Boeing Lands $13 Billion 737 MAX Deal

Boeing announced November 19 that it had agreed with Flydubai to sell a fourth group of 737 MAX airplanes. According to the Business Journals, the price of the order was $13 billion. The order for at least 737 MAX airplanes and 75 other 737 planes is the United Arab Emirates-based airliner’s fourth order from Boeing.

Boeing Commercial Airplanes CEO Stephanie Pope noted the airline was an early 737 MAX adopter. “Flydubai is one of the world's first 737 MAX operators and their plan to place yet another order – their fourth order to date – reflects the 737 MAX's market-leading value and versatility," Pope said. "We are proud that Boeing airplanes will continue to serve as the backbone of flydubai's strategic fleet and growth plans."

In a statement, Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Flydubai, said the new planes would help meet demand for travel. “We are pleased to announce a new aircraft order agreement with Boeing,” he said in a statement. “Looking ahead, proactive fleet planning is essential to ensuring we are well-placed to meet the rising demand for travel, a demand we are confident will continue to grow. Anticipating future needs is a defining factor in the success of any airline and today's announcement reflects our commitment to that principle.” Sheikh bin Saeed Al Maktoum is also the CEO of Emirates airlines, which last week announced it would spend $38 billion on another Boeing order, for 65 Boeing 777X planes.

The latest Boeing order following the Dubai airshow also followed an order of 15 Boeing 787 Dreamliners from Bahrain-based carrier Gulf Air. In a statement also released November 18, Boeing noted that Middle Eastern airliners are projected to grow dramatically, doubling over the course of the next two decades.

Boeing VP of Commercial Manufacturing, Darren Hulst, at the time noted that air passengers in the region are increasing. Boeing’s Commercial Market Outlook predicted Middle Eastern carriers will require 1,400 widebody passenger jets by 2024 as they look to expand.

"As passenger traffic in the Middle East continues to outpace global GDP growth, the region is reinforcing its position as a global connector and destination for global travelers," Hulst said. "Carriers will need efficient, versatile airplanes to expand long-haul and regional networks while renewing their fleets for the decades ahead."