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SMBC Aviation Capital Signs Agreement for 737 MAX 9 with United

SMBC Aviation Capital Secures Agreement with United Airlines for 737 MAX 9 Fleet Expansion
Aircraft lessor SMBC Aviation Capital has finalized a significant agreement with United Airlines for the purchase and lease-back of twenty Boeing 737 MAX 9 aircraft, with deliveries slated for 2025 and 2026. This transaction represents the third major collaboration between the two companies in recent years, following previous deals involving the lease of 20 Airbus A321neo aircraft from SMBC’s orderbook and a separate purchase-and-leaseback arrangement for 20 Boeing 737 MAX 8 jets.
Strategic Alignment and Fleet Modernization
United Airlines has emphasized that the latest agreement aligns closely with its long-term fleet strategy. Michael Leskinen, United’s Chief Financial Officer, underscored that the deal supports the airline’s ongoing efforts to modernize its fleet and enhance the overall customer experience. Leskinen also highlighted the strength of United’s partnership with SMBC Aviation Capital, noting the lessor’s pivotal role in the continued evolution of the airline’s fleet composition.
Market Context and Competitive Pressures
This agreement emerges amid heightened activity and intensifying competition within the global aircraft leasing sector. SMBC Aviation Capital faces challenges including regulatory scrutiny and the need to ensure compliance with evolving safety standards for the 737 MAX series. The market is witnessing increased rivalry from major lessors such as AerCap and Air Lease Corporation, who may respond with aggressive pricing or by expanding their own orders for the 737 MAX family.
Further illustrating the competitive environment are recent commitments from airlines such as Ethiopian Airlines and Air Senegal to additional 737 MAX orders. Meanwhile, substantial orders from Middle Eastern carriers including Flydubai and Etihad Airways continue to influence market dynamics, intensifying competition among lessors vying to secure contracts with leading airlines.
As the aviation industry advances in its recovery and fleet modernization efforts, the partnership between SMBC Aviation Capital and United Airlines exemplifies both companies’ strategic responses to evolving market conditions and their pursuit of a competitive advantage.

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