Key Takeaways
- American Airlines said it is buying 260 aircraft from Boeing, Embraer, and Airbus to increase its narrow-body lineup.
- The carrier is purchasing 85 Boeing, 90 Embraer, and 85 Airbus jets.
- American is also retrofitting its Airbus A319 and A320 aircraft to take advantage of rising demand for premium seats.
American Airlines (AAL) is buying 260 aircraft from Boeing, Embraer, and Airbus to increase its narrow-body lineup, with an option to add 193 more aircraft.
The airline said Monday it is getting 85 of the yet-to-be-certified and long-delayed Boeing 737 Max 10, 90 Embraer E175s, and 84 Airbus A321neos as part of its “continued investment to expand premium seats across its narrowbody and regional fleets and support the long-term strength of the airline’s domestic and short-haul international network.”
In addition, the carrier noted that it would start retrofitting its Airbus A319 and A320 aircraft in 2025 to refresh the interior in order to “serve customers’ growing demand for a premium travel experience.”
American said it anticipates about 80% of its revenue this year could come from customers who demand premium content and its loyalty program.
CFO Devon May added that into the next decade, “American will have a steady stream of new aircraft alongside a balanced level of capital investment.”
Shares of Boeing ticked 0.3% higher Monday, while Embraer jumped 4.2%, and American Airlines shares declined 5.4%.