Boeing Wins $2 Billion Order, Beating Airbus for the Third Time

Strategic Insights -

Boeing Co. has won a $2.16 billion order from Northwest Airlines Corp. for 18 of its new 787 jets, dealing a blow to Airbus SAS. This is the third time in two weeks that Boeing has beaten Airbus, the world's largest commercial-airplane maker, for a major order. Northwest, the fourth-largest U.S. airline, also took options on 50 additional planes to be used on international routes to Europe and Asia.

Key Takeaways:

  • Boeing has secured a significant order from Northwest Airlines Corp. for 18 787 jets valued at $2.16 billion.
  • This is the third time in two weeks that Boeing has beaten Airbus for a major order, demonstrating Boeing's competitive edge in the commercial-airplane market.
  • Northwest Airlines Corp. plans to use the 787 jets on international routes to Europe and Asia, with deliveries expected to begin in August 2008.
  • The order is seen as a blow for Airbus, whose planes make up a bigger part of Northwest's fleet than Boeing aircraft.
  • Boeing will provide 18 787 jets to Northwest Airlines Corp., with an option for an additional 50 planes.
  • The deal is worth $2.16 billion, making it one of the largest orders for Boeing in recent years.

Statistics:

  • $2.16 billion: the value of the order from Northwest Airlines Corp. for 18 Boeing 787 jets.
  • 18: the number of 787 jets ordered by Northwest Airlines Corp.
  • 50: the number of additional planes that Northwest Airlines Corp. has taken options on.
  • August 2008: the expected delivery date for the 787 jets.
  • $852.5 million: the amount of capital raised by Lazard Ltd. through its initial public stock offering.

Sources:

  • Boeing Co.
  • Northwest Airlines Corp.
  • Airbus SAS
  • Lazard Ltd.
  • National Association of Securities Dealers (NASD)
  • General Electric Co.
  • Extra Space Storage Inc.
  • Prudential Real Estate Investors
  • Wall Street Journal
  • Bloomberg News
  • AP News
  • Wire services