Airplane leasing business SMBC Aviation Capital has consented to purchase an extra 14 Boeing 737 MAX jets designed for low cost passengers, with delivery beginning not long from now.
The company, a significant Boeing client, on Tuesday said the request is for jets that have effectively been built and will build its fleet to 121.
Last year during the grounding of the Max and at the peak of the Coronavirus pandemic, SMBC delayed delivery of 68 planes by four years until 2025-2027 and demonstrated that it had not ruled out cancellations.
In any case, CEO Peter Barrett on Tuesday said he was positive about interest for the Max, which he said was getting acceptance after regulators cleared it to fly before the end of last year after its two-year grounding.
“We thought this was a decent chance to expand our arrangement of young, fuel efficient, eco-friendly, narrowbody airplane – the sort of planes we believe will be popular as this recuperation takes a firmer balance,” Barrett said in a release.
“There is by all accounts great acknowledgment for the airplane with carriers and clients.”
Airplane leasing organizations, which control over 40% of the global fleet, are among the biggest MAX clients.
Industry sources a week ago revealed that Boeing had drawn up plans to boost 737 MAX yield to upwards of 42 planes every month in fall 2022 from single digits currently, planning for a recuperation covering safety and Coronavirus emergencies.
Production was stopped in 2019 when Boeing’s quickest selling model was grounded after lethal accidents. Production continued last May for a fraction of its original pace while Boeing explored regulatory approvals and a delicate supply chain.
SMBC Aviation Capital is owned by a consortium including Japan’s Sumitomo Corp and Sumitomo Mitsui financial group.
