CHICAGO (dpa-AFX) - Dubai-based Emirates airline finalized Sunday an order to purchase 50 long-range, twin-engine jet airliner 777-300 Extended Range aircraft from aerospace and defense giant Boeing Co. (BA) for about $18 billion at list prices. The order, agreed upon at the Dubai Air Show, is the single largest commercial airplane order in Boeing's history by dollar value. The order also includes an option for an additional 20 of the popular twin-aisle commercial jetliner for about $8 billion.
'This is an extremely proud moment for us as it not only underscores Emirates' ongoing confidence in the 777 but also makes this the single largest order by dollar value in Boeing's history,' said Jim Albaugh, president and CEO of Boeing Commercial Airplanes.
Separately, Emirates announced that the 777-300ERs are powered by General Electric Co.'s (GE) GE90-115B engines. It has also signed a 12-year OnPoint solution agreement for the maintenance, repair and overhaul of these newly ordered engines. The engine order list price and service agreement is valued at about $6 billion.
The engines are the world's largest and most powerful commercial jet engine, producing 115,300 pounds of thrust. France's Snecma, Italy's Avio SpA and Japan's IHI Corp. are revenue-sharing participants in the GE90 program.
The 50 airplane order takes Chicago, Illinois-based Boeing's net order book for the 777s to 182 in 2011, making it the best selling year for the 777 airplane, surpassing the previous record of 154 orders set in 2005.
Meanwhile, Emirates currently operates a fleet of 94 777s through direct purchase and lease, making it the world's largest 777 operator as well as the operator of every model in the Boeing 777 family, including the 777 Freighter. There are also additional unfilled orders on backlog for 41 777-300ERs. Emirates took delivery of its first Boeing 777 - a 777-200 in - 1996.
'The 777's reliability, performance and operating economics have firmly established it as the backbone of our fleet. We have an ambitious and strategic plan to continue growing our international network and especially increasing our long-haul, non-stop routes. This order supports our fleet expansion and reiterates our commitment to operating a modern fleet for the benefit of our passengers and to ensure operational efficiency as well,' Emirates Chairman and CEO His Highness Sheikh Ahmed bin Saeed Al Maktoum noted.
The 777-300ER extends the 777 family's span of capabilities, bringing twin-engine efficiency and reliability to the long-range market, and is the world's most successful twin-engine, long-haul airplane that carries 365 passengers up to 7,930 nautical miles.
As of September 30, the 777-300ER has 543 orders from 37 customers worldwide after it was introduced into service in 2005, according to Boeing's website. Out of these, twenty-seven customers now operate the 777-300ER, and 10 additional customers will take delivery of their first 777-300ERs through 2014.
BA closed Friday's regular trading session at $66.92, up $2.09 or 3.22 percent, on a volume of 4.40 million shares, lower than the three-month average volume of 6.21 million shares. In the past 52-week period, the stock has been trading in a broad range of $56.01 to $80.65.
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