cancel2 2022
Canceled
IAG CEO Explains 737 MAX Order
In mid-June at the Paris Air Show, IAG (the parent company of British Airways, Iberia, Aer Lingus, and Vueling) expressed interest in a surprising aircraft. The company signed a letter of intent to acquire 200 Boeing 737 MAXs, valued at $24 billion at list prices.
This caught many of us off guard:
The 737 MAX is grounded globally right now, and we don’t know when it will be flying again
An order for 200 planes is massive, and this seemingly came out of left field
On some level IAG seemed to be involved with Boeing here in the subtle rebranding of the plane — IAG simply referred to the plane as the 737, with no mention of the “MAX” (in the meantime Ryanair has done something similar — they’ve rebranded the 737 MAX 200 as the 737-8200)
So, what was IAG’s motivation for signing this LOI, according to CEO Willie Walsh? He says that this order was motivated by frustration with Airbus:
IAG has experienced an average of 70 day delays on their new A320neos, which has left the company frustrated
IAG wants to have a mixed narrow body fleet, so that they’re not entirely reliant on one manufacturer; I suppose that’s fair enough, when you look at what’s happening with the 737 MAX right now
https://onemileatatime.com/iag-ceo-737-max-order/
In mid-June at the Paris Air Show, IAG (the parent company of British Airways, Iberia, Aer Lingus, and Vueling) expressed interest in a surprising aircraft. The company signed a letter of intent to acquire 200 Boeing 737 MAXs, valued at $24 billion at list prices.
This caught many of us off guard:
The 737 MAX is grounded globally right now, and we don’t know when it will be flying again
An order for 200 planes is massive, and this seemingly came out of left field
On some level IAG seemed to be involved with Boeing here in the subtle rebranding of the plane — IAG simply referred to the plane as the 737, with no mention of the “MAX” (in the meantime Ryanair has done something similar — they’ve rebranded the 737 MAX 200 as the 737-8200)
So, what was IAG’s motivation for signing this LOI, according to CEO Willie Walsh? He says that this order was motivated by frustration with Airbus:
IAG has experienced an average of 70 day delays on their new A320neos, which has left the company frustrated
IAG wants to have a mixed narrow body fleet, so that they’re not entirely reliant on one manufacturer; I suppose that’s fair enough, when you look at what’s happening with the 737 MAX right now
https://onemileatatime.com/iag-ceo-737-max-order/