Turkish Airlines had placed an order more than a hundred upgraded single-aisle planes from the two largest manufacturers, Boeing Co (NYSE:BA) of Chicago, United States, and the Airbus Group (EPA:AIR)that is based out of the Netherlands. These planes were scheduled to be delivered between 2018 and 2020.
However, it is now learned that Turkish Airlines has now requested a delay in deliveries of these planes. A release regarding this was issued last Friday. Analysts are saying that this request is related to the recent turbulence in the travel market, following the terror attacks across Europe and Istanbul. Airline travel has dropped after these attacks, as passengers have become wary about when the next incident might happen.
The Ordered Models
Turkey’s official airline business had placed an order for 65 Boeing 737 Max 8 planes, and also 10 of the Max 8 models of Boeing. These are all narrow-body jets from Boeing (NYSE:BA). The orders also included 92 Airbus A321neo planes. However, there was no statement on whether delivery of the entire fleet has been postponed. The company also did not elaborate on the models that have been deferred.
The Istanbul-based airline company just said they were shifting to smaller planes, and reducing flight frequencies because of “demand challenges”. Turkish Airlines had recently posted a loss of $215 million or 656 million liras for the second quarter of this financial year. There are fears that the company may not be able to honor these receipts in the short to mid-term if their financial performance does not improve substantially.
However, it was also learned that Turkish Airlines has raised the number of workforce jets to 30 it plans to receive in 2022. Previously, the company had placed an order for just 6 of these planes.
Boeing Wins a Big Deal Elsewhere
Turkey’s loss is Qatar’s gain.
Meanwhile, in a separate development, Qatar Airways has placed an order worth $18.6 billion with the Boeing Co. This is among the largest commercial airline deals of the year. Qatar has agreed to receive 100, 737 Max and other jetliners from the company. The first of these aircrafts have already been delivered.
Based out of Doha, Qatar Airways has placed an order of 60, 737 Max 8 jet, and 40, 777 and 787 Dreamliner twin-aisle aircrafts. This would be the first narrow-body crafts Turkey will receive from Boeing since 1979. The Chief Executive of Qatar Airways, Al Baker, revealed this on Friday.