United's $14.7 Billion Boeing OrderCNBC's Phil LeBeau has the latest details on Dow component Boeing getting a huge order from the nation's largest airline.
A source familiar with the deal says United Airlines will place a firm order for 100 Boeing 737's (BA), with many of them being versions of the new 737 MAX. The list price for new 737's depends on the version ordered, but could total more than $9 Billion. However, airlines typically wind up paying well below list price.
United will also have the option to buy up to another 100 Boeing 737 planes.
Jeff Smisek, CEO of United Airlines will announce the order Thursday morning at the UAL headquarters in Chicago. He'll be joined by Boeing CEO Jim McNerney and the President Boeing Commercial Airplanes, Ray Conner.
The deal has long been expected, and is another major win for Boeing when it comes to the next generation of single aisle commercial airplanes. Including orders announced earlier this week at the Farnburough Air Show, Boeing has more than 600 order for the 737MAX. By comparison, Airbus has booked more than 1400 orders for its next generation narrow body jet, the A320neo.
Boeing has made winning the United order a top priority. The world's largest airline has a long history with Boeing. If UAL would have ordered A320neo planes, it would have been a second major airline to choose Airbus over Boeing in the last year.
Last July, Airbus cracked Boeing's exclusive relationship with American Airlines and sold 260 A320's to AMR. At that time, American also ordered 200 737's.
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