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MAB Orders 15 Boeing 737 MAX 8 with 25 Options

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From a.net by frigatebird:

 

An option secures production slots, and requires downpayment. The airline has the choice to exercise an option at same point, if not the production slot will be reassigned.

Purchase rights lock in pricing, so the airline doesn't have to enter price negotiations again when they want to re-order. Productions slots will only be assigned when the airline actually orders additional aircraft. Not sure if an airline pays a premium for purchase rights.

 

Need to change the thread title then

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Boeing, Malaysia Airlines Announce Order for up to 50 737 MAX Airplanes

 

Order for 25 737 MAX 8s, purchase rights for additional 737 MAX 8s and MAX 9s -- Newest Boeing model to drive national carrier's fleet, growth plan
KUALA LUMPUR, Malaysia, July 27, 2016 – Boeing [NYSE: BA] and Malaysia Airlines Berhad (Malaysia Airlines) announced today an order for 25 737 MAX 8 airplanes, valued at $2.75 billion dollars at current list prices. The order, previously attributed to an unidentified customer on the Boeing Orders & Deliveries website, also includes purchase rights for additional 737 MAX 8 and 737 MAX 9 airplanes.
"This deal is a game-changer for Malaysia Airlines with much lower costs and greater efficiency which we will pass on to our loyal customers with lower fares," said Malaysia Airlines Chief Executive Officer Peter Bellew. "With the 737 MAX's longer range capabilities, we will be able to connect our passengers to more destinations, in greater comfort and with superior economics."
The Malaysian national carrier has operated almost every derivative of the 737 airplane family and took delivery of its 100th 737 in December 2014. Malaysia Airlines currently operates 56 737-800s.
"The 737 MAX will continue the superior operating economics and reliability of the 737 that Malaysia Airlines has depended on for more than 40 years," said Dinesh Keskar, senior vice president, Asia Pacific & India Sales, Boeing Commercial Airplanes. "We are honored to continue our long partnership with Malaysia Airlines and welcome them to the growing 737 MAX family."
"Malaysia Airlines is now on a path to growth across the Asean region," said Bellew. "This new aircraft order will set the stage for our continued recovery and success into the next decade."
The 737 MAX will deliver 20 percent lower fuel use than the first Next-Generation 737s and the lowest operating costs in its class – 8 percent per seat less than its nearest competitor. The new single-aisle airplane incorporates the latest technology CFM International LEAP-1B engines, Advanced Technology winglets and other improvements to deliver the highest efficiency, reliability and passenger comfort in the single-aisle market.
Malaysia Airlines is the national carrier of Malaysia, offering the best way to fly to, from and around Malaysia. Among the few airlines to have won both a Skytrax five-star rating and World's Best Cabin Crew award, Malaysia Airlines takes our 40,000 guests daily on memorable journeys inspired by Malaysia's diverse richness.
Malaysia Airlines embodies the incredible diversity of Malaysia, capturing its rich traditions, cultures, cuisines and warm hospitality on board, while opening up more of Malaysia's destinations than any other airline.
Since September 2015, the airline has been owned and operated by Malaysia Airlines Berhad. As a member of oneworld®, Malaysia Airlines and its partners in the global alliance offer a superior, seamless travel experience to more than 1,000 destinations in 150 plus countries, with special privileges and rewards for frequent flyers, including access to more than 650 airport lounges worldwide. Up to 90 destinations will be serviced across Asia, Africa, the Americas and the Middle East via a new codeshare partnership with Emirates, signed in early 2016.
Source: Boeing

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Another point of note, similar to the A350 order announcement, no pics were put up. Adds credence to the rumors of a new livery to be launched soon, I'd say.

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Another point of note, similar to the A350 order announcement, no pics were put up. Adds credence to the rumors of a new livery to be launched soon, I'd say.

These 25 new B737-8 Max might also be leased - they could replace the current leased aircraft in MH's fleet. Some of these leased aircraft are much older than the factory fresh deliveries.

 

Also note the Edgemarkets report:

 

Bellew said these newly-ordered aircraft have more seats (180 seats) than the national carrier's current 160-seat fleet.

180 seats on the B737-8 Max - does that mean that business class might no longer be offered on the new Max aircraft?

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These 25 new B737-8 Max might also be leased - they could replace the current leased aircraft in MH's fleet. Some of these leased aircraft are much older than the factory fresh deliveries.

 

Also note the Edgemarkets report:

180 seats on the B737-8 Max - does that mean that business class might no longer be offered on the new Max aircraft?

Isnt the 160 is the current layout with the J class too?

 

Also jani, have some livery photo: https://twitter.com/FHavg/status/758221284329164802/photo/1

 

Of course the livery may just be changed.

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According to rumours/hearsay, mab or its parent is lagging behind their financial commitment. This aircraft order may be a will/instruction from the top.

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The 737 Max doesn't automatically comes with scimitar winglet right?

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Isnt the 160 is the current layout with the J class too?

Yes, current layout for the owned B738 is 16 business class and 144 economy seats. There is some variation on seating with the leased planes.

 

Bellew might be describing B737-9 Max configuration when he said 180 seats. The Malindo B739s have 12 business and 168 economy seats.

The 737 Max doesn't automatically comes with scimitar winglet right?

I believe it is standard - they needed a more advanced winglet design to enable better performance and fuel savings.

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Yes, current layout for the owned B738 is 16 business class and 144 economy seats. There is some variation on seating with the leased planes.

 

Bellew might be describing B737-9 Max configuration when he said 180 seats. The Malindo B739s have 12 business and 168 economy seats.

I believe it is standard - they needed a more advanced winglet design to enable better performance and fuel savings.

Wonder if the Max9 can support MINT-like cabin up front.

Not sure if it is economically and MTW feasible though.

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The 737 Max doesn't automatically comes with scimitar winglet right?

The one on 737 Max isn't a Scimitar winglet. The winglet on 737 Max is different from Scimitar winglet from Aviation Partners.

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..... - otherwise KLIA will be flooded with A320s ....

I thought I read somewhere the ponding issues already fixed ?! :D

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According to rumours/hearsay, mab or its parent is lagging behind their financial commitment. This aircraft order may be a will/instruction from the top.

 

Yada yada yada.

 

Malaysians should seriously stop with the "according to rumours" bullcrap.

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And Emirates gets a special mention in that Boeing PR on MH's order...how sad.

 

I think that blurb was purposely inserted by the MH PR team to highlight the fact. Boeing does solicit input from the airlines on what to put in their press releases.

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Darn it! I was hoping MH will order A321neoLR to fight off AirAsia!! Grrr!!

 

Anyhow, the order is attributed to UFO order previously booked with Boeing. On a side note, I can see Malaysia Airlines operating those MAX alongside with current NG as domestic flight certainly does not need the MAX's range. MH operated the Classics to ground before retiring them for good.

 

Also, this order makes Malaysia Airlines among the few who place MAX order: VietjetAir 100 firm, Garuda 50, Lion Air 201, Nok Air 8, Silk Air 31.

 

I still think MH needs the A321neoLR for medium thin route. It will help them to open up new routes to Dubai, Sapporo, Brisbane, Doha etc. The extra 500nm really come in handy which MAX 9 can't do. Also, MH can swap A330ceo with A321neoLR during high and low season. Come on, MH! Order that bloody Airbus!

Edited by JuliusWong

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I think that blurb was purposely inserted by the MH PR team to highlight the fact. Boeing does solicit input from the airlines on what to put in their press releases.

 

Sure, MH would have vetted it prior to release. But why dilute the impact by even mentioning Emirates? Could have been more creative instead of giving EK some free publicity. That's the sad bit.

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Darn it! I was hoping MH will order A321neoLR to fight off AirAsia!! Grrr!!

 

Anyhow, the order is attributed to UFO order previously booked with Boeing. On a side note, I can see Malaysia Airlines operating those MAX alongside with current NG as domestic flight certainly does not need the MAX's range. MH operated the Classics to ground before retiring them for good.

 

Also, this order makes Malaysia Airlines among the few who place MAX order: VietjetAir 100 firm, Garuda 50, Lion Air 201, Nok Air 8, Silk Air 31.

 

I still think MH needs the A321neoLR for medium thin route. It will help them to open up new routes to Dubai, Sapporo, Brisbane, Doha etc. The extra 500nm really come in handy which MAX 9 can't do. Also, MH can swap A330ceo with A321neoLR during high and low season. Come on, MH! Order that bloody Airbus!

I would think that the most urgent routes to deploy the Max 8 will be on routes where the competition is toughest. So those flights to HK, TPE, China, India might be the first to get the new planes with new cabin products.

 

Yes, I still see a role for the A321neo LR - but it is to compliment the A330 fleet. I am sure that they will be useful to deploy on those think A330 routes so that the A330 does not have to fly with low load factors. Also new routes can be explored using this aircraft.

 

As for the Max 9, it may be good for high load domestic and short haul routes.

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