Boeing: United (UAL) finalized its order to purchase 100 firm Boeing 787 aircraft scheduled to be delivered starting with eight aircraft in 2024 (186.27)
UAL entered into a supplemental agreement to Purchase Agreement No. 04815, dated May 31, 2018 with The Boeing Company pursuant to which United finalized its order to purchase 100 firm Boeing 787 aircraft scheduled to be delivered starting with eight aircraft in 2024, with the remaining aircraft to be delivered through 2032. In addition, United was granted options to purchase up to an additional 100 Boeing 787 aircraft (the "Boeing 787 Aircraft Order"). Since approximately 120 widebody aircraft in the fleet would reach the age of 30 years by the end of the delivery period, the firm order addresses United's widebody aircraft replacement needs, including the Boeing 767 fleet and certain Boeing 777 aircraft.
United remains confident in the continued success of its international flying and, with the flexibility provided by this order, is now well positioned to grow the airline's global footprint through its premier coastal gateways and large hub cities.
Additionally, on December 12, 2022, United entered into a supplemental agreement to Purchase Agreement No. 04761, dated May 15, 2018, ("Purchase Agreement No. 04761", and together with Purchase Agreement No. 04815, the "Purchase Agreements") with Boeing, pursuant to which United exercised options to purchase 44 Boeing 737 MAX aircraft scheduled for delivery between 2024 and 2026, finalized an order for an additional 56 Boeing 737 MAX aircraft scheduled for delivery in 2027 and 2028, and increased the number of options to purchase Boeing 737 MAX aircraft by an additional 100 (the "Boeing 737 MAX Aircraft Order," and together with the Boeing 787 Aircraft Order, the "Boeing Aircraft Order"). The option exercises are consistent with the strategy contemplated in the United Next plan and the additional firm aircraft are expected to be utilized for replacement or growth consistent with overall economic growth levels dependent on the demand environment in future years.
As a result of the Boeing Aircraft Order, the Company now expects total adjusted capital expenditures to be approximately $9.0 billion in 2023 and approximately $11.0 billion in 2024.
