Airline Shopping Spree

Airline Shopping Spree

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  • Deutsche Lufthansa AG has finalized orders for up to 200 short-haul aircraft from Boeing Co and Airbus SE as part of its fleet renewal strategy. The German carrier will acquire 40 Boeing 737 Max jets, with options for an additional 60, and 40 Airbus A220 models, marking Lufthansa's first order for the Boeing Max series. This move diversifies its fleet, which currently comprises only Airbus narrowbody planes. The order reflects the global trend of airlines making substantial purchases to modernize and optimize their fleets for efficiency.
  • Meanwhile, EasyJet Plc shareholders approved an impressive $20 billion aircraft order from Airbus SE, solidifying the airline's position as one of Airbus's major customers in Europe. The order encompasses 157 A320neo family planes with an option for an additional 100. The mega-order is crucial for EasyJet's fleet renewal, replacing older A319 and A320ceo aircraft. Amidst the ongoing challenge of delayed deliveries affecting the aviation industry, the approval demonstrates the commitment of airlines to upgrade to more fuel-efficient models and secure delivery slots from manufacturers like Airbus and Boeing.

Why it matters

The aviation sector has witnessed a surge in mega-orders this year, with major carriers such as Ryanair Holdings Plc, Indigo, and United Airlines Holdings Inc. making significant deals for narrowbody jets from both Boeing and Airbus. However, the focus remains on addressing the backlog in the supply chain, impeding timely aircraft deliveries as airlines globally strive to modernize their fleets and incorporate more fuel-efficient models.


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