Mexican airline to lease Boeing 717s returned to plane maker's financing arm

Boeing will lease to a Mexican airline all the 717 jets returned to its Boeing Capital Corp. jet-financing unit by Midwest Airlines last September.

For Boeing Capital, the deal eases the burden of owning idle aircraft with no revenue coming in. The 717s were hard to place because they were originally developed by McDonnell Douglas and are out of production.

Mexicana Group will lease a total of 25 717s and operate them as part of its low-cost carrier unit called Mexicana Click, Boeing Capital said Monday.

Boeing will provide training and spare-parts support to the airline.

Financially troubled Midwest, based in Milwaukee, last year returned 16 of the 25 717s, and Boeing has the option to ask Midwest to return the remaining nine aircraft.

Boeing spokesman John Kvasnosky said the company has not decided whether it will take the remaining nine 717s for Mexicana from Midwest or get them elsewhere. "We have other options," he said.