Japan Airlines will order 10 additional 787 airplanes from the Boeing Co. (NYSE:BA) , it said on Wednesday.
The company, known as JAL, had already ordered 35 Boeing 787s, as part of a 478 billion yen ($6.09 billion) plan to revamp its fleet over five years. It exercised the option to order an additional 10 aircraft, and also replaced 10 of its existing 787-8 model orders for 10 787-9s, which are slightly larger, fitting around 50 additional seats. The larger size complemented the airline's strategy to reduce per seat costs, it said.
The planes, branded as Dreamliners, will be used on medium to long haul international flights after fiscal year 2015.
JAL intends to maximize the competitiveness of the super-efficient Dreamliner that offers many enhancements to passenger comfort, as JAL positions itself for growth by seizing business opportunities afforded by the upcoming expansion of slot capacity in the Tokyo metropolitan areas, it said in a statement.
The additional orders came despite a delay in 787 deliveries. JAL said last week that it no longer expects its first 787s from Boeing at the end of February, and is now targeting a March date.
JAL filed for bankruptcy in 2010 and has undergone restructuring in the last two years. It is seeking to reenter the stock market this year. As part of its Mid-Term Management Plan, JAL is seeking to lower air operation expenses as part of 50 billion yen ($637.3 million) cost savings program.
The airline also announced a partnership with JetBlue Airways Corporation (NASDAQ:JBLU) on Tuesday, allowing passengers to more easily book connections between North America and Asia Pacific flights beginning on Wednesday.