Etihad orders more Boeing Dreamliners

Abu Dhabi-based Etihad Airways announced this week that it is buying 10 more Boeing 787-9 Dreamliners, making it the largest customer for that version of the much-delayed carbon fibre jet. The deal is seen as allowing Etihad to open up more nonstop routes given the 787-9's extensive range capability. In addition to the ten 787-9s, the airline also ordered another two Boeing 777 Freighters for its Etihad Crystal Cargo operation. The 12 additional aircraft are valued at $2.8bn at current list prices. Etihad is now slated to take delivery of 41 Dreamliners, with options for 25 more. Boeing says the carbon composite airplane is more comfortable for passengers and 20% more fuel-efficient than similar aircraft. The Dreamliner currently comes in two models — the 787-8 and the longer 787-9. The airline has said that it will receive its first 787-9 in late 2014, with the final aircraft being delivered by 2019. The Dreamliner made its first commercial flight from Tokyo to Hong Kong on October 26 following several years of delays due to manufacturing issues. The aircraft was on display for the first time in the Middle East at the Dubai Air Show last month. Optimistic forecast despite delayed delivery "Our decision to expand our Dreamliner fleet is testimony to Etihad's commitment to operating one of the youngest and most fuel efficient fleets in the skies," said Etihad CEO James Hogan. "It also reflects our confidence in the 787's ability to have a significant impact on our operating efficiencies and the passenger experience we can offer onboard this revolutionary aircraft." Saj Ahmad, Chief Analyst at StrategicAero Research.com, said the order sheds light on the carrier's expansion strategy. "Etihad's order for more 787-9's shows it not only has confidence in Boeing's up and coming stretched variant of the Dreamliner, but it also shows that the type will form the backbone of its long haul fleet, delivering the best economics and lowest fuel burn of any airplane in that size category while allowing Etihad to open up more nonstop routes given the 787-9's huge range capability," he told AMEInfo.com. "But with the 787-9 still under development and not due to enter service until 2014, Etihad has a long wait and therefore it's clear that they are not being as aggressive in their expansion," he added. Etihad said in October that it was on pace to break even this year and reported that its third-quarter revenues rose to $1.1bn compared with $785m in the same period last year. Etihad did not place any orders for aircraft at the recent Dubai Airshow, which was dominated by its Gulf rivals Emirates Airline and Qatar Airways. Emirates ordered 50 Boeing 777s, marking the US aircraft maker's biggest-ever single order in dollar terms. Emirates has an option to buy another 20 777s as part of the order. For its part, Qatar Airways pledged to buy at least 55 Airbus jets, which includes 50 A320neo narrow bodies and five A380 double-decker jumbos with options for more. Boeing estimates that the Middle East's fleet of passenger aircraft will grow from a current fleet of 1040 aircraft to a projected 2710 aircraft by 2030, an increase of 160%. About a third of the projected demand will be for airplanes to replace current aircraft, while 66% will be part of fleet expansion plans as the region's airlines gear up for significant growth.