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Boeing’s possible deal with United could hurt Bombardier

United Airlines is close to deciding an order for about 30 small jets worth around $2-billion (U.S.) at list prices and Boeing Co. looks well placed to win at least part of the deal after undercutting smaller rivals, industry sources said.


January 19, 2016  By Reuters

A decision by the Chicago-based airline to pick Boeing’s 737-700 jet would be a blow for Bombardier, which has courted United as a key prospect for its struggling C Series, and potentially Brazil’s Embraer as well.

United’s requirement for 100-seat aircraft is in the natural hunting ground for those manufacturers, but Boeing waded in with highly competitive offers for its slightly larger 737-700, which officially seats 126 passengers, the sources said.

Still, a deal has not been finalized and could face last-minute shifts in negotiations that have already been marked by heavy discounting, the sources said. | READ MORE

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