Dallas based Southwest Airlines has announced that it will be buying 100 new Boeing 737 Max 7 airplanes and converting 80 Max 8 airplanes it already has on order to Max 7 airplanes. There had been speculation that Southwest would order the Airbus A220 because it fits into many of the missions types Southwest flies with its 737-7. Southwest’s COO Mike Van de Ven said that having more than one type of aircraft would be “a big undertaking for us.”
“This cost-effective order book with Boeing allows the Company to maintain the operational efficiencies of an all-Boeing 737 fleet to support its low-cost, point-to-point route network,” Southwest said in a statement. There was speculation that Southwest never really had any intention of buying the Airbus A220 and just used that as a ploy to get Boeing to make the airline a better deal. Southwest Airlines is an all Boeing 737 airline and Boeing’s largest customer.
The new 737 Max 7 airplanes Southwest ordered will have 150 seats compared to its current 737-7 fleet with has 143 seats. News of Southwest going with Boeing caused Boeing’s stock to rise 2.5% and Spirit AeroSystems stock ro rise 0.6%. Spirit AeroSystems makes the fuselage for Boeing.