On July 18th, 2022 DELTA Airlines and The BOEING COMPANY jointly announced a firm order for one hundred (100) units of the latest and largest BOEING 737, the BOEING 737 MAX 10. Moreover, the sales contract includes a clause option for up to an additional thirty (30) units.
DELTA Airlines, in their announcement, explain their primary justification for the value proposition of this purchase contract is the BOEING 737 MAX 10 yields a twenty to thirty percent increase (20 – 30%) in fuel efficiency during typical operation, compared to current models used. Ultimately, the Return On Investment (R.O.I.) is a confidently expected decreased long-term operational costs, without sacrificing quantity, while also simultaneously increasing customer satisfaction.
The BOEING 737 MAX 10 (737-10) currently does not have the mandatory United States Federal Aviation Administration (F.A.A.) Airworthiness Certification. The aircraft is currently under review by the F.A.A. If the F.A.A. does not certify the BOEING 737 MAX 10 by the end of this year (December 31, 2022), The Boeing Company must make substantial and costly redesign modifications to the general flight safety and alerting systems. The current and older systems designed into the BOEING 737 MAX 10 will not be protected by grandfathering the current regulatory standards any further beyond December 31st, 2022. Naturally, Legally, and Obviously, these required safety systems must be compliant with current regulations at the time the BOEING 737 MAX 10 is granted and awarded its F.A.A. Airworthiness Certification, or by December 31st, 2022.
The DELTA Airlines announcement goes on:
“Delta Air Lines will add the state-of-the-art Boeing 737 MAX aircraft to its fleet, as the airline continues to refresh its fleet to elevate the in-flight customer experience while improving fuel efficiency.
Delta is ordering the largest model in the MAX family, the 737-10, which will begin delivery in 2025. It will be powered by the next-generation LEAP-1B engines manufactured by CFM International, a company jointly owned by GE and Safran Aircraft Engines. The aircraft will be 20%-30% more fuel efficient than the retiring Delta planes it will replace, making the agreement an important step in Delta’s journey toward a sustainable future for aviation.
The Boeing 737-10 will be an important addition to Delta’s fleet as we shape a more sustainable future for air travel, with an elevated customer experience, improved fuel efficiency and best-in-class performance,” said Ed Bastian, Delta’s chief executive officer. “These new aircraft provide superior operating economics and network flexibility, and the agreement reflects our prudent approach to deploying our capital.”