New York , Aug 30: Boeing has landed approval from its board to build a version of its 737 with a redesigned engine in an effort to quickly match growing competition from rival plane maker Airbus.
Boeing said Tuesday it has received commitments for 496 airplanes with the new engines from five airlines.
The redesign was spurred by a major airplane order by American Airlines last month. The airline, operated by Dallas-based AMR Corp., said it would order at least 460 new jets, split between Boeing and Airbus. The deal ended Boeing's exclusive grip on the fleet of the country's third-largest airline.
The Chicago manufacturer, a massive company that typically plans years in advance for airplanes it will build for decades, made a lightning-fast turnaround. A growing number of orders for a competing plane made by Airbus -- capped by American's willingness to place a big order -- forced Boeing's hand.
From: http://ping.fm/Uh4Fd
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