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Southwest's retirement plan

16 December 2011

The low-cost carrier has talked to Boeing about retiring its fleet of 88 Boeing 717s early.

Read more: Boeing Southwest Airlines 717 737-800 737Max 737 Classic

Southwest announced an order for 208 Boeing narrowbodies earlier this week. The order is a key endorsement for Boeing.

However, the manufacturer may have to trade an important new order for the early return of 717s it has on lease to Southwest.

The airline operates 186 737 Classics, 161 737-300s and 25 737-500s, and 88 717s which will be replaced with more fuel efficient 737NG and 737Max aircraft.

The 88 717s are operated by AirTran, the airline which Southwest acquired...


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“At the current pricing it will become attractive again to issue Ex-Im-guaranteed bonds. This will help stabilize and drive pricing down from where it is now.”

Kostya Zolotusky, managing director, capital markets, Boeing Capital, says about the price of export credit.


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