SilkAir, the regional wing of Singapore Airlines, has signed a letter of intent to purchase up to 68 new aircraft from Boeing.
The order is the largest in SilkAir’s history and remains subject to the negotiation of a final purchase agreement.
It will comprise firm orders for 54 aircraft and purchase rights for another 14. Firm orders will comprise 23 Boeing 737-800s and 31 Boeing 737 MAX 8s. SilkAir will have the flexibility to switch to other variants within the B737 product range.
The firm-ordered aircraft are valued at US$4.9 billion based on current Boeing list prices. Deliveries are due to begin in 2014 and continue to 2021, by which time the Airline’s fleet will have more than doubled in size. SilkAir currently operates 21 A319s and A320s, with three more A320s due for delivery by the end of 2013. The new aircraft will cater for both growth and fleet renewal.
SilkAir Chief Executive Marvin Tan said the size of the order reflects the Airline’s confidence in the Asia-Pacific air travel market, helping the carrier maintain annual double-digit percentage growth rates through the end of this decade and beyond. “We continue to see very strong growth within the region and these new aircraft will position SilkAir well. They will enable us to spread our wings to even more destinations and increase capacity on existing routes, contributing to the overall SIA Group network,” said Mr. Tan.
“The selection of the B737 follows detailed evaluations and extensive negotiations with both Airbus and Boeing. The order will enable us to maintain a young and modern fleet, with an aircraft that has a proven track record of strong customer appeal, excellent reliability and low operating costs.”
The B737-800 is the best-selling variant in Boeing’s popular Next Generation family of single-aisle aircraft. The B737 MAX is currently in development and will be the latest generation of the product line.
Note to Editors: Digital images of the B737-800 and the B737 MAX in SilkAir livery are available upon request.
A full-service airline, SilkAir currently flies to 41 destinations across 12 countries and is the regional wing of Singapore Airlines. Earlier this year, SilkAir was awarded the Changi Airline Awards 2012 by Changi Airport Group for being among the Top 10 Airlines by Passenger Carriage (3rd ranking). In 2011, the airline was awarded Best Regional Airline 2011 by CAPA - the Centre for Aviation. SilkAir was also ranked 2nd in the Best Regional Airline (Asia) category in the 2011 Skytrax World Airline Awards. In 2010, the airline was inducted into TTG Asia's Travel Hall of Fame following its 10th win as Best Regional Airline in the TTG Travel Awards 2009. SilkAir was also ranked among the Top 10 Airlines for Best Cabin Service Worldwide 2011, 2010 and 2009 by Hong Kong-based online travel magazine, Smart Travel Asia. For more details visit silkair.com. SilkAir is also now on Facebook. Follow us at www.facebook.com/SilkAir.