Alaska Airlines (ALK) said Thursday it has agreed to buy 105 Boeing (BA) 737-10 aircraft and five Boeing 787 widebody jets, marking the largest aircraft order in the carrier’s history and extending its delivery pipeline through 2035. The deal also includes options for 35 additional 737-10s over the same period.
Boeing’s (BA) stock advanced 1.5% in premarket trading Wednesday, while Alaska Air Group’s (ALK) rose 2.1%.
The order deepens Alaska’s (ALK) relationship with Boeing (BA) and comes as the U.S. planemaker works to restore confidence in its manufacturing and safety processes. In January 2024, the industry was jolted when a door plug blew out midair on a Boeing (BA) 737 Max 9 operated by Alaska Airlines (ALK) shortly after takeoff, prompting a grounding of the Max 9 fleet and intense regulatory scrutiny.
“This fleet investment builds on the strong foundation Alaska has created to support steady, scalable and sustained growth,” Chief Executive Officer Ben Minicucci said in a statement. He added that the aircraft would support the airline’s “Alaska Accelerate” strategy and fuel expansion to more global destinations while keeping the fleet among the youngest and most fuel-efficient in the industry.
The agreement brings Alaska’s (ALK) total Boeing (BA) order book to 245 aircraft, in addition to the 94 Max jets it currently operates. The 737-10s will be used for a mix of growth and replacement of older narrowbody aircraft, while preserving flexibility to adjust to other 737 variants if needed.
Alaska (ALK) also exercised all previously held options for the 787, bringing its firm future widebody fleet to 17 aircraft, with five already in service. The newly ordered jets are expected to be delivered as the 787-10 variant and will underpin the airline’s long-haul ambitions from Seattle, including service to at least 12 international destinations by 2030.
With a current fleet of 413 aircraft, Alaska Air Group (ALK) said its carriers are on track to operate more than 475 aircraft by 2030 and more than 550 by 2035.
The announcement coincided with an event in Seattle celebrating the order and the debut of Alaska’s (ALK) first 787 painted in a new global livery. The design, inspired by the aurora borealis, features deep blues and emerald greens and required nearly 1,000 hours of work over 13 days to complete.
“As we transform into the country’s fourth-largest global airline, we are proud to introduce a new, global livery for the Alaska brand,” Minicucci said, calling it a reflection of the carrier’s international growth ambitions and its Pacific Northwest roots.
Alaska plans to deploy its expanding widebody fleet on routes from Seattle to Europe and Asia, including new daily service to London Heathrow and Rome in 2026, seasonal flights to Reykjavik, and existing year-round service to Tokyo Narita and Seoul Incheon.
Pilot sues Boeing over door incident
The order also comes as Boeing (BA) continues to face legal fallout from the January 2024 incident. The captain flying the Alaska Airlines 737 Max 9 that suffered the midair door-plug blowout, Brandon Fisher, sued Boeing (BA), accusing the company of initially attempting to shift blame for the failure onto the flight crew and other parties.
In a lawsuit filed in December, Fisher said investigators later determined the door plug separated because four retention bolts were missing, a conclusion reached by the National Transportation Safety Board, which placed responsibility on Boeing (BA) and its regulator, the Federal Aviation Administration.
Fisher, who safely landed Alaska Airlines Flight 1282 after the rapid depressurization, is seeking $10 million in damages for physical and emotional distress. His case is among several lawsuits filed against Boeing (BA) and fuselage supplier Spirit AeroSystems by passengers, flight attendants and crew members, all of which remain pending.