United Airlines orders 110 Airbus, Boeing jets in a bet on travel demand

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United Airlines orders 110 Airbus, Boeing jets in a bet on travel demand
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United Airlines on Tuesday announced an order for 110 aircraft from Boeing and Airbus for delivery beginning in 2028 as it seeks to expand its international network.

A United Airlines Airbus A319-100 jet takes off from Washington National Airport in Washington, U.S., August 9, 2017. REUTERS/Joshua Roberts/File PhotoThe Chicago-based carrier said its order is also intended to mitigate the persistent supply-chain logjam that has delayed aircraft deliveries as well as infrastructure bottlenecks that have forced it to cut its flights.

Among U.S. airlines, higher-margin international travel is the most important to United, accounting for about 39% of its passenger revenue this year - up from before the pandemic. Airbus Chief Commercial Officer Christian Scherer said the A321's fuel efficiency, smaller carbon footprint and lower maintenance and operating costs will be a "game changer" for United.Carriers have been placing orders with urgency as Boeing and Airbus backlogs have grown and as jet deliveries have been pushed out toward the end of the decade.

United aims to get around the problem by flying larger planes with more seats. It expects average seats per departure in North America to increase by 40% in 2027 from the pre-pandemic period.

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