Lufthansa gets 'very good deal' on 747-8s

Lufthansa confirmed today a firm order for 20 of the latest 747 passenger aircraft, the 747-8, along with options to purchase 20 more later.

The order provides Boeing marquee, blue-ribbon customer support for its iconic, but aging, jumbo jet — which now has a new lease on life as a revamped, re-engined, quieter and more fuel-efficient large passenger aircraft.

The firm order is worth about $5.5 billion at list prices, although with standard discounts the actual price is closer to $3.2 billion, according to estimates by aircraft valuation firm Avitas.

As the first announced customer for the passenger version of the new jumbo-jet derivative, the German flag carrier may have got an even bigger discount.

"Lufthansa got a very good deal," said Boeing sales chief Larry Dickenson at a press conference in downtown Seattle this morning.

Nico Buchholz, Lufthansa's senior vice president in charge of fleet management, said the airline has worked with Boeing on revamping the 747 over the past five years.

In the end, the airline was sold on the environmental and economic benefits of the aircraft, which will have the same engines as the 787. The enviromental impact of aircraft in terms of both noise and atmospheric emissions is a growing concern, particularly in Europe.

"Economically and ecologically, (the 747-8) has much less fuel burn," said Buchholz. "The engines were a breakthrough."

The new model also has an aerodynamically much more efficient wing than current 747s.

And the airplane will also feature a new 787-like passenger cabin interior design, including mood-lighting technology, new lavatories and a spacious new entryway for boarding.

A Boeing press release describes a "new curved, upswept architecture" in the passenger cabin that provides passengers "great space and comfort, with more room for personal belongings."

Lufthansa will configure the jet to seat just over 400 passengers. The first airplane is scheduled to enter service in 2010.

Buchholz said the 747 order won't have any impact on the airline's order for 15 Airbus A380 superjumbos. Lufthansa still plans to take delivery of those 555-seater jets despite a two-year production delay, he said, with the first expected to enter service in mid-2009.

"We would not change our fleet structure because of an industrial delay," Buchholz said.

Lufthansa also announced an order today for seven Airbus A340-600s.

Few airlines are currently ordering A340s. For the past two years, Boeing's more efficient twin-engine 777-300ER has been vastly favored over the four-engine A340.

However, Lufthansa is the only major carrier in the world that doesn't have any 777s. It has been betting on the A340 and already has a dozen of the large 300-seater A340-600s.

Buchholz demurred when asked if betting on the A340 in the past had been a mistake, leaving it stuck with that decision to ensure a common fleet. He said Lufthansa started its A340 fleet to cover a different market segment than the 747 and it still "makes a lot of sense."

"I don't think we're stuck with the A340-600s," Buchholz said.

Dominic Gates: 206-464-2963 or dgates@seattletimes.com