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Malaysia Airlines' parent to lease 25 737 MAX jets from Air Lease Corp

Published 02/14/2022, 07:47 PM
Updated 02/15/2022, 03:35 AM
© Reuters. FILE PHOTO: A Boeing 737 MAX airplane lands after a test flight at Boeing Field in Seattle, Washington, U.S. June 29, 2020. REUTERS/Karen Ducey/
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SINGAPORE (Reuters) -Air Lease Corp will lease 25 Boeing (NYSE:BA) 737 MAX jets to Malaysia Airlines' parent to be delivered between early 2023 and 2026 through the lessor's orderbook with the manufacturer.

Malaysia Aviation Group (MAG) Chief Executive Izham Ismail said the deal was part of a restructuring of the terms of the airline's order book with Boeing.

"As part of the terms we were given options to swap our orderbook aircraft with leased aircraft," he said at a Singapore Airshow forum on Tuesday.

MAG had previously placed an order of its own for 25 737 MAX jets, which remains listed on Boeing's website. Boeing did not respond immediately to a request for comment.

Last year MAG said it had agreed with Boeing to take delivery of the planes from 2024.

© Reuters. FILE PHOTO: Malaysia Airlines planes parked at Kuala Lumpur International Airport during the coronavirus disease (COVID-19) outbreak in Sepang, Malaysia, October 6, 2020. REUTERS/Lim Huey Teng/File Photo

It was originally scheduled to take delivery in 2020, but the 737 MAX was grounded worldwide after two crashes, prompting several airlines and lessors to cancel orders.

MAG also has six Airbus A350-900 planes on long-term leases with Air Lease (NYSE:AL).

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