Lion Air Places $6.2b Order for 50 Cutting Edge Boeing Passenger Jets

Lion Air Group, Indonesia's largest budget airline, announced a purchase agreement with US-based aircraft manufacturer Boeing for 50 737 Max 10 passenger jets at the 2017 Paris Air Show on Monday (19/06). (JG Photo/Dion Bisara)

By : Dion Bisara | on 3:02 PM June 20, 2017
Category : Business, Corporate News

Jakarta. Lion Air Group, Indonesia's largest budget airline, announced a purchase agreement with US-based aircraft manufacturer Boeing for 50 737 Max 10 passenger jets at the 2017 Paris Air Show on Monday (19/06).

The purchase order, worth $6.24 billion, still needs to be finalized by both companies. Airlines typically receive large discounts from aircraft manufacturers, including Boeing, when placing bulk orders.

Lion Air president director Edward said in a statement that the airline chose the 737 Max due to the aircraft's range, fuel-efficiency and impressive passenger capacity.

"The Lion Air Group was the first in the world to put the 737 Max 8 into service and the first to order the 737 Max 9, and we continue to lead the way again with this commitment for 50 737 Max 10s and to help launch the latest version of the 737," Edward said.

The airline's Malaysian subsidiary, Malindo Airlines, received a Boeing 737 Max 8 single-aisle passenger jet last month, becoming the world's first airline to use the airplane for commercial services.

"Boeing is honored that the 737 family of airplanes continues to play an integral role in the Lion Air Group's fleet and growth strategy," said Kevin McAllister, chief executive of Boeing Commercial Airplanes.

Lion is Boeing's second largest customer after Dallas-based Southwest Airlines, which previously placed an order for 201 737 Max jets in 2012.

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