CEO Michael O'Leary really loves those Boeing 737's

CEO Michael O'Leary really loves those Boeing 737's

Ryanair has announced they are breaking off negotiations with Boeing over purchasing 200 737-800’s. In early November I talked about how Ryanair was threatening to stop growth from not being able to reach an agreement with Boeing. The CEO of Ryanair, Michael O’Leary said the airline did come to an agreement, but Boeing is “unwilling to incorporate some other terms and conditions from our existing agreement into this new aircraft order,” O’Leary says. Of course O’Leary won’t elaborate what those details were.

Is this a real threat? I don’t think so. First off Ryanair already has a fleet of over 200 Boeing 737-800’s and is still planning on receiving over 100 more over the next three years. There is no way they are going to add another aircraft type or convert their entire fleet to Airbus. O’Leary also said he might be willing to re-open negotiations next year. Well, next year starts in about two weeks.

Ryanair is one of the fastest growing airlines in the world and it wants to continue its growth.  Going after Aer Lingus isn’t working out so hot for them, so they need more planes. I am sure Boeing knows this and isn’t going to let Ryanair bully them around. Boeing already has 152 orders for the Boeing 737 and has delivered 336 so far this year. Yes, another 200 would surely be a good thing but it is not like Boeing needs the orders to keep the 737 rolling.

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Source: KING5

EDITOR-IN-CHIEF & FOUNDER - SEATTLE, WA. David has written, consulted, and presented on multiple topics relating to airlines and travel since 2008. He has been quoted and written for a number of news organizations, including BBC, CNN, NBC News, Bloomberg, and others. He is passionate about sharing the complexities, the benefits, and the fun stuff of the airline business. Email me:
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