Middle Eastern carrier shocks Boeing by opting for more Airbus twinjets on lease
Royal Jordanian has shocked Boeing by doing a u-turn on the planned replacement of its Airbus A320 fleet with Boeing Next Generation 737s, and will instead acquire new A320s and A321s on lease.
In June, the Amman-based airline reached a "preliminary decision to enter into negotiations with Boeing" to take five 737-800s from September next year. These were to be followed by up to five more of the type, with the intention of using them to replace its five A320s, as well as its remaining A310 widebodies as part of its 2004-2008 strategic plan. However, the decision was reversed after a 31 August deadline to seal a final deal with Boeing passed without agreement.
"These negotiations were subject to reaching a satisfactory agreement by 31 August - and we didn't make the agreement in this time," says Royal Jordanian.
The decision by the all-Airbus operator to drop plans for a switch to the 737 will be a blow for Boeing, because it would have been an important gain for the US manufacturer in the Middle East.
The airline declines to explain the reason for failing to reach a deal with Boeing, saying only that its board of directors decided "at a meeting on 1 September and after reviewing all aircraft manufacturers' business offers and the economic performance of the different scenarios, to replace the current A310 and A320 fleet with new A320 and A321s through operating lease".
Royal Jordanian will take "nine or 10" A320/A321s, but has yet to decide on the split. "It is not clear whether the [management] will change the delivery date [from that of the 737s]," says the airline, but adds that the carrier's talks to finalise a deal with Airbus - including matters such as configuration of the aircraft - are not expected to take long to complete.
No engine decision has been revealed, although the carrier's existing A320 fleet is powered by the CFM International CFM56.
DAVID KAMINSKI-MORROW / LONDON
Source: Flight International
