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United Airlines revealed it placed a new order for Boeing and Airbus jets, and this could be its largest order yet. The air carrier confirmed on Tuesday, June 29, that it will be investing more than $30 billion for the purchase of 270 planes.
The purpose of the large orders
The move to buy new units of aircraft is part of the United Airlines effort to prepare for the post-pandemic growth in the business. As per Reuters, the order breakdown consists of 200 Boeing (50 units of 737 MAX 8 and 150 of MAX 10) and 70 units of Airbus A321neo planes.
The airline stated it would be replacing the smaller airplanes for the main travel routes and at least 200 regional aircraft in the years between 2022 and 2026. It was mentioned that United Airlines severely suffered at the height of the pandemic, even if it is the most exposed American air carrier to international flights.
But now, it is expecting a good outcome in the coming days and months as the travel business is rebounding slowly. Although domestic travel is more in demand, international flights may soon pick up soon as well.
Boosting domestic flights capacity
The addition of the planes will increase the number of seats, and this is expected to bring up the company’s revenues this year, Fox Business reported. It is further hoped that it could recover some of its losses in the previous year.
United Airlines chief executive officer Scott Kirby said that the new planes will accelerate the company’s business “to meet a resurgence in air travel." It was learned that the MAX 10 is the largest in the MAX model series and can accommodate 230 passengers, so this was added to the fleet.
The Airbus A321neo is also larger and has a bigger capacity. With their sizes, United Airlines believe this will play a key role in the firm’s plans for growth.
"That's one of the primary reasons that the order includes both jet types," Andrew Nocella, chief commercial officer, said.
Meanwhile, it was not mentioned when United Airlines is expecting the deliveries from Boeing.
