Emirates Airline Boeing 777

Emirates Considers New Boeing 777 Order

Emirates Airline Boeing 777

Emirates Boeing 777

Emirates Airline said Tuesday it is considering an order for up to 15 current-generation Boeing Co. 777 aircraft, a move that would help the plane maker transition to a significantly revamped version of the twin-aisle jet.

Tim Clark, the Dubai-based carrier’s president, said in an interview that a potential order is “under the microscope,” though there was no urgency as Boeing has ample availability. Emirates is already the world’s largest 777 operator, flying 144 of the jets, and has another 49 current-generation jets on order.

A fresh deal would represent a significant boost for Boeing as it tries to maintain existing production rates of the plane ahead of its transition to the new 350 to 400-seat 777X jetliner, which is due to be delivered from 2020. Emirates has 150 firm orders for the new plane and 50 options.

Mr. Clark, talking on the sidelines of the International Air Transport Association’s annual meeting, said Emirates is looking at a deal for 10 to 15 of the 777-200LR model, the longest-range jetliner in production. The plane can fly 9,395 nautical miles, allowing Emirates — which already has 10 of the type — to serve cities in South America and Oceania nonstop from its Dubai base.

John Wojick, Boeing’s vice president of global sales, said in an interview Monday that it needs to secure orders for the existing plane stretching out to 2025 as it ramps up 777X output.

The company has said it needs to secure 40 to 60 new orders a year to maintain the existing annual output of around 100 planes. Boeing has booked 25 orders for the 777 so far this year.

The 777 is the backbone of Boeing’s commercial profitability and cash flow, and production rates are closely watched by investors as a measure of the company’s broader financial health.

Randy Tinseth, Boeing’s top jetliner marketing executive, said last week that the company had seen an uptick in interest in the 777-200LR, but didn’t identify potential buyers. He said the company is sold out of the 777 in 2015 and 2016, with more than 40 of the existing 777 jets due to be produced in 2017 remaining unsold.

Emirates and Qatar Airways are part of a trio of Gulf carriers, alongside Abu Dhabi’s Etihad, that have secured large fleets of widebody jets to support the growth of new hubs.

The 777X is the latest version of Boeing’s best-selling widebody jet, a so-called mini-jumbo, which carries a list price of up to $320 million.

The current versions are capable of seating up to 550 passengers in a single-class configuration, according to Boeing. In a more typical three-class configuration, the jet family seats up to 386 passengers and has a range of up to 9,395 nautical miles.

Source… Emirates Considers New Boeing 777 Order

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