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Allegiant Air receives unexpected Boeing deliveries amid industry-wide surprises

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Allegiant Air receives unexpected Boeing deliveries amid industry-wide surprises
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Allegiant Boeing 737 MAX 8 - 200 | Wikipedia

Allegiant Air unexpectedly received three additional Boeing 737 MAX 8 aircraft in the last quarter of 2024, joining other U.S. carriers like American Airlines and Southwest Airlines in receiving more planes than anticipated. Gregory Anderson, President and CEO of Allegiant Air, announced during the company's Q4 2024 earnings call that they ended the year with four in-service 737 MAX 8-200 aircraft. This helped address operational inefficiencies caused by previous delivery delays.

Robert Neal, CFO of Allegiant Air, stated that three 737 MAX 8-200s were placed into service in Q4 2024. Boeing plans to deliver twelve more to Allegiant in 2025, but the airline is preparing for nine deliveries to align pilot availability with aircraft numbers.

In contrast, Allegiant's Q3 results indicated an expectation of only one new delivery by year's end, maintaining a fleet size of 122 after retiring an Airbus A320ceo. The first 737 MAX 8-200 arrived on September 9, 2024, entering service on October 20.

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The initial order for these aircraft was made in 2022 with a schedule for delivery through to 2025. However, delays led Maurice Gallagher, former CEO of Allegiant Air, to adjust expectations for early deliveries in March 2024.

Southwest Airlines also received more planes than expected with twenty-two deliveries in Q4 and predicts thirty-eight more in 2025. Bob Jordan, President and CEO of Southwest Airlines, expressed optimism about exceeding this number as Boeing increases production.

American Airlines similarly welcomed unexpected deliveries due to a strike affecting Boeing's production facilities. The strike involved Boeing’s machinists represented by the International Association of Machinists and Aerospace Workers and concluded with a new agreement signed on November 4.

United Airlines met its expected delivery numbers while Delta Air Lines awaits certification for its ordered MAX aircraft.

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