Monday, November 14, 2011

Oman Air orders 6 Boeing 787 planes at Dubai show

Catalog price of the aircraft is $193.5 million, but no details revealed about the deal

Oman's national carrier has ordered six units of Boeing's fuel-efficient 787-8 Dreamliner aircraft which recently entered commercial service, the two entities announced Monday at the Dubai Airshow.

The six long-range wide-bodied units were already on order for ALAFCO leasing company and Oman Air has taken over the existing order, a statement said.

"The airline completed an arrangement with Boeing and Kuwait-based leasing company ALAFCO to transfer existing orders for the six Dreamliners from ALAFCO to Oman Air," the statement said.

The catalog price for the mid-size aircraft is $193.5 million, but no details were declared concerning the value of the deal.

"Our decision to order the 787-8 is part of Oman Air's long-term growth strategy to expand and modernize our fleet with newer, more fuel-efficient airplanes," said Peter Hill, chief executive officer of Oman Air in the statement.

Established in 1993, Oman Air flies to 41 destinations.

Boeing says the 787, built partly from lightweight composite materials, has a 20 percent greater fuel efficiency than similar-sized jets and can carry up to 50 percent more cargo, making it an attractive proposition for airlines facing soaring fuel costs.

The Dreamliner also offers enhanced passenger comfort with higher cabin air pressure and humidity as well as much bigger windows, according to the manufacturer.

The 787-8 Dreamliner will carry 210-250 passengers on routes up to 15,200 kilometres, while the 787-9 model will carry 250-290 passengers on routes up to 15,750 kilometres.

The first 787-8 went into operation with Japanese airline ANA last month, nearly three years behind schedule.


DUBAI, United Arab Emirates (AP) — Boeing on Monday snagged a new Mideast customer for its much-hyped 787 Dreamliner at the Dubai Airshow, a day after it signed a record-breaking deal for 50 wide-body planes.

Oman Air and Boeing Co. said the carrier has ordered six Boeing 787-8 aircraft, though the planes won't translate into additional business for the Chicago-based plane maker. That's because Oman Air is taking over orders previously placed by Kuwait-based aircraft leasing company ALAFCO.

No one at ALAFCO was immediately available to comment on the deal, and it wasn't clear why it transferred the orders.

Oman and Boeing didn't provide financial terms of the order. Each 787-8 costs $193.5 million at list prices, though airlines often try to negotiate discounts.

"Our decision to order the 787-8 is part of Oman Air's long-term growth strategy to expand and modernize our fleet with newer, more fuel-efficient airplanes," airline CEO Peter Hill said in a statement.

Japan's All Nippon Airways operated the first commercial flight of the 787 late last month following a series of manufacturing delays. The cutting-edge plane is made of lightweight composite materials and is attractive to airlines because it promises to be 20 percent more fuel-efficient than similar planes.

Long lines of curious spectators have lined up in Dubai to step aboard a 787 display model, which is making its debut at the Mideast airshow.

Oman Air is the flagship carrier of the Sultanate of Oman, which sits on the southestern tip of the Arabian Peninsula. The airline, set up in 1993, is far smaller than Gulf behemoths such as Dubai's Emirates and Qatar Airways.

Qatar Airways is among the regional carriers that have already signed up for the Dreamliner. It has ordered 30 of the planes and has options for 30 more. The carrier is expected to announce additional aircraft orders at this week's show.

Its Dubai-based rival Emirates, the region's biggest carrier, on Sunday placed an unexpectedly large order for 50 more Boeing 777s, signaling it remains optimistic about its ambitious growth plans despite the shake global economy. Boeing said he deal, worth $18 billion at list prices, was its biggest-ever single order in by value.

Gulf airlines have boomed in recent years by funneling travelers from far-flung global destinations through hubs such as Dubai and the Qatari capital Doha.

European plane manufacturer Airbus predicts the Middle East will require some 1,920 new planes worth more than $347 billion through 2030, according to a forecast released Monday.

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