Flyadeal, the budget airline run by Saudi Arabian Airlines, ordered 30 A320neo jets from Airbus and took options on 20 more. This means it is likely the company’s entire fleet will consist of the competing narrowbody model to Boeing’s 737 Max, according to the Associated Press.
“Boeing is proud of its seven-decade-long partnership with Saudi Arabia’s aviation industry and we wish the flyadeal team well as it builds out its operations. Our team continues to focus on safely returning the 737 Max to service and resuming deliveries of MAX airplanes,” Boeing said in an emailed statement, according to CNBC.
The move by Flyadeal reverses a December plan to buy up to 50 Boeing 737 Max planes valued at $5.9 billion, based on list prices, reports CBS News. This also could be a potentially troubling sign for Boeing’s future.
While customers have not been canceling orders en masse, like rats fleeing a sinking ship, there has been a number of small airlines threatening to cancel their orders. Indonesian carrier Garuda said earlier this year it was talking to Boeing about canceling its order after Boeing delivered just one of the 50 Max 737’s they had ordered.
Oman Air and Emirati carrier flydubai both have warned earlier this year they would switch to Airbus if a fix for the 737 Max wasn’t forthcoming soon. Boeing hopes to submit a fix to regulators for review in September. That timeline would hopefully get the planes back in the air by the end of the year.