Iraqi Airways to Buy 40 Boeings Worth $6 Billion

[Matt Molnar]

Dow Jones Newswires, via Marke****ch:

Iraq reportedly to buy 40 Boeing aircraft worth $6 billion (http://www.marke****ch.com/news/story/iraq-reportedly-buy-40-boeing/story.aspx?guid=%7B5C0824E5-2D9F-4528-8293-D4E819D7E11C%7D)
By Hassan Hafidh
Last update: 3:33 a.m. EST Feb. 14, 2008

AMMAN (Zawya Dow Jones) - The Iraqi Transport Ministry will soon sign a contract with Boeing Co. worth $6 billion to buy 40 aircraft in what appears to be a step to facilitate increasing traffic to and from Iraq, the official al-Sabaah newspaper reported Thursday.

"The ministry will sign in the nearest future a contract with the U.S. Boeing Co. to purchase 40 aircraft of different sizes to be added to the Iraqi Airways fleet," the paper quoted deputy transport minister, Bankin Rikani, as saying.

The national carrier will receive the new planes in 2013 and 2014, he said. Read more... (http://www.marke****ch.com/news/story/iraq-reportedly-buy-40-boeing/story.aspx?guid=%7B5C0824E5-2D9F-4528-8293-D4E819D7E11C%7D)

List price $6 billion, but they're probably getting a price somewhere around "on the house." :?

[PhilDernerJr]

Paid for by John Q. Public.

[cancidas]

Paid for by John Q. Public.

yep, our tax dollars at work.

[Ari707]

but wait till the first day the Green 787 is coming in on the 22's...

[cancidas]

but wait till the first day the Green 787 is coming in on the 22's...

you mean green 767 maybe. the new airplanes are going to be painted in some ridiculously ugly euro-white scheme...

[LGA777]

I wonder how many of these aircraft will still be airworthy or still intact by their 5th birthday ?

LGA777

[Nonstop2AUH]

Like the Pakistan deal I am sure this wasn't a 'free market' purchase, but I imagine the 'subsidized' Airbus is welcome to put in a bid too -- if the price is less than zero!

[Matt Molnar]

Update: they've also ordered 6 planes from Bombardier, and the Boeing order includes an option for up to 10 more planes.

[Nonstop2AUH]

Does anyone know if Teebah is involved in this deal? Apparently Teebah (a company based in Jordan and banned from flying to the EU) actually operates all current Iraqi Airways flights.

[Mateo]

We win!

[Nonstop2AUH]

Guess there were no hard feelings about Canada passing on the Iraq thing...

[Matt Molnar]

Better Canada than the French and Germans! :)

As for Teebah, from what I can tell they operate the 727 and 737 for commercial flights, and the government operates an A300 and a DC-10 for its own purposes. The stories I've read about the purchase say the Transportation Ministry is buying the planes and don't mention Teebah...but who knows.

[Matt Molnar]

Interesting twist: Kuwait Airways is threatening to impound several of these new aircraft as compensation for four of their aircraft being destroyed during the Gulf War in 1991. Iraqi forces seized 10 Kuwait Airways aircraft and flew them back to Iraq during their invasion of Kuwait. While six of the aircraft were later reclaimed, two 767s and two A310s were subsequently blown up by US forces during the war. The Kuwaitis place the value of the debt at $1 billion.

“Kuwait Airways welcomes and will support a new, independent Iraqi Airways. However, Iraqi Airways must recognise its debts and clear the decks before embarking on the road to a new future. If it does not, the past will haunt it,” says an attorney representing the airline.

http://www.flightglobal.com/articles/20 ... debts.html (http://www.flightglobal.com/articles/2008/02/27/221868/new-iraqi-fleet-risks-seizure-to-pay-kuwait-airways-war-debts.html)