Delta Announces Long-Term Order with Boeing

Boeing Commercial Airplane Group today confirmed that Delta Air Lines intends to order 106 Boeing jetliners as part of a "flexible and disciplined" airplane fleet acquisition plan spanning the next two decades.

Delta placed orders for 10 of the popular Boeing 767-300ER (extended range) airplanes and five of the efficient 757-200 twinjets. In addition, the airline placed 70 orders for the Next-Generation 737 family of jetliners and 21 orders for the 767-400ERX. The total order is valued at about $6.7 billion. This does not include the value of options and "rolling options" Delta also has placed.

"We are delighted that Delta chose Boeing for its future fleet," said Ron Woodard, president of Boeing Commercial Airplane Group. "We are looking forward to continuing to strengthen our 30-year relationship well into the next century."

In ordering the 767-400ERX, a stretch version of the 767-300ER, Delta becomes the first customer for the newest member of the 767 family. "Boeing is proud that this order will 'kick-off' the program," said Woodard, adding that a review is expected at the next Boeing board of directors meeting to formalize a launch of the program.

Deliveries of Delta's airplanes are scheduled to begin with a Boeing 757 as soon as April 1998. Delta's first Next-Generation 737 delivery is targeted for August 1998. The first 767-400ERX is scheduled to be delivered in mid-2000. Deliveries of all the airplanes ordered today will extend through the year 2006. If all options and rolling options are exercised, deliveries would extend to 2018.

"This flexible and disciplined fleet acquisition plan gives us the right aircraft at the right time at the right price to build on Delta's competitive advantages as we put our global strategy in place," said Ronald W. Allen, Delta chairman, president and chief executive officer.

Since Boeing announced the launch of the latest members of the Boeing 737 family -- the 737-600/-700/-800 models -- they have outsold all others in their market segment. Today's order brings the Next-Generation 737 total to 605 airplanes.

The Boeing 757-200 is a twin-engine, medium-to-long-range jetliner incorporating advanced technology for exceptional fuel efficiency, low noise levels, increased passenger comfort and top operating performance. Delta holds the distinction of taking delivery of the 500th Boeing 757 in 1992.

The twin-aisle Boeing 767-300ER provides airlines with a profitable, comfortable airliner sized between the standard-body Boeing 757 and the larger Boeing 777. The 767-400ERX will allow airlines to serve the medium-size market, with seating for 200 to 400 passengers on transcontinental routes. Its performance, excellent operating economics and family ties to the 757/767 fleet give operators a strategic advantage in this complex, but growing market. The 767-400ERX is expected to replace older tri-engined airplanes and accommodate growth in markets requiring less capacity than the 777-200.