Boeing is chosen by Air New Zealand for wide-body jet order
Boeing Co has won a difficult bid to sell wide-body planes to Air New Zealand Ltd, overcoming competition from Europe’s Airbus.
The airline, which runs wide-body aircraft on long-haul routes and single-aisle Airbus aircraft on shorter routes has bought new wide-body jets to substitute eight Boeing 777-200ER planes.
To open up longer routes as Auckland-New York and Auckland-Brazil, the carrier has said it is investigating Airbus A350 and Boeing 777X and 787 designs.
Jeff McDowall, director of Air New Zealand Finance, stated in an analyst’s briefing in March that a decision on the purchase of aircraft should be made within the next few months but that the airline would need fewer replacement jets than was initially expected in 2023 as a result of network changes.
As part of a company assessment, the airlines started in March a two-year price decrease program and delayed airplane investment expenditure of about NZ$750 million (US$ 490.1 million).
In February, it reduced national fares by up to 50% in reaction to the slackening transport industry, shaking its pricing system.