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Air Canada Locks In Boeing 777s and 787 Dreamliners
-- Up to 96 modern, efficient and comfortable airplanes to renew and expand fleet
SEATTLE, Nov. 9, 2005 -- Air Canada today signed a contract with Boeing [NYSE: BA] to upgrade the airline's fleet with up to 36 Boeing 777s and 60 Boeing 787 Dreamliners. The conclusion of the order comes six months after the airline announced a widebody fleet renewal plan, subject to a number of conditions.
"We're extremely pleased to move forward with the renewal of Air Canada 's widebody fleet with these new Boeing airplanes," said Robert Milton, president and chief executive officer of ACE Aviation Holdings Inc., Air Canada 's parent company. "Our analysis of these aircraft confirmed overwhelmingly attractive economics; we estimate the fuel burn and maintenance cost savings alone on the 787 to be approximately 30 per cent versus the 767s they will replace. This is particularly important in the current high-fuel-price environment."
As with the previous agreement, announced in April, the new contract with Air Canada includes firm orders for 18 777s, plus purchase rights for 18 more, in a yet-to-be-determined mix of the 777 family's newest models: the 777-300ER, the 777-200LR Worldliner (the longest-range airplane in the world) and the newly announced 777 Freighter. Air Canada 's new 777 deliveries will begin in 2007.
The order also includes 14 ultra-efficient new Boeing 787 Dreamliners, plus options and purchase rights for an additional 46 airplanes. Air Canada 's first 787 will be delivered in 2010. The firm orders in the agreement are valued at approximately $6 billion at list prices.
"Our 777s and 787s are uniquely suited to meet Air Canada's current route structure and growth plans for long-range, nonstop routes for both passengers and cargo," said Alan Mulally, president and CEO of Boeing Commercial Airplanes. "Operating modern and comfortable 777s and 787s in the same fleet will allow Air Canada to tailor capacity to seasonal demand with two aircraft types that fly the same speed and range, yet offer different seating and cargo capacities."
Air Canada is the 25 th airline to select the 787 Dreamliner, bringing the total number of announced firm orders and commitments to 309. Air Canada joins a growing team of 787 launch customers who've recognized the 787's exceptional value and superior operating performance.
The Boeing 787 Dreamliner is being designed with airlines, passengers, investors and the environment in mind. The technologically advanced airplane will use 20 percent less fuel than today's airplanes of comparable size, provide customers with up to 45 percent more cargo revenue capacity, and present passengers with innovations including a new interior environment with higher humidity, wider seats and aisles, larger windows, and other conveniences.
The Boeing 777 family of airplanes is the world's most advanced, and continues to evolve with the recent addition of the world's longest-range airliner, the 777-200LR Worldliner, and the Boeing 777 Freighter. To date, 43 airlines have placed orders for 736 777s, making it the most preferred airplane in its class.
Mathias
