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American Airlines to buy more 737 MAX jets, defers Dreamliner delivery -Breaking

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© Reuters. FILE PHOTO A Boeing 737 MAX 8 is seen outside the hangar as part of a media tour at Renton’s Boeing 737 MAX plant, Washington on December 8, 2015. REUTERS/Matt Mills McKnight

(Reuters) -American Airlines Group Inc announced Wednesday that it had agreed to purchase an additional 23 737 MAX 8 aircraft (NYSE:) Co. It did this by using existing purchase options, and deferring delivery of some 787-9 Dreamliner aircraft.

This airline is boosting its 737 MAX fleet at a moment when domestic travel in America is recovering despite disruptions caused by Omicron virus.

American Airlines (NASDAQ:) said in a filing https://www.sec.gov/ix?doc=/Archives/edgar/data/4515/000000620122000018/aal-20220131.htm that it intends to convert seven more of its purchase options for the MAX this year, bringing its order of the 737 MAX 8 aircraft to 30.

Boeing’s long-haul Dreamliner 787-9 Dreamliner has been delayed by the company. It was due to arrive in January 2012.

American announced that delivery of four aircraft is now planned for 2023.

Delays in deliveries of the 787 jet has already forced https://www.reuters.com/business/aerospace-defense/american-airlines-reduce-international-flights-due-boeing-delays-wsj-2021-12-09 the Texas-based carrier to scrap, reduce or defer the introduction of flights to several international routes.

Boeing already has to pay penalties against American Airlines because it delayed deliveries. It said that in its fourth quarter, $4.5Billion was owed by American Airlines due to production issues with the 787.

In a statement, the company stated that it would continue working with American Airlines in support of its fleet needs.

To account for aircraft additions, the airline raised its forecast of capital expenditures to $2.67 Billion from the $2.63 Billion projected previously.

Additionally, it expects to spend $2.86billion in capital next year, up from $2.71billion.

American Airlines’ shares dropped 1% after-hours, while Boeing lost 2%.

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