SMBC Aviation Capital Orders 80 Boeing 737 MAXs

SMBC Aviation Capital has placed an order with Boeing for 80 737 MAX 8s, valued at more than $8.5 billion at list prices.

This is the largest single order for 737 MAXs from a leasing company and will help SMBC Aviation Capital grow its portfolio of high-demand, fuel-efficient airplanes.

With this agreement SMBC Aviation Capital becomes the 50th 737 MAX customer and grows the program's order book to more than 2,400 airplanes.

"It is 10 years since our business placed its first order with Boeing and we have enjoyed a decade of successful partnership since then," said Peter Barrett, CEO, SMBC Aviation Capital. "Following this order and given the clear commitment of our shareholders and the strength of the global aircraft leasing sector, we remain very confident in our ability to continue to deliver long-term growth."

Boeing's Current Market Outlook forecasts that airlines will need more than 25,600 single-aisle airplanes like the 737 MAX over the next 20 years.

The 737 MAX, which incorporates CFM International LEAP-1B engines, winglets and other improvements, will be 14% more fuel-efficient than Next-Generation 737s – and 20% better than the original Next-Generation 737s when they first entered service.

"This order is another example of our history of partnership with SMBC Aviation Capital and Japan," said Boeing Commercial Airplanes President and CEO Ray Conner. "Today's announcement from a top leasing company is a vote of confidence in our 737 MAX and helps SMBC Aviation Capital capture the strong demand in the single-aisle market."

SMBC Aviation Capital has 180 Boeing airplanes in its portfolio and has 95 airline customers in more than 40 countries.