Published on September 13th, 2023 | by Alan Dwyer0
SMBC Increases Boeing 737MAX Order
SMBC Aviation Capital and Boeing have announced an order for an additional 25 Boeing 737 MAX aircraft. The order takes the international aircraft leasing company’s firm orders for the fuel-efficient new generation type to 81 aircraft, with the additional 25 aircraft valued at over US$3.7 billion at current list prices. The additional aircraft ordered are scheduled for delivery in 2028 and 2029. The 737 MAX will provide SMBC Aviation Capital’s customers with greater operational flexibility and fuel efficiency, reducing fuel use and emissions by up to 20%. On average each 737 MAX aircraft will save up to 8 million pounds of CO2 annually compared to previous generation aircraft types. In addition to the 81 737 MAX aircraft on order, SMBC Aviation Capital currently owns or manages a total of 65 737 MAX aircraft, out of a total current portfolio of 711 owned and managed aircraft.
Commenting on the deal with Boeing, the CEO of SMBC Aviation Capital Peter Barrett said, “We are pleased to conclude this further order with our long-standing partner Boeing, and we look forward to working closely with them in the future. This transaction demonstrates our commitment to provide our customers with the latest technology and, most fuel-efficient aircraft, as they seek to meet their own sustainability objectives and reduce operating costs. Our customers have demonstrated clear long-term demand for the 737 MAX and our expanded order pipeline positions SMBC Aviation Capital for future growth against the background of a strong global recovery in air travel.”
Also commenting was the President and CEO of Boeing Commercial Airplanes, Stan Deal who added, “As one of the industry’s leading airplane lessors, SMBC Aviation Capital’s decision to increase its 737 MAX backlog with an order for 25 737-8s shows its confidence in the value the airplane brings to its airline customers. The 737-8’s incredible versatility and unrivalled fuel efficiency makes it a key asset for the leasing community in its drive to help airlines achieve sustainability and efficiency goals.”