United Airlines says the total cash outlay for its combined order it placed today with Boeing and Airbus will be $60 million during the next three years.

The carrier has divided its widebody order evenly between the A350-900 and the 787, ordering 25 of each type. Deliveries are scheduled to begin in 2016 and continue through 2019.

"We have also secured deferral rights that provide us with further financial flexibility," the carrier says. "We have also secured considerable backstop financing from both manufacturers, which will protect us in the event of tight credit markets as the new aircraft are delivered."

Describing the rationale for placing orders with both rival manufacturers United says that neither airframer offers next-generation aircraft sized to optimally serve its current and future markets.

United says the mix of A350s and 787s offer the right range of aircraft sizes needed to replace its 747s and 767s. The A350s have 11% more range than the carrier's current Boeing 747s, while Boeing 787s have roughly 32% greater range than 767s.

The new aircraft also allow United to downgauge its widebody fleet, reducing average seat count for the 50 aircraft by 19%, and resulting in a system-wide international fleet count reduction of 10%.

"This reduction is largely the result of the retirement of our Boeing 747 aircraft," the carrier says.

Only one engine is available for the A350, the Rolls-Royce Trent XWB, while GE offers the GEnx and Rolls-Royce supplies the Trent 1000 for the 787. United has not indicated an engine selection for its 787s.

Today's order was the first United has placed in more than ten years

Exactly. Scope needs to be recovered. Without mainline positions there is no career in this industry. Working at a regional is a job with limited potential and poor security.

Unless being a "Professional Pilot" can be a career with reasonable expectations to support a family and quality of life the sacrifices we make are not worth it. While I do enjoy flying I am not willing to prostitute myself just to have a job I love. I would rather have a job that sucks and pays well with good benefits and quality of life for me and my family when I am off.

I really would like to know where all the people who were critisizing United for not having any new aircraft on order. They kept saying it was a sign that UAL had no interest in the future. As it turns out, looks like United waited until the best time to buy, and I guarantee you United wound up with both a lower price and much better provisions (deferral rights, credit, etc...) than any other US airline that ordered a year or two ago.


At least Tilton has done something right.

And that is why the stock has moved up the way it has.....

They have not made a single purchase order. All those 787s and A350s are just letters of intent to purchase. Basically a rough draft but no money has been put down. When United puts their money where their mouth is, then we can talk.

Actually, UAL selected the Rolls Royce Trent for their B787's a while back. NWA also selected the Rolls engine for their B787's and that was part of a VF deal. I'm wondering if this is a similar deal.

UAL has been doing a lot of business with Rolls in recent years.


Al

don't relax scope anymore....please I beg of you

SkyWest just loaned UAL $80 million with a credit line up to $300 million. That is a good start.

Why would they "loan" money to such a poor credit risk?

Extorted is more like it. Glen thanks ya.

Now back to the original thread; lets get these 190s and sh!tcan the RJs! The outsourcing has to stop and our furloughed pilots need to return. I'm glad we're seeing more support in the rank and file too.

Oh, and you have a Merry Christmas.

Merry Christmas!

furloughed 09/08. Have not given up on alcohol and violence....:)