‘A done deal’: Boeing to seal $14 billion order next week

Key Points
  • Boeing to provide new planes for Singapore Airlines ageing fleet
  • Singapore P.M. to meet President Trump on October 23
  • China Southern Airlines announced Friday it had agreed to buy 38 Boeing aircraft for a list price of $5.65 billion
Singapore's PM Lee says 'done deal' for SIA to buy Boeing planes
Singapore's PM Lee says 'done deal' for SIA to buy Boeing planes

Singapore Airlines will finalize an order for 39 Boeing aircraft worth $13.8 billion when the Singaporean prime minister visits U.S. President Donald Trump in Washington next week.

The national airline first announced the plan to upgrade its fleet in February but no deal has to date been inked in Boeing's order book.

In an interview with CNBC on Thursday, Singapore Prime Minister Lee Hsien Loong confirmed the purchase is ready to be rubber stamped.

"We are hoping to sign an agreement between SIA and Boeing to buy new airplanes. I think that's a done deal," he said.

Singapore Airlines has said previously that it would order 20 777-9 and 19 787-10 widebody planes from the U.S. manufacturer.

Boeing currently leads rival Airbus in orders for the first nine months of the year, with 498 at the end of September compared to 271 for its European rival.

Trump meeting

Lee is due to meet with Trump in Washington on October 23, the second encounter between both leaders. The Singapore leader said his impression of Trump so far was someone who was "confident of himself" and who possessed a "very set view of the world, and of people."

The 65-year-old added that he hoped to deepen Singapore's relationship with the Trump administration and the United States.

"It's a very sound relationship that's based on the basic strategic congruence of views, about the world, about the region," Lee said.

"And deep co-operation over many years, in the economic sphere, trade, investments; in security and defense area, we've trained in the U.S., the U.S. forces use our facilities, we've fought together in Desert Storm, and now in the coalition against ISIS," he added.

On Friday, China Southern Airlines confirmed it had agreed to purchase 38 Boeing planes from the U.S. aircraft maker for $5.65 billion. The Guangzhou-based airline said the deal would help to boost capacity amid increasing air-travel demand.