Bloomberg News

Etihad Orders More Boeing 787-9s, 777s in $2.8 Billion Deal

December 12, 2011

(Updates with 787 fleet plans in fifth paragraph.)

Dec. 12 (Bloomberg) -- Etihad Airways, Abu Dhabi’s state- controlled airline, ordered 12 Boeing Co. aircraft valued at $2.8 billion at list prices in a deal that would make it the largest operator of the 787-9 Dreamliner.

The airline ordered 10 787-9s and two freighter versions of Boeing’s 777 model, the carrier said in a statement today. Etihad also has options and purchase rights for 25 more 787s. The 777s will help the company expand its Etihad Crystal Cargo unit and bring its 777 fleet, including passenger models, to 21 planes.

Etihad competes with Dubai government-owned Emirates, the world’s largest airline by international traffic, and Doha-based Qatar Airways Ltd. for travelers passing through the region’s hubs. In 2008, Etihad signed agreements to buy as many as 205 planes, with 100 on firm order, at the Farnborough International Air Show in the U.K.

Orders that Chicago-based Boeing has won this year include an $18 billion deal with Emirates for the 777 and a provisional order, valued at $21.7 billion at list prices, from Indonesian budget carrier Lion Air for 230 single-aisle 737. That contract would be a record transaction for the U.S. planemaker.

Including the purchase of the 300-seat planes announced today, Etihad will take delivery of 41 787-9s from late 2014 through 2019, and will fly the aircraft initially to destinations including Dublin, Frankfurt, Kuala Lumpur, Beijing, Delhi and Istanbul as well as Nagoya, Japan, it said.

The order “reflects our confidence in the 787’s ability to have a significant impact on our operating efficiencies,” Etihad Chief Executive Officer James Hogan said in the statement.

--Editors: Tom Lavell, Jerrold Colten

To contact the reporter on this story: Tamara Walid in Abu Dhabi at twalid@bloomberg.net

To contact the editor responsible for this story: Chad Thomas at cthomas16@bloomberg.net


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