SkyEurope Airlines, Central Europe`s first low-cost low-fare airline, placed an order for up to 32 new Boeing 737-700 series aircraft…
SkyEurope Airlines, Central Europe`s first low-cost low-fare airline, placed an order for up to 32 new Boeing 737-700 series aircraft. The agreements signed with Boeing and GE Commercial Aviation Services (GECAS) include 16 firm orders for aircraft to be delivered in 2006 and 2007, and 16 purchase rights for aircraft to be delivered in 2008 and 2009. Out of the 16 firm orders, 12 aircraft will be financed by GECAS.
The total new airplane order is valued at US$ 880 million at list prices, and at US$ 1.76 billion if the purchase rights are exercised. SkyEurope, Boeing and GECAS have already executed the final documentation of the agreements.
Out of the 16 firm orders, 12 aircraft will be leased from GECAS operations based in Shannon, Ireland, of which six of the aircraft come from the existing GECAS order book. GECAS ordered six additional Boeing 737-700 aircraft for lease to SkyEurope.
After an intensive competition and detailed analysis, an attractive proposal from Boeing and our own experience operating the 737, we concluded the Next-Generation 737 is the best airplane to take us along our demanding growth plan, said Christian Mandl, SkyEurope CEO and co-founder.
Alain Skowronek, SkyEurope chairman and co-founder, added: Our order of up to 32 new Boeing 737 aircraft will reinforce the predictability of our fast growing business, both in term of aircraft pricing and aircraft availability. SkyEurope will benefit from the efficiencies of the Next- Generation 737, in particular its lower fuel burn, lower maintenance costs but also high reliability allowing for increased asset utilization.
SkyEurope, Boeing and GECAS celebrated the order at an event in Bratislava: With its acute business sense, proven business model and steady focus on affordable airfares, SkyEurope is very well positioned, said Marlin Dailey, vice president of sales for Europe and Central Asia at Boeing Commercial Airplanes. The 737 will be a moneymaker for SkyEurope. added Scott Carson, vice president, Sales at Boeing Commercial Airplanes.
Boeing forecasts that Central European countries will require about 570 new airplanes worth about $30.6 billion during the next 20 years. Single-aisle airplanes in the 100- to 150-seat market, such as the 737, will account for 72 percent. Nine percent will be twin-aisle airplanes such as the Boeing 777 and 787, with the remainder being regional jets.
We are thrilled to expand our relationship with SkyEurope by leasing next-generation Boeing 737s to a low-cost carrier in the fast growing Central European region, said Declan Hartnett, senior vice president and region manager, Europe for GECAS.
The Boeing Company and GE Commercial Aviation Services (GECAS), in a common announcement, revealed a definitive agreement for the purchase of six Boeing Next-Generation 737-700s valued at approximately $330 million at list prices. GECAS will lease the six new airplanes, along with six previously ordered 737-700s, to Sky Europe, a Central European low-cost low-fare airline, based in Bratislava, Slovakia . Sky Europe currently operates Boeing 737-500s. Deliveries of the new airplanes will begin in 2006 and extend through 2007.
The global popularity of the Next-Generation 737 family is an important attribute for leasing companies, said John Feren, vice president of Leasing & Asset Management for Boeing Commercial Airplanes. The 737 retains its value well and is the most reliable and economical airplane in its class, with excellent passenger comfort.
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