdom of Saudi Arabia.
The Kingdom’s focus is on putting greater emphasis on the development of the aviation industry, which is believed to be essential moving forward.
Aircraft such as what is being ordered will align with strong commitments to the development of new airlines, such as Riyadh Air, to achieve an overall ambition.
That ambition is to hit 330 million passengers and turn 150 million of those into visitors annually by 2030. Some believe this target is out of reach, but significant investments by the Kingdom, not just in its aviation industry but also in tourism, are aimed at helping make it a reality.
The significance of the growth brings greater opportunities for Boeing to secure new aircraft purchases from those that call the location home, whether a commercial airline or a leasing company providing solutions to established carriers.
ABOUT THE AUTHOR
Daniel Fowkes is a Melbourne-based aviation analyst and journalist with over a decade of industry experience. As founder of Dj’s Aviation, he delivers trusted analysis on aircraft, airline strategy and global aviation trends for djsaviation.net
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