Ryanair to End Boeing Feud With $18B Order

by Christopher Freeburn | March 12, 2013 9:56 am

Ryanair to End Boeing Feud With $18B Order

boeing plane 630 flickr 300x200 Ryanair to End Boeing Feud With $18B Order [1]Just in time for St. Patrick’s Day, Boeing (NYSE:BA[2]) is about to get a huge order from Ireland’s discount airline[3].

Ryanair (NASDAQ:RYAAY[4]) will order 200 air planes from the aerospace giant in a deal with $18 billion dollars. The agreement will be officially announced at a White House meeting between President Barack Obama and Enda Kenny, Ireland’s prime minister, next week, the Irish Independent says.

The new order would signal that Boeing and Ryanair have resolved a dispute dating back to 2009 which led to the airline cancelling a large order with the airplane-maker.

New planes will help Ryanair increase its annual passenger traffic from a current 80 million fliers to as many as 120 million. The carrier already operates 305 Boeing planes.

Last summer, Ryanair made a $883 million bid to buy Aer Lingus (PINK:AELGF[5]), its second effort to purchase the rival airline since 2006[6].

Shares of Boeing and Ryanair rose fractionally in Tuesday morning trading.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2011/06/boeing_plane_630_flickr.jpg
  2. BA: http://studio-5.financialcontent.com/investplace/quote?Symbol=BA
  3. to get a huge order from Ireland’s discount airline: http://www.independent.ie/irish-news/ryanairs-st-patricks-day-14bn-boeing-deal-29123292.html
  4. RYAAY: http://studio-5.financialcontent.com/investplace/quote?Symbol=RYAAY
  5. AELGF: http://studio-5.financialcontent.com/investplace/quote?Symbol=AELGF
  6. its second effort to purchase the rival airline since 2006: http://investorplace.com/2012/06/ryanair-makes-second-bid-for-aer-lingus/

Source URL: http://investorplace.com/2013/03/ryanair-to-end-boeing-feud-with-18b-order/
Short URL: http://invstplc.com/1fr77Jh