Air Berlin streamlines Boeing order book; reduces B787 firm orders and options

Air Berlin stated (16-Mar-2010) it has agreed with Boeing to "streamline" its order book to account for a "change in market conditions" and in order to meet Air Berlin's "specific operative requirements". The two parties have agreed on a reduction of the number of firm orders of B787 aircraft from 25 to 15 (the ten aircraft order reduction has a current list price of approximately USD1.7 billion) and to reduce the number of optional B787 aircraft from ten to five. The agreement also provides that the delivery of nine B737 aircraft will be rescheduled to 2015. These aircraft were originally scheduled for delivery in 2010 or 2011, respectively. [more]

Air Berlin: "With a partnership spirit we have mutually agreed with Boeing to adjust the Air Berlin order book to meet Air Berlin's operational requirements and the market conditions. The agreement with Boeing demonstrates that Air Berlin believes in the future of the B787 aircraft. We look forward to the first delivery in Nov-2015. For Air Berlin, the agreement means a significant reduction of its financial obligations due to lower and much more distributed investment profile," Ulf Hüttmeyer, CFO. Source: Company Statement, 16-Mar-2010.