EVERETT — British Airways announced a long-anticipated order Thursday, splitting an $8.2 billion deal between Boeing Co. and Airbus.
The carrier put in a request for two dozen Boeing 787 Dreamliners and 12 Airbus A380 jets. While British Airways’ order for 787s only reaffirms the success of Boeing’s Dreamliner, the airline passed over Boeing’s 747 jumbo jet in favor of the larger Airbus A380.
“This is an exciting day for British Airways with our largest fleet order since 1998,” said Willie Walsh, the carrier’s chief executive. “It’s great news for our business, our customers and the environment.”
British Airways will replace 20 Boeing 747-400s and 14 Boeing 767s with its new planes. The A380s and 787s will contribute to British Airways’ target of improving its fleet’s fuel efficiency by 25 percent over 20 years, Walsh said.
The airline operates a fleet of all-Boeing jets, leading some to believe British Airways might pick Boeing’s latest version of its jumbo jet, the 747-8 Intercontinental over Airbus’ A380. British Airways instead opted for the larger A380, which seats 525 passengers.
“British Airways’ decision is another breakthrough for our flagship Airbus A380,” said Tom Enders, Airbus’ chief executive, in a press statement.
Industry analyst Paul Nisbet, with JSA Research, pointed out that Airbus still has won only roughly 165 orders for its superjumbo jet and hasn’t yet reached the break-even point for the program. British Airways’ A380 order is the first from a new customer in nearly two years.
Airbus hit production problems with its superjumbo jet, delaying deliveries on average by two years. But the European plane maker is set to deliver its first A380 to Singapore Airlines on Oct. 15.
British Airways followed in the footsteps of some of its international competitors in choosing a larger plane for the Europe to Asia routes, Nisbet said. The carrier said the A380 will be used to provide more capacity for the airline’s key high-density markets and to maximize use of scarce landing and departure slots at its Heathrow airport hub.
The Boeing 787 will be used to start new routes and increase frequencies in existing markets.
Boeing’s Dreamliner has more than 700 orders, though it has yet to take flight. Earlier this month, Boeing executives pushed back the first flight of the 787 by several months. The delay condenses Boeing’s already tight flight-test program.
The Chicago-based aerospace company is scheduled to deliver its first Dreamliner to Japan’s All Nippon Airways in May. That’s a full five years ahead of when Airbus will deliver its first A350 Extra Wide Body jet, the company’s answer to Boeing’s Dreamliner.
That may be part of the reason British Airways opted for the 787 rather than Airbus’ A350, Nisbet said.
“I think they figure this is a darn good airplane,” he said of the 787.
And many airlines still have doubts about Airbus and its A350 XWB.
Airbus has redesigned the A350 several times and recently announced that the plane would feature an all-composite-material fuselage, a switch from the carbon-fiber composite panels the plane maker had advertised the A350 XWB as having.
The latest change in the A350 is a “symptom of the unsettledness” of the jet’s design, Nisbet said.
But British Airways isn’t ruling out an A350 buy for a later purchase when it replaces its remaining 747-400 jets. The carrier said it will consider the A350 XWB, along with Boeing’s 777-300 Extended Range jet and its 787-10, a larger version of the Dreamliner that Boeing has not officially launched.
British Airways will equip all of its planes ordered Thursday with Rolls-Royce engines. It additionally placed options for 18 more Boeing planes and seven A380s.
Boeing stock increased $1.01 Thursday to close at $105.46.
The Associated Press contributed to this report.
Reporter Michelle Dunlop: 425-339-3454 or mdunlop@heraldnet.com.
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