Qatar seeks to drop Boeing 737s after making up with Airbus – Bloomberg

Qatar Airways is looking to eliminate Boeing’s (NYSE:BA) 737-10 model from its order book because the plane no longer meets its fleet requirements, Bloomberg reported Friday.

Qatar Airways, which has ordered 25 of the 737-10 model, may switch to smaller 737-8s and could hand those planes to partners such as RwandAir and Virgin Australia that already use the model, according to the report.

The carrier firmed up the deal for the 737s in mid-2022 when it was engaged in a dispute with Airbus (OTCPK:EADSF) (OTCPK:EADSY) that led to the cancellation of a purchase agreement for 50 A321 narrowbody jets.

The disagreement was later settled out of court and Airbus (OTCPK:EADSF) (OTCPK:EADSY) reinstated the order, leaving Qatar on the hook for the Boeing (BA) narrowbody planes it no longer needs.

Qatar flies mostly long-haul models like the Airbus A350 (OTCPK:EADSF) (OTCPK:EADSY) as well as Boeing’s (BA) 787 and 777 planes; as part of the switch into smaller 737 MAX jets, the company also may take more 787 aircraft from Boeing, or it could opt for the 777 freighter, the report said.