S Korean budget carrier signs deal to buy five Boeing 737s
South Korean budget domestic carrier Jeju Air said Tuesday it has signed a contract with Boeing to buy five 737-800 planes for $363 million, as part of plans to expand internationally.
By Agencies |
SEOUL: South Korean budget domestic carrier Jeju Air said Tuesday it has signed a contract with Boeing to buy five 737-800 planes for $363 million, as part of plans to expand internationally.
Under the deal signed here on Monday, the US aircraft maker will deliver its 189-seat planes from 2011, said Park Mi-Young, spokeswoman for the airline based on the southern resort island.
Jeju Air also plans to lease two Boeing 737-800s in April this year and eight more by 2013, she said.
Jeju Air, which was launched in 2006, currently operates four Canada-made Bombardier Q400 turboprop planes for domestic operations only. It is one of the country's two budget domestic carriers along with Cheongju-based Hansung Airlines.
Top carrier Korean Air has announced plans for a budget unit. And Incheon city forged a joint venture with Singapore's Tiger Airways in November last year to jump into Asia's booming budget aviation market.
Discount carriers now make up 20 percent of the US and European air travel market and are expanding quickly in China and Southeast Asia.
Under the deal signed here on Monday, the US aircraft maker will deliver its 189-seat planes from 2011, said Park Mi-Young, spokeswoman for the airline based on the southern resort island.
Jeju Air also plans to lease two Boeing 737-800s in April this year and eight more by 2013, she said.
Jeju Air, which was launched in 2006, currently operates four Canada-made Bombardier Q400 turboprop planes for domestic operations only. It is one of the country's two budget domestic carriers along with Cheongju-based Hansung Airlines.
Top carrier Korean Air has announced plans for a budget unit. And Incheon city forged a joint venture with Singapore's Tiger Airways in November last year to jump into Asia's booming budget aviation market.
Discount carriers now make up 20 percent of the US and European air travel market and are expanding quickly in China and Southeast Asia.
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