Air India gave investors in
a Valentines Day present so big that politicians on three continents took notice.
(ticker: BA) announced an order for up to 290 jets from Air India, including 777, 737 and 787 model jets, while the airline said it is buying about 250 planes from
“This acquisition of nearly 300, highly advanced
jets is a core element of Vihaan.AI, the comprehensive transformation and growth strategy we are pursuing at Air India,” said Air India CEO Campbell Wilson in a news release.
Vihaan.AI means dawn of a new era in Sanskrit.
“With the industry-leading fuel efficiency of the 737 MAX, 787 Dreamliner and 777X, Air India is well positioned to achieve its expansion plans and become a world-class global airline with an Indian heart,” said Stan Deal, president and CEO of Boeing Commercial Airplanes, in the news release.
(GE), which makes the engines for many of the Airbus and Boeing planes Air India is buying, described the order as a record. And President Joe Biden scooped Boeing’s own announcement, releasing a statement touting the “historic purchase of Boeing Aircraft” before the aerospace company disclosed the sale.
Boeing stock was up 0.9% in midday trading, while the
Dow Jones Industrial Average
fell 0.3% and 0.5%, respectively.
GE shares gained 0.7%.
The announcement of Air India’s order from Airbus included a virtual meeting between French President Emmanuel Macron and Indian Prime Minister Narendra Modi.
Boeing has undelivered orders totaling about 5,400 jets. At the end of 2022, Airbus’s backlog sat at about 7,200 planes.
Boeing stock is up about 14% so far this year, but is about 50% below its record high. Airbus shares are up about 5% n 2023 but remain about 20% off their peak level.
Write to Al Root at email@example.com