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JUNE 2019

Week 24


Boeing poised for 777X sales

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June 14th 2019

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Orders from Korean Air, PAL and Chinese airlines would diversify backlog. Read More »

Boeing is reported to be in advanced discussions for deals for its 777X. Orders for the most powerful twin-engine would help diversify its backlog, heavily held by Emirates and Qatar Airways. Existing Asian 777X customers include All Nippon Airways, Cathay Pacific and Singapore Airlines.

Korean Air is said to be favouring the 777X and a top-up order for the A220, which it originally bought when it was still the CSeries under Bombardier. New leader Walter Cho was aiming to simplify Korean Air’s widebody fleet even before the illness of his father, the late Chairman Cho. Still, the order would be one of the first major decisions for the new leader.

Boeing is in discussions to sell more 787s and its first 777Xs to Chinese airlines, according to Bloomberg. The order could be for 100 widebodies. China was a late market for the 777-300ER, and China Southern is receiving some of the last 777s before Boeing switches to only producing the -8 and -9 variants. But some early models, such as at Air China, need replacing.

Replacement is also a focus at Philippine Airlines. PAL president and chief operating officer Jaime Bautista said the airline is in discussions how to replace its first two 777-300ERs, which date to 2008.

Bautista said Boeing has suggested the 777X, but PAL does not appear in a rush to make a decision. “We don’t have a plan yet, but we are in discussions with Boeing. Of course, Boeing wants to sell the airplanes so they are in discussions with us, informing us of the features of the airplane, just in case we become interested to replace the old triple sevens,” he told local media.

Manila slot congestion may see PAL delay delivery of A321neos, the first of which is due next year. “No problem with Airbus,” Bautista said.

Cebu Pacific meanwhile is nearing a decision between A330neos and 787s. Cebu acquired A330s for long-haul flights, mostly to the Middle East. It has significantly paired down long-haul while using the A330s for intra-Asia flying to constrained airports, including Hong Kong, Singapore and Shanghai Pudong.

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