Kuwait-based aircraft leasing company ALAFCO has finalized an order for 20 Boeing 737 MAX 8s.
Boeing values the order at $2.0 billion at current list price. The order was first announced as a commitment at the Farnborough International Airshow 2012 in July.
“This is the first order for the 737 MAX from the Middle East, which is one of the aviation industry’s highest growth regions,” says Ray Conner, president and CEO of Boeing Commercial Airplanes.
The Boeing 737 MAX will be powered by new CFM International LEAP-1B engines. Along with the engines, aerodynamic improvements to the tail and the new Advanced Technology winglet, the 737 MAX will reduce fuel burn and CO2 emissions by 13 per cent over today’s Boeing 737NG, according to the manufacturer.
Boeing claims the 737 MAX will have the lowest operating costs in the single-aisle segment, with an 8 per cent advantage per seat over tomorrow’s competition. Analysts and competitors Airbus and Bombardier dispute Boeing’s claim.
“Today, with rising fuel costs, the 737 MAX will provide operational cost savings to airlines in addition to being more environmentally friendly due to its latest quiet engine technology,” Ahmad Alzabin, ALAFCO’s chairman and CEO, said during the Farnborough Airshow in July. “These are the advantages that airlines are looking for in the current competitive and demanding environment.”
The order brings the total number of 737 MAX jets ordered to date to 878.