PARIS ¨C Boeing¡¯s grounded 737 Max jet received a boost on Tuesday after British Airways-owner IAG signed a letter of intent to order 200 of the planes and said it was confident that it would return to service in the coming months.
Boeing said the deal had a value of more than $24 billion at list prices.
IAG said the mix of 737-8 and 737-10 aircraft, to be delivered between 2023 and 2027, would be powered by CFM Leap engines and used across a number of its airlines including British Airways, Vueling and Level.
The 737 Max was grounded in March following two deadly crashes, and Boeing has been working on a software fix to get the jet back flying by the end of the year.
IAG Chief Executive Willie Walsh said he had experienced Boeing¡¯s MCAS anti-stall software in person, adding it was ¡°very helpful to see it in operation¡± and to ¡°understand the changes¡± that Boeing was proposing.
¡°It gave me confidence both in terms of the aircraft and the changes that Boeing introduced,¡± he said at the announcement of the deal at the Paris Airshow.
¡°I am confident in Boeing.¡±
Boeing shares rose 2 percent on the announcement. The company is working towards a certification flight with regulators soon.
Boeing commercial airplanes boss Kevin McAllister said the decision of when the Max flies again was in the hands of the regulators.
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