The Boeing Company and Jeju Air disclosed Tuesday an order for three Next-Generation 737-800s. Shares drifted slightly higher intraday.
The order, valued at nearly $300 million, will become the airline’s first direct-purchased airplanes from Boeing and fuel the airline’s continued expansion within Asia’s rapidly growing air travel market.
“This acquisition is a major step in our growth strategy,” said Ken Choi, the CEO of Jeju Air. The carrier currently operates an all-Boeing fleet of 26 Next-Generation 737-800s.
Jeju Air, based in South Korea was established as Korea’s first low-cost carrier in 2005 and launched operations in 2006. The carrier currently serves 40 domestic and international routes with approximately 150 daily flights. Shares of Boeing traded near the top end of their 52-week price range of $102.10 – $160.07.