Boeing and Aviation Capital Group 737 MAX Order
PR: Boeing and Aviation Capital Group LLC (ACG) announced today the airplane lessor has finalized an order for 35 737 MAX jets, including 16 737-8 and 19 of the larger 737-10 variant. Following an incremental 737 MAX order last year, this new purchase increases ACG’s 737 MAX commitment to 82 orders as ACG grows its portfolio to meet customer demand for fuel-efficient airplanes.
“This firm order for additional 737 MAX aircraft enhances the strategic value of ACG’s order book, supports a key pillar of our growth strategy and reinforces our commitment to invest in modern and fuel-efficient aircraft technology,” said Thomas Baker, Chief Executive Officer and President at ACG. “We look forward to supporting our airline customers throughout the world with these highly versatile and fuel-efficient aircraft.“
The 737-8 can carry up to 210 passengers based on configuration with a range of 3,500 nautical miles (6,480 km), while the 737-10, the largest 737 MAX model with the best per-seat economics of any single-aisle airplane, seats up to 230 passengers with a range of 3,100 nautical miles (5,740 km). Both variants reduce fuel use and carbon emissions by 20% compared to the airplanes they replace.
“Today’s repeat order demonstrates market demand for the 737 MAX family of airplanes as ACG’s customers seek to operate flexible, fuel-efficient fleets,” said Brad McMullen, Boeing senior vice president of Commercial Sales and Marketing. “ACG has been a longstanding, valued partner on the 737 MAX program, and we look forward to working together to deliver the latest airplane technology to its airline customers.”
On average, each 737 MAX saves up to eight million pounds of CO2 emissions annually and is a quieter airplane, with a 50% smaller noise footprint than the airplanes it replaces.Â
- This deal brings ACG’s portfolio to 82
- Selecting the MAX 8 and MAX 10 underscores that these are the two primary models.
- The MAX 7 has a limited future, mainly at Southwest. Similarly, we think MAX 9 orders will convert to MAX 10 once that model has certification.
- In its category, the MAX 8 has the best fuel burn per seat, which makes it attractive to operators. Being at the center of the industry’s “bread and butter” segment, the MAX 8 is key to Boeing’s success.
- The MAX 10 is Boeing’s most promising model because it’s in the hottest segment. Among the MAX family, it has the second-largest order book. However, the MAX 10 is also Boeing’s greatest frustration because the program is very late, which makes this order very helpful.
- It is also telling that this order is being announced today rather than being held for next week’s air show.
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