logo
Share SHARE
FONT-SIZE Plus   Neg

Bloomberg: United Continental Close To Deal With Boeing To Buy 200 Planes

United Continental Holdings (UAUA,UAL) is in exclusive negotiations with Boeing Co. (BA) to buy around 200 narrow body jets, Bloomberg reported quoting two people familiar with the matter.

Discussions to purchase Boeing 737s or Airbus A320s and variants with new engines have been going on for at least six months.

The airline is now said to have dropped its discussions with Airbus SAS, a unit of European Aeronautic Defence and Space Co. or EADS NV (EADSY.PK,EADSF.PK).

If the deal materializes, it will be a major win for Boeing, which has been lagging behind Airbus in procuring orders from small carriers.

Two-thirds of the planes flown at United Continental, formed through the merger of UAL Corp. and Continental Airlines Inc. in 2010, are from Boeing. The 737 is the most widely flown plane in the world.

A factor that may work in favor of Boeing is that the current management of United Continental comes mostly from Continental, which only flew planes from Boeing.

UAL closed on Monday at $22.85, down $0.06 or 0.26 percent, on a volume of 4.41 million shares.

BA settled at $72.86, down $0.69, on 5.02 million shares.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
A California man has filed a lawsuit against McDonald's alleging that the fast food giant is defrauding customers by cramming its mozzarella sticks with filler instead of real cheese. Chris Howe is seeking at least $5 million in damages on behalf of consumers in 42 states and the District of Columbia. The... Jeep, the 4x4 vehicles, which has developed a strong bond with its masters, is aggressively on an expansion mode in its 75th anniversary year. Its fans have always been in love with the famous tag "Go Anywhere, Do Anything." Meat products maker Tyson Foods Inc. (TSN) reported a profit for the first-quarter that increased 49% from last year. It raised its profit outlook for fiscal year 2016 ,but it cut its annual sales guidance.
comments powered by Disqus
RELATED NEWS
Trade UAL now with 
Follow RTT