Southwest Airlines has recently placed an order for 108 more Boeing 737 MAX aircrafts. This decision marks a significant investment in the airline's fleet and demonstrates their commitment to providing top-notch services to their customers. The 737 MAX is a popular choice among airlines due to its fuel efficiency and advanced technology. This acquisition will not only enhance Southwest's operational capabilities but also contribute to the growth of the aviation industry. We look forward to seeing the positive impact this investment will have on Southwest's business and the broader aviation community.
Boeing and Southwest Airlines (WN) have announced that the Dallas-based airline is increasing its commitment to the 737 MAX family by ordering 108 737-7s. This order supports WN’s modernization strategy and provides flexibility for future fleet expansion.
Revised Plans for Aircraft Deliveries and Retirements
As per the airline’s just-released third-quarter results, it has revised its plans for aircraft deliveries and retirements in 2023. It now intends to receive around 85 Boeing 737-8 aircraft and retire 41 Boeing 737-700 aircraft. Despite these changes, WN still aims to end the year with a total of 814 aircraft. This marks an adjustment from its previous plan, which involved approximately 70 Boeing 737-8 deliveries and 26 737-700 retirements.
Third-Quarter Results
In the third quarter of 2023, the operating revenues of the company reached a record high of US$6.5 billion, representing a 4.9% increase compared to the same quarter of the previous year. However, in the third quarter of 2023, RASM (Revenue per Available Seat Mile) decreased by 6.8% year-over-year, which falls towards the lower end of the carrier’s previous guidance range. This decrease can be attributed to lower-than-expected close-in bookings.
Southwest Airlines' History with Boeing
Southwest has a long history with Boeing, dating back over 50 years, and recognizes the efficiencies and cost savings of a single fleet. The 737 family has played a crucial role in Southwest’s growth, and the airline has already placed over 300 orders for the 737-7, bringing its total orderbook to more than 500 737 MAX jets. Once certified, the 737-7 will join the WN all-Boeing 737 fleet.
Benefits of the Boeing 737 MAX Family
The Boeing 737-7 offers the longest range in its class, capable of flying up to 3,800 nautical miles and accommodating up to 172 passengers. In addition to its range, the 737 MAX family provides enhanced environmental performance, allowing carriers to reduce fuel consumption compared to previous generations of airplanes. The 737 MAX is also quieter, resulting in a smaller noise footprint than the older jets it replaces.
With this commitment increase, the airline, with the world’s largest all-Boeing, all-737 fleet, underscores that it will continue to rely on the 737 MAX family.
-Source(airwaysmag)
