Low-cost airline Ryanair has ended talks with plane maker Boeing over an order for a new Max 10 plane after months of negotiations. The two could not agree on the price.
“Both sides agreed not to waste any more time in these negotiations,” Ryanair said in a statement. The budget airline and aircraft manufacturer sat around the table for ten months.
Michael O’Leary, CEO of Ryanair, said the airline “did not go along with Boeing’s optimistic price forecast”. O’Leary also noted that other major Boeing customers, such as Delta Air Lines, have recently placed orders with rival Airbus, possibly due to Boeing’s higher prices.
O’Leary is known for playing the bargaining game hard and says in the statement “not to pay high prices to the boxes” for years. The CEO said last week that a new deal this year wasn’t straightforward, but he’s also ready to order up to 250 new Boeing planes if the aircraft manufacturer cuts prices.
Boeing previously offered deep discounts to dispose of its 737 Max aircraft, after it was forced to shut down for a longer period due to technical defects and collisions with fatalities. This year, the company again won a number of large orders from major customers, such as United Airlines. Therefore, the aircraft manufacturer will be less inclined to accept lower prices.
Ryanair already had an order pending with Boeing for the 210737-8200, with deliveries scheduled in the next five years. Then the airline has more than 600 aircraft. The Max-10 can carry more passengers, but according to Ryanair, the carrying capacity will remain at the same level.
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