Boeing confirms signing jetliner deal with Iran Air

Tue Jun 21, 2016 5:04pm EDT
 
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By Alwyn Scott

NEW YORK (Reuters) - Boeing Co signed an agreement to sell jetliners to Iran Air, the company said on Tuesday, confirming Iranian statements about the historic deal to sell 100 jetliners to the airline.

The tentative agreement, which marks Boeing's first sale to Iran since its Islamic Revolution in 1979, resulted from the nuclear accord reached with the country last year.

The agreement brings more work to Boeing's factories in Washington state and South Carolina, and helps the aerospace and defense company catch up with a $27 billion, 118-plane order Iran placed with Airbus in January. [L8N15C55Y]

Boeing said in a statement that it had signed a memorandum of understanding with state carrier Iran Air "expressing the airline's intent to purchase Boeing commercial passenger airplanes."

The Chicago-based company declined to discuss the number or type of planes it would sell, or the timetable for delivery of the aircraft.

But the head of Iran's Civil Aviation Organization, Ali Abedzadeh, told the state-run daily newspaper Iran on Friday that the signed deal was for 100 Boeing aircraft.

Such an order would be worth about $11 billion at list prices if Iran Air bought only Boeing 737 single-aisle jetliners, and perhaps twice that much if it included a significant number of twin-aisle planes such as the 777 or 787 Dreamliner.

A large order was expected, but the sale raised concerns among some Congress members, who feared it could threaten U.S. national security.   Continued...

 
An IranAir Boeing 747SP aircraft is pictured before leaving Tehran's Mehrabad airport September 19, 2011. REUTERS/Morteza Nikoubazl/File photo