Airlines anxious to announce Boeing orders

Published 9:00 pm Monday, February 26, 2007

It seems that some airlines can’t wait to let the world know they’re buying a Boeing jet.

Over the past few months, air carriers have announced orders before all the ink is dry on their deals with Boeing — something they’re doing more frequently than in the past.

Since the beginning of December 2006, six customers — including British Airways, Air New Zealand and UPS — have gone public with their plans to buy Boeing planes only to have Boeing comment that it’s still working with the carrier to finalize the order. Just yesterday, Boeing and Brazil’s TAM put the finishing touches on an agreement the two celebrated last October.

Are deals taking longer to finalize these days because Boeing’s backlog is so beefy? Has the plane maker increased its requirements to cement a contract?

No and no, says Jim Proulx, a spokesman for Boeing.

Buying a plane is a multi-phase process — from striking an initial agreement to deciding on the specifics: engine manufacturers and delivery dates. Boeing deems the process done when it has a deposit in hand. Orders, like TAM’s, aren’t recorded and posted to Boeing’s Web site until then.

Boeing leaves it up to the customer to decide at what point to go public, and more are choosing to do it early on.

“If customers want to announce an agreement, we’re more than happy to help,” Proulx said.