Written by Reananda Hidayat PermonoCompleted Master Degree from Curtin University, Perth, Australia.
Exploraphones.com
Scott Kirby, United Airlines CEO, is still expecting solid travel demand this holiday season; perhaps it looks like pre-recessionary behavior.
Furthermore, Kirby said this year’s travel rebound from the pandemic has continued with really strong demand.
The CEO also added that United Airlines is setting records every month on travel demand.
United Airlines ordered 100 Boeing 787 Dreamliners with the option to purchase 100 more planes.
This purchase is “the largest widebody order by a US company in commercial aviation history.”
Later, it expects to receive delivery between 2024 and 2032.
Besides, the company also considers purchasing 44 Boeing 737 Max aircraft that will be delivered between 2024 and 2026.
The big orders perhaps will lead United Airlines to hire 15,000 new employees in 2023.
Previously, United said it would end this year with 68 Dreamliners in service.
Interestingly, United Airlines stock fell 7% despite the massive Boeing deal on Wednesday.
Colin Scarola, a CFRA analyst, said the decline likely occurred due to CPI (Consumer Price Index) report that stated US air fares fell 3% from October to November.
Besides United Airlines, other airlines like Jetblue, Southwest, and Delta also saw large losses on Tuesday.
A big day for United was overshadowed by inflation data.