Boeing wins $6b Gulf Air order

2008-1-15

Boeing won an order from Bahrain's Gulf Air for as many as 24 of its 787 aircraft, worth as much as US$6 billion.

Gulf Air also agreed an initial request for eight Airbus A320s.

The Boeing order is for 16 of the 787 Dreamliner passenger planes, worth $3.4 billion, with options for eight more. The first of the aircraft will be delivered in 2016.

Bjorn Naf, Gulf Air acting chief executive officer said the overall economics of operation of the Boeing 787 is more favourable than the Airbus 350 extra wide-body.

Gulf Air chairman of the board Mahmood al-Kooheji said Bahrain's national carrier aims to replace its fleet of 35 aircraft, and is in talks with European plane maker Airbus to buy eight of its narrow-body A320 aircraft.

Kooheji said the airline has signed an MOU with Airbus for the A320. An order of that size may be worth about $520 million at list prices. Gulf Air hopes to reach a final agreement by the end of March.

Gulf Air and Chicago-based Boeing concluded their agreement late on Saturday during a visit by President George W. Bush to the island kingdom.

The state-owned airline plans to lease aircraft until the new planes are delivered, and is in talks with banks to finance the purchases.

Gulf Air was the 56th customer to order the 787. Customers have ordered 833 of the planes since its launch in 2004.

Source: cargonewsasia
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