DOW JONES NEWSWIRES
Copa Holdings SA's (CPA) Copa Airlines unit ordered 13 more of
Boeing Co.'s (BA) next-generation 737-800 airplanes for about $1
billion, nearly doubling its original order.
The Panama-based airline said Thursday it now has 27 of the
planes on firm order from Boeing. There are also options for an
additional eight.
Although many U.S. airlines have been cutting back capacity to
align with a decline in demand, Copa and some other international
airlines have fared better because of fewer flights and less
competition to begin with.
The planes, to be outfitted with modern, 787-style interiors,
are expected to reduce fuel consumption through a combination of
airframe and engine improvements.
Boeing, which has seen its credibility damaged by several delays
in its 787 Dreamliner, said earlier this month the bulk of its
second-quarter deliveries were the 737 planes. It has maintained
production plans for the model despite cuts in other models.
Copa Airlines Chief Executive Pedro Heilbron said the 737s have
been "a major factor" in Copa's success, providing it with
operating and cost savings.
The deliveries of the 13 planes are scheduled to start in
2012.
Copa's class A shares were recently down 3.8% at $39.67, while
Boeing's shares were up 0.8% at $41.69.
- By Kerry Grace Benn, Dow Jones Newswires; 212-416-2353;
kerry.benn@dowjones.com