Negotiations have been ongoing for over a year now and O’Leary claims that Ryanair have “effectively reached agreement on the price for 200 aircraft, but Boeing now wants to renegotiate delivery terms that would be worse than we currently have”.
Ryanair’s board will meet Dec. 17. Mr. O’Leary said that if no deal had been reached by then, the deal would be off.
If the airline and Boeing can’t strike a deal, Mr. O’Leary has said that Ryanair will throttle back its expansion plans. It will defer deliveries from Boeing of several 737s ordered in recent years, cancel options to buy 10 737s, and distribute cash to shareholders. Beyond 2012, the company would largely stop growing for the foreseeable future, Mr. O’Leary has said.
A Boeing spokesman said the company wouldn’t comment on customer negotiations that were ongoing.
Well done Boeing, shame on you Ryanair. Grow up wont you.