Alaska Airlines Will Buy 23 Boeing 737 MAX Jets

Alaska Airlines announced on Tuesday afternoon it agreed to buy 23 Boeing 737 MAX 9 jets, following reports that the US planemaker was in negotiations with Alaska in order to stimulate demand for the jet’s comeback.

Alaska Airlines announced on Tuesday afternoon it agreed to buy 23 Boeing 737 MAX 9 jets, following reports that the US planemaker was in negotiations with Alaska in order to stimulate demand for the jet’s comeback.

“We like to keep the balance sheet strong so that in times like this we can be contrarian and make moves to fundamentally improve the competitive position of the company,” Alaska Airlines Chief Executive Brad Tilden said in a statement.

The order, worth some $2.96 billion at list prices before expected steep discounts, comes less than a month after European budget airline Ryanair also placed a lifeline order for 75 Boeing 737 MAX jets.

According to a Business Insider report, industry sources told the media outlet that the deal was expected to include significant discounts given the 737 MAX’s recent woes and plunging demand for airplanes during the COVID-19 epidemic.

Alaska, which already had ordered 37 MAXs before the grounding, has one of the strongest balance sheets among U.S. airlines. 

In late November, Alaska Air Group said it would lease 13 new Boeing 737 MAX 9 planes from Air Lease Corp, pointing out it would sell 10 Airbus A320s to Air Lease.


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