Boeing

Luxair, the national airline of the Grand Duchy of Luxembourg, has signed an agreement with Boeing [NYSE: BA] to purchase two 737-700 jetliners, with an option to buy two additional aircraft.

The two 737-700s, which will be equipped with winglets, will be the first Next-Generation 737s for Luxair and the first to be operated out of Luxembourg. Luxair currently flies two 737-400s and three 737-500s.

The carrier, which began service in 1962, currently employs about 2,200 people and offers scheduled business flights between Luxembourg and major European cities. It also offers chartered holiday flights to the Mediterranean, Canary Islands, Madeira and North Africa for its own tour operators, Luxair Tours and Happy Summer.

"The 737-700s are the perfect evolutionary step for our fleet," said Christian Heinzmann, Luxair president and chief executive officer. "We are very pleased with added maintenance, fuel, range and environmental advantages that the 737-700 will deliver to Luxair. These aircraft will help us launch a new exterior paint scheme and an all-new interior, including a new audio-visual system for our longer-range flights that will be revealed in the very near future."

The 737-700s have 15-percent lower maintenance costs than competing single-aisle airplanes and can fly 2,000 feet (609 meters) higher, a factor that improves fuel efficiency.

"With their premium performance, added winglets and quiet engines, Boeing 737-700s have a reputation for being environmentally responsible," said Marlin Dailey, vice president of European Sales, Boeing Commercial Airplanes.

The 737-700 winglets, which curve out and up from the wingtips, boost the airplane's performance, allowing the airplane to fly up to 115 nautical miles (212 kilometers) farther than it otherwise would.

Winglets on a 737-700 can reduce fuel burn by up to 3.5 percent on flights longer than 1,500 nautical miles (2,778 kilometers), which make the aircraft more ecologically sensitive. They also reduce noise on takeoff and allow the airplanes to climb faster.

The 737-700 is powered by new CFM56-7 engines produced by CFMI, a joint venture of Snecma of France and General Electric of the United States. The engines meet community noise restrictions well below Stage 3 limits and below anticipated Stage 4 limits.

With an all-new wing and updated liquid-crystal displays in the flight deck, the 737-700 has the most-advanced design technology in the single-aisle jetliner market. The airplane also has a passenger cabin modeled after the spacious interior of the award-winning Boeing 777.