Boeing, JAL Group and Mitsubishi Corporation Confirm Order for Seven 767-300ERs

Boeing, JAL Group and Mitsubishi Corporation today confirmed they have finalized an agreement for the acquisition of seven new Boeing 767-300ER airplanes, which is a follow-on order to increase JAL Group's 767 fleet to 40 by 2006.

The airplanes will be operated through an operating lease arrangement with Mitsubishi Corporation.

The order is valued at approximately $850 million at list prices. Boeing has carried the order on its Web site as an unidentified customer since booking it in June.

With this order, air carriers in Japan account for 34 percent of Boeing Commercial Airplanes' 2003 orders.

JAL Group will receive its first new 767 during 2004. Deliveries will continue through 2006. The carrier will use the two-class, 237-seat airplanes on domestic and regional networks.

"Boeing has enjoyed a long and mutually beneficial relationship with JAL Group, both in good times and in difficult times," said Boeing Commercial Airplanes Senior Vice President of Sales, Larry Dickenson. "Its selection of additional 767-300ERs demonstrates the airline's dedication to its passengers and commitment to excellence. We are proud to be JAL Group's partner in the past, present, and well into the future."

Based on JAL's medium term business plan for the period FY2003 through FY2005 the company is replacing aircraft and is reducing the number of different types from 16 to 11 by around the end of FY2006. Among the medium sized aircraft models the plan is to reduce from the present six types to three.

The six medium size types now in service include: A300, A300-600R, B767, DC-10, MD-11 and B777. The three types to be retained are A300-600R, B767 and B777.

Although the impacts of the Iraq war followed by the SARS outbreaks have had a serious negative effect on international passenger demand in the short term, the JAL Group said it believes that business will recover and resume growth in the medium to longer term.

Company fleet planners decided that the B767-300ER would be suitable replacements for DC-10 aircraft that are due to retire by 2006.

JAL already operates the B767-300ER, having introduced the first aircraft of the type to the fleet in June 2002. It has taken delivery of six to date and with today's announcement the airline has a total of nine deliveries outstanding by mid 2006, which will bring the total JAL 767 fleet (all types) to 40 aircraft. 

JAL uses the 767-300ER on short to medium haul routes at present although the eco-friendly 767-300ER is well-suited to perform long range operations at low operating cost.

General Electric CF6-80C2 high-bypass turbofan engines will power the new airplanes.