Boeing scores order for 35 - 737 Max Jets from a US lessor

Boeing Co. has won an order for 35 of its 737 Max aircraft, including its largest variant, the Max 10, from the US aircraft leasing unit of Tokyo Century Corp.

Aviation Capital Group LLC will buy 16 Max 8 aircraft and 19 of Boeing’s largest single-aisle jet — the yet to be certified Max 10 — the company said in a statement Friday. The aircraft should be delivered by 2031.

Aviation Capital, which owns and manages 364 aircraft, didn’t disclose the value of the deal. An earlier transaction with Airbus SE for almost 60 single-aisle planes that are yet to be delivered, along with some other aircraft, means the group has outstanding orders worth around 1.3 trillion yen ($8.2 billion).

The US lessor said it was ordering in anticipation of greater demand for air travel, meaning additional airlines will seek to lease aircraft, particularly more fuel-efficient ones.

For Boeing, the order is a boost during one of its lowest ebbs as it faces constraints on the production of its cash-cow 737 single-aisle jet following the fallout from a near disaster in early January when the door plug of an almost-new Alaska Airlines Max jet blew out mid-flight.

Bloomberg reported Friday that Boeing has started warning customers of further delays to 737 Max deliveries, with timelines slipping by three to six months. 

That comes after the Federal Aviation Administration said it won’t allow Boeing to hike output of its narrow-body craft beyond a 38-jet monthly pace until it’s convinced quality controls are in place and the supply chain can keep pace.

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