– Agreement Includes 100 Next-Generation 737s With Options For 40 More
– Commitment To Order 100 737s With New Engines And Options For 60 More

SEATTLE, July 20, 2011 /PRNewswire/ — Boeing (NYSE: BA) confirmed that American Airlines has selected Boeing to provide 200 narrowbody airplanes, with options for 100 more, to accelerate its single-aisle fleet replacement.

The agreement includes 100 Next-Generation 737s, with options for an additional 40 airplanes. Boeing and American Airlines will work to finalize the agreement over the next several weeks, at which time it will be a firm order and posted to the Boeing Orders and Deliveries website.
In addition, American Airlines has committed to order a variant of the 737 featuring new more fuel-efficient engines, pending final airplane configuration and launch approval of the program by the Boeing board of directors. This commitment for 100 airplanes, with options for 60 more, is the first of many anticipated for this variant. The airplane would be powered by CFM International’s LEAP-X engine.

“This agreement highlights our focus on investing in our fleet for the benefit of our shareholders, customers and employees,” said Tom Horton, president, AMR Corp., the parent company of American Airlines and American Eagle. “The addition of these Next-Generation 737s will play a critical role in replacing our narrowbody fleet with more fuel-efficient aircraft offering state-of-the-art customer features.”

American Airlines’ current fleet of more than 600 Boeing airplanes includes 156 Next-Generation 737-800s delivered to date. The agreement builds on American Airlines’ existing backlog of 64 Boeing airplanes consisting of 51 737-800s, seven 777-200ERs (extended range) and six 777-300ERs. In addition, American Airlines has an existing purchase agreement with Boeing to acquire an initial 42 787-9 Dreamliners, with the right to purchase up to 58 additional 787s.

“American Airlines is an industry leader whose vision and disciplined approach to growth has made it one of the largest airlines in the world,” said Boeing Commercial Airplanes President and CEO Jim Albaugh. “This agreement will provide American Airlines with the most capable airplanes in the narrowbody marketplace and continue to deliver industry leading economics. Demand for the 737 remains very strong from customers around the world and we have deliberately retained delivery positions to meet the fleet requirements for all our valued customers.”

Today’s operators fly Next-Generation 737s that are 5 percent more fuel efficient than the first airplanes delivered in 1998. Certification of additional improvements is underway which will be included in airplanes delivered later this year.
Pending final configuration of the new 737 variant and board of directors approval, Boeing will take another giant step forward in improving the operating economics of this already market-leading airplane.

To date, the Next-Generation 737 family has won orders for more than 5,700 airplanes and Boeing has delivered more than 3,700.

U.S.-Based Global Carrier Becomes Latest Customer For Airbus’ Market-Leading, Single-Aisle Aircraft

July 20, 2011 — Airbus and American Airlines, a wholly-owned subsidiary of AMR Corporation, have signed a firm contract for American to acquire 260 modern, fuel-efficient Airbus A320 Family aircraft. The contract calls for flexibility for the airline to take delivery of A319s, A320s and A321s, with 130 featuring Airbus’ New Engine Option (neo). All 260 aircraft will feature large, fuel-saving wingtip devices known as Sharklets.

The deal between Airbus and American was announced today at the airline’s Dallas/Ft. Worth hub. The airline plans to announce its choice of engines to power the aircraft at a later date.

“We are pleased to add the Airbus single-aisle family as an important component of our fleet modernization strategy,” said AMR and American Airlines President Tom Horton. “The A320 Family of aircraft will help us achieve improved fuel efficiency and other operational savings, while offering our customers state-of-the-art technology and an enhanced travel experience. We look forward to a successful partnership with Airbus.”

“We are extremely proud and gratified once again to count American Airlines among Airbus’ global customers,” said Airbus President and CEO Tom Enders. “The order by American represents a strong endorsement of our constantly improving single-aisle product line. All of us at Airbus look forward to seeing the American Airlines livery on A320 Family aircraft – and we look forward to fulfilling our commitment to providing the people of American, as well as their passengers, with the highest level of support and service in the industry.”

The A320 Family is recognized as the benchmark single-aisle aircraft family. The aircraft feature the latest technology available today, the widest and most comfortable cabin, and the highest degree of operational commonality. With 99.7% reliability and extended servicing periods, the A320 Family has the lowest operating costs of any single-aisle aircraft today. More than 4700 A320 Family aircraft are in airline operation around the world today.

The A320neo, launched in late 2010, is the latest product innovation at Airbus. These new A319, A320 and A321 models feature a choice of two new engines – the PurePower PW1100G from Pratt & Whitney or the LEAP-X from CFM International. Together, the Sharklets and new engine choices result in a 15 percent fuel burn reduction, corresponding to an annual carbon dioxide reduction of 3,600 metric tons per aircraft. Compared to prior-generation narrowbody aircraft, the fuel savings could easily amount to up to 30 percent. Since launching the innovative product in December of last year, Airbus has received orders and commitments for almost 1200 A320neo Family aircraft.

Airbus is the leading aircraft manufacturer with the most modern and comprehensive family of airliners on the market, ranging in capacity from 100 to more than 500 seats. More than 10,700 Airbus aircraft have been sold to more than 440 customers and operators worldwide, and more than 6,700 have been delivered since the company first entered the market in the early seventies.

Futuristic Aircraft Cabin Modernizes Onboard Customer Experience

SEATTLE, May 24, 2011 –-
Boeing [NYSE: BA] delivered to American Airlines today its first Next-Generation 737-800 featuring the all-new Boeing Sky Interior (BSI). The new aircraft marks a major milestone in American’s commitment to improving and modernizing the customer experience through the execution of its fleet renewal plan.

The Boeing Sky Interior is designed to increase customer comfort onboard and is an important part of American’s ongoing initiative to modernize the look-and-feel of its 737 fleet interiors. The 737-800 BSI aircraft are a strategic part of American’s commitment to invest in products and services that make the travel experience more contemporary and innovative for customers.
Between 2007 and 2011, American Airlines expects to invest more than $5.5 billion in new aircraft and onboard and facility enhancement projects to improve the customer experience.

“American Airlines has made a significant investment to enrich the flying experience for our customers through the purchase of new aircraft and the refurbishment of our existing fleet,” said Virasb Vahidi, American’s Chief Commercial Officer. “At American, we are focused on providing a differentiated customer experience, with a distinct focus on best delivering what premium customers value most – world-class products and services. The delivery of the first 737-800 with the new Boeing Sky Interior is our most recent step to deliver on this commitment.”

The new 737-800 BSI interior offers several unique features, including larger overhead bins – modeled after the 787 Dreamliner’s pivoting bins – that pivot down and out. The innovative design allows the bins to hold 48 more bags than standard overhead bins and four more than current non-BSI aircraft with larger bins. Sculpted sidewalls provide customers with a contemporary feeling of spaciousness and updated window reveals make the windows appear larger. Brighter and longer-lasting LED lighting can be programmed to create different effects during the flight such as a soft blue sky overhead. Intuitive placement of switches and call buttons and improved sound quality are innovative features that will enhance the customer experience. Additionally, the new 737s offer 16 First Class seats and 144 in Economy Class for a total of 160 seats on each aircraft.

“This new airplane will be a great addition to American Airlines existing 737 fleet,” said Marlin Dailey, vice president of Sales and Marketing for Boeing Commercial Airplanes. “American Airlines is leveraging all the performance benefits of the Next-Generation 737 to enhance the its competitive position, while providing a new, more comfortable and inviting interior.”

As part of its fleet renewal plan, American began taking delivery of new Boeing 737-800s without BSI in April 2009. The airline received 31 737-800s in 2009, 45 in 2010 and plans to receive 15 in 2011, 28 in 2012 and 11 in 2013.

To provide consistency within the travel experience and further elevate customer comfort onboard, American is updating its existing fleet of Boeing 737s to match the new deliveries without the BSI feature. The interior renovations include the installation of new customized First and Economy Class seats, new cabin interiors, updated inflight entertainment systems and bigger overhead bins to provide more storage throughout the aircraft. American is also updating the interior of its 757 fleet, which will include a new look-and-feel throughout the cabin. Both projects are being handled in-house by American employees at the airline’s Maintenance & Engineering base located in Tulsa, Okla.
Watch a video of American Airlines effort to upgrade the interiors of their Next-Generation 737 fleet here: http://www.boeing.com/Features/2010/06/bca_american_airlines_06_28_10.html

In addition to the enhancements to its 737 planes, American has several fleet renewal efforts already under way. These initiatives highlight the multiple steps American Airlines has taken the past several years to continue investing in its future while it sharpens its focus on modernizing and improving the customer experience through various efforts – including, notably, execution of its fleet renewal plan. They include:
· MD-80 Retirement: The 737 deliveries are designed to replace the MD-80 fleet with more passenger-friendly, fuel-efficient aircraft – lessening the impact on the environment. American intends to retire at least 25 MD-80s in 2011, as part of the company’s plan to continue renewing its fleet, while addressing the current fuel environment. In fact, a 737-800 will burn 35 percent less fuel than an MD-80 on a seat-mile basis.
· 757 Domestic Retrofit: In August 2010, American began enhancing its domestic fleet of 106 Boeing 757-200s with the installation of customized First and Economy Class seats, bigger overhead storage bins and updated inflight entertainment throughout the aircraft. Two additional First Class seats are being added to each 757 aircraft, for a total of 24 seats in the First Class cabin.
· 787-9 Dreamliner: Entering into a purchase agreement with Boeing to acquire an initial 42 of the 787-9 Dreamliner aircraft, with the right to purchase up to 58 additional 787s.
· 777-300ERs: American has five 777-300ERs that are scheduled for delivery in 2012 and 2013, including two additional aircraft for which options were recently exercised. These 777-300ERs will complement American’s fleet, offering additional network flexibility in the future, and providing increased efficiency due to better seat mile economics and performance characteristics.