United Continental Holdings, Inc. (UAL) said Thursday that it has placed an order to buy 150 narrowbody Boeing 737 aircraft that will allow it to replace older, less-efficient aircraft to reduce fuel and operating costs, enhance the customer experience and maximize network opportunities.
The order, which is valued by Boeing Co. (BA) at $14.7 billion at list prices, includes 100 Boeing 737 MAX 9 aircraft and 50 Boeing 737-900ER aircraft.
United will start taking delivery of 100 Boeing 737 MAX 9 aircraft in 2018. United, the world's largest airline by traffic, is the North American launch customer for the 737 MAX 9.
The deliveries of 50 Boeing 737-900ER aircraft under the deal will start late next year, United said. United was also the North American launch customer for the 737-900ER when its predecessor placed its first order in 2006 and currently operates a fleet of those planes.
The 737-900ER and 737 MAX 9 ordered by United can seat up to 180 passengers and feature the new Boeing Sky Interior.
"These new aircraft, combined with our new widebody aircraft already on order and our existing fuel-efficient aircraft, will solidify United's future fleet as one of the most efficient and environmentally responsible fleets among our global competitors," said Jeff Smisek, United's President and CEO.
The latest order solidifies United's order book with 272 new aircraft deliveries anticipated through 2022, including 50 Boeing 787 Dreamliners and 25 Airbus A350XWBs.
United will be the first North American carrier to take delivery of the 787 Dreamliner, with the first delivery scheduled in late September.
United shares are currently trading at $24.30, down 49 cents or 1.98%, while Boeing shares are currently trading at $71.54, up 2 cents.
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