Boeing Commercial Airplanes finalized an order for 14 new jets to be delivered to Air Lease Corporation, a Los Angeles-based venture that buys new aircraft and leases them (from Boeing, among others) and leases them to carriers worldwide. The order, including five 737 MAX 7s and seven 737 MAX 8s (valued at $1.2 billion at current list prices) making Air Lease Corp. one of the largest customers for the 737 MAX aircraft, with 130 now on order.
"ALC understands the value and flexibility these airplanes will bring to their customers all over the world," according to Boeing Commercial Airplanes president and CEO Kevin McAllister.
The 737 MAX is a series of twin-engine narrow-body aircraft, the fourth generation of Boeing’s 737 series, incorporating the new CFM International LEAP-1B engine, split-tip winglets, and a modified airframe. There are three basic variants to the new design: the 737 MAX 7, MAX 8, and MAX 9. The 737 MAX 8 completed its first flight in 2016, and gained FAA certification during Q1. The MAX 8 is expected to enter service this year.
CFM International, the GE Aviation joint-venture that builds the LEAP-1B, projected its revenue for the engines on these 12 jets would be $348 million. Deliveries are scheduled to begin in 2022.
Air Lease Corp.’s new order also includes two 787-9 Dreamliners, the larger of the two current style variants for Boeing’s long-range, twin-engine aircraft. Those jets carry a listed value of $250 million. Each of these aircraft will be powered by two GEnx-1B high-bypass turbofan engines, the same engines installed in 30 787 Dreamliners that Air Lease Corp. ordered in 2014.
"These additional orders reflect ALC's highly successful placements to date of our MAX and 787 order book and the need to fulfill the incremental demand we are experiencing for these aircraft across both existing and new customers for ALC," stated John L. Plueger, Chief Executive Officer and President of Air Lease Corporation.