Boeing has a surplus of 737 MAX aircraft and has secretly approached Delta Air Lines to try to unload them.
Boeing Wants To Unload 737 MAX On Delta
As the 737 MAX inches toward re-certification, Boeing has a problem on its hand. Following two fatal crashes, the aircraft has been grounded for 18 months worldwide. During that time, Boeing has lost more than 400 orders. But during that time the 737 MAX has continued to be built. The result is a surplus of so-called “white tail” aircraft. These are aircraft which are painted white and awaiting a buyer to paint its own livery on it.
Per Reuters, Boeing has approached Delta to purchase 40 of these so-called “white tail” aircraft.
Why Delta?
American already has the 737 MAX. So does United. And Southwest. Delta’s the play…the only holdout among the “Big 4” U.S. airlines.
But Delta, as we have seen over the years, prefers to buy Airbus jets (while talking about the need to block foreign competition to protect American jobs…). It has purchased the Airbus A330neo, A350, and now the A220. In fact, its $14.2 billion in current aircraft commitments are almost entirely for Airbus jets.
There’s another problem. Delta has made clear it is not in the market right now for new jets. In fact, Delta CEO Ed Bastian indicated earlier this year that he hoped to delay the delivery of new aircraft for two years.
Boeing declined to comment.
Delta declined to commnet.
CONCLUSION
Delta is a shrewd operator. It could be that Boeing will offer Delta a deal that it cannot refuse. Then again, despite an older fleet than its competitors, Delta has meticulously restored and upgraded its existing fleet, further diminishing the need for new aircraft.
Perhaps Boeing would be better served trying to push an existing customer like American or United to take more jets. Then again, it is unlikely Boeing can ditch the surplus during a time in which demand for travel remains depressed and worldwide travel bans remain intact.
image: Boeing
It’s worth noting that Delta only finished taking delivery of 130x 737-900 units in 2019. So it is not like Delta dont order Boeing.
The 717’s are going eventually, but Boeing doesn’t offer anything to replace that size plane. And with more A320s and A350’s on order, and the 777’s going, what else would Delta need in these strange times?
Everyone has a price.
I hope Delta tells Boeing “thanks, but no thanks.” It’s good to know that one sure and easy way to guarantee that you won’t end up on a 737-max is simply to fly Delta.
The 777LR’s should be considered by Qantas.Delta take great care of their aircraft. Great 747 replacement.The price is right.
“Delta is a shrewd operator.” Nailed it.
Everyone has a price. Everyone. So, no matter how much you hate Boeing or hate Delta, it ultimately comes down to the price. And Boeing doesn’t have a whole lot of room to negotiate in its favor financially at the moment. The future is often full of surprises.
One reason I’ve started to fly Delta more (besides the fact that I live near Seattle) is BECAUSE they are buying Airbus jets.
I think that was the most comfortable intelligent answer in Seattle I appreciate what you had to say and I back you 110%
Airbus does not have a better safety rating than Boeing. The 737 max when recertified will be one of the most thoroughly vetted and safest airplanes in the air. I don’t always buy American, but a general statement that buying Airbus is better is foolish if not ignorant.
I will not fly on a max 8.
They should contact the USAF to replace aging C-40 and C-32 aircraft.
Anything Boeing dose/builds is full of problems. Weather is passenger aircraft, aircraft for the military or space vehicles just don’t work right. All of Boeing’s and I mean all of Boeing’s upper and most of there middle management needs to go. Also most of the upper management of the union needs to go. If this is done Boeing may make a come back from the disaster there headed for.
It was no accident that Delta chose not to buy Boeing planes year after year. As Delta has repeatedly proven on a plethora of fronts, they are completely lacking in morals. Accordingly, any attempt to entice them back to Boeing would need to include some insanely beneficial inducement. Flag waving and minor enticements won’t do the job.
I do think Boeing may be forced to hold on to vast numbers of jets until airlines’ economics improve… i.e. more passengers want to fly.
there will likely be a ‘swap’ for some or all of Delta’s -800s
This is a terribly written article full of conjecture and bias. The A220 is a Canadian airplane while the A320/321 line are partially built in Alabama. Boeing and Airbus are both global companies, neither is purely American jobs, neither is fully foreign. Having flown both, I can say Airbus is easily the better airplane for both crew and guests. While I don’t fault UA or AA for buying the cheap to purchase Boeing (which does have a great dispatch record), I don’t fault DAL for buying the Airbus as it’s a better choice for their customers and Delta has been laser-focused on comfort both on-board and in facilities for their guests giving them the edge for best domestic product.
Good or fashioned greed helped make Boeing’s own bed with the Max. If they can get ahead of the 787 issues bubbling to the top and safely release the 777x, they might be able to dig themselves out