Delta Air Lines nixes an order for 18 Boeing 787 Dreamliner planes, which it assumed as a part of its merger with Northwest Airlines. Bobbi Rebell reports.
Delta is canceling an order for 18 Boeing 787 Dreamliner planes, worth $4 billion at current list prices. It never really wanted them. They came along with their acquisition of Northwest Airlines which it bought it in 2008. The cancellation comes as Delta and other top U.S. airlines are looking to slow flight capacity growth and shrink existing service in response to falling airfares. Jeff Dastin covers the story for Reuters. (SOUNDBITE) JEFFREY DASTIN, REPORTER, RUTERS NEWS, (ENGLISH) SAYING: "There are at least three reasons why Delta canceled this order. The first is that the price of fuel is much lower than it had been years ago, so it's less crucial right now to have the most fuel efficient and inexpensive planes. The second is that Delta sees too many flights going, you know, abroad, too much capacity in the air, so it doesn't really want to have all these extra seats to have to fill, and therefore push down prices, and that segues to the third point, which is that Delta in 2014 placed its own order for 25 wide-body aircraft from Airbus, Boeing's rival." Delta will continue to take delivery of Boeing 737 planes through 2019.