El Al Israel to Purchase Up to 12 Boeing 787s for $1.5 Billion

• El Al is purchasing six more 787-9s and adding options for another six aircraft, with some orders being upgraded to larger 787-10 models
• The carrier's 787 fleet is expected to expand from 17 aircraft currently to 28 by end of decade, potentially reaching 34 total
• The expansion follows El Al's original 2016 deal with Boeing valued at $1.25 billion for 15 aircraft with options for 13 additional planes

Summary: El Al Israel to Purchase Up to 12 Boeing 787s for $1.5 Billion

Key Transaction Details:

El Al Israel Airlines announced on April 16 that it is exercising its option to purchase six additional Boeing 787-9 Dreamliner aircraft while securing options for up to six more 787s. Some existing orders will be upgraded to the larger 787-10 variant. The deal is part of the carrier's long-term strategy to increase capacity and improve profitability.

Fleet Expansion:

• Current 787 fleet: 17 aircraft
• Expected fleet by end of decade: 28 aircraft
• Potential maximum fleet: 34 aircraft

Historical Context:

In 2016, El Al signed a $1.25 billion agreement with Boeing for an initial order of 15 787 aircraft with options for 13 additional planes. The airline received its first Dreamliner delivery in August 2017.

Companies Involved:

• El Al Israel Airlines (Israel's flag carrier)
• Boeing (aircraft manufacturer)

Market Implications:

This expansion signals El Al's commitment to strengthening its position as a significant player in the international aviation market. The move toward a larger, more modern fleet of fuel-efficient 787 Dreamliners suggests the airline is positioning itself for long-term growth and enhanced competitiveness in global markets. The upgrade to 787-10 models indicates demand for higher-capacity aircraft on key routes.

The order reinforces Boeing's ongoing relationship with El Al and demonstrates continued confidence in the Dreamliner platform despite past challenges with the aircraft program.