Alaska Airlines swaps Airbus A320s for 13 new Boeing 737 MAX jets
Alaska Airlines is marching steadily towards returning to a mostly Boeing 737 fleet with a new deal to replace Airbus A320s with 737 MAX jets.
The Seattle-based carrier will lease 13 737 MAX 9s from lessor Air Lease Corporation (ALC) in exchange for 10 A320s, Alaska said Monday. The deal brings its firm commitments for the MAX to 45 aircraft, including orders for 32 planes.
Alaska began weighing either more A321neos or 737 MAXes as a replacement for its 61 Airbus A319 and A320 jets in January. However, the onset of the coronavirus pandemic changed the equation with the carrier accelerating Airbus retirements and quietly moving towards more 737s — the mainstay of its 217-jet mainline fleet.
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Alaska says it will have 39 A320s left after the ALC deal. However, if the 10 it said it's exchanging on Monday are in addition to those it has already retired — or has slated for retirement — then a back-of-the-notebook analysis shows the airline with just 22 A320s in its fleet by the end of 2022, according to the fleet plan at the end of September.
The airline acquired the A320 fleet as part of its deal for Virgin America that closed in December 2016. Alaska has no plans to remove the 10 A321neos that it gained as part of the merger.
The A320s-for-737 MAXes deal enhances "our fleet and advance our environmental, operational and financial performance," said Alaska CEO Brad Tilden in a statement.
Related: Why Alaska Airlines can’t retire its Airbus A320s all at once
Alaska plans to take delivery of its first 737 MAX in January following the re-certification of the beleaguered jet earlier in November. The MAX was grounded for more than 20 months after two fatal crashes took the lives of 346 people.
The airline plans to begin MAX flights with passengers in March, according to its website.
The MAXes from ALC will begin arriving at the end of 2021 and continue through 2022. Alaska will sell the A320s to the lessor when the "transaction closes" and lease them back for a short period.
Reports had indicated that Alaska was in discussions with Boeing over an additional MAX order once the FAA lifted its grounding notice. These may still be pending, however; with cash for new jets limited, leasing presents a lower upfront cost to acquiring new jets.
Related: US authorities lift Boeing 737 MAX grounding, allow jets to resume flights
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Build your loyalty to Delta by applying for the carrier's mid-tier card option, the Delta SkyMiles Platinum card. The annual fee is quickly recouped by the card's travel perks, such as an application credit to Global Entry or TSA Precheck, annual companion certificate and so much more. Plus you can fast-track to elite status simply through card spend.Pros
- Earn bonus Medallion® Qualification Miles (MQMs) and an Medallion Qualifying Dollar (MQD) waiver when you hit specific spending thresholds with your card within a calendar year
- Receive a Domestic Main Cabin round-trip companion certificate each year
- Statement credit for TSA PreCheck/Global Entry fee (up to $100)
- First checked bag free
Cons
- Doesn't make sense if you don't fly Delta
- SkyMiles aren't the most valuable airline currency
- Earn 90,000 bonus miles after you spend $4,000 in purchases on your new Card in your first 6 months.
- Receive a Domestic Main Cabin round-trip companion certificate each year upon renewal of your Card. Payment of the government imposed taxes and fees of no more than $80 for roundtrip domestic flights (for itineraries with up to four flight segments) is required. Baggage charges and other restrictions apply. See terms and conditions for details.
- Enjoy your first checked bag free on Delta flights. Plus enjoy Main Cabin 1 Priority Boarding and settle into your seat sooner.
- New: Card Members get 15% off when using miles to book Award Travel on Delta flights through delta.com and the Fly Delta app. Discount not applicable to partner-operated flights or to taxes and fees.
- Earn 3X Miles on Delta purchases and purchases made directly with hotels.
- Earn 2X Miles at restaurants worldwide including takeout and delivery in the U.S., and at U.S. supermarkets.
- Earn 1X Mile on all other eligible purchases.
- Enjoy a per-visit rate of $50 per person for Card Members and up to two guests to enter the Delta Sky Club when traveling on a Delta flight.
- Fee Credit for Global Entry or TSA PreCheck® after you apply through any Authorized Enrollment Provider. If approved for Global Entry, at no additional charge, you will receive access to TSA PreCheck.
- Earn up to 20,000 Medallion® Qualification Miles (MQMs) with Status Boost® per year. After you spend $25,000 in purchases on your Card in a calendar year, you can earn 10,000 MQMs up to two times per year, getting you closer to Medallion® Status. MQMs are used to determine Medallion® Status and are different than miles you earn toward flights.
- No Foreign Transaction Fees.
- $250 Annual Fee.
- Terms Apply.
- See Rates & Fees