SEOUL - South Korean flag carrier Korean Air said Monday it has signed a deal with US aerospace giant Boeing for 10 of its new generation B787 Dreamliners to meet demand for mid- to long-range air travel.
Korean Air said deliveries are scheduled from 2009 through 2011 and are part of a 10 billion dollar investment program to renew its fleet. It gave no further details.
The US planemaker has already secured approximately 200 orders for the B787, seen as a key part of its product line-up as it struggles with Europe's Airbus for dominance of the global commercial aircraft market.
"This airplane deal signifies our commitment to our vision of becoming one of the world's top 10 airlines by 2010," Korean Air chairman Cho Yang-Ho said in a statement.
"It exemplifies our long-range planning to ensure Korean Air's capability to meet future competition and market demand while also being more cost efficient," he added.
Korean Air is the world's third largest air cargo carrier and the 15th largest in terms of passenger numbers.
It posted a net profit of 472 billion won (467 million dollars) in 2004 with sales rising 16.7 percent to 7.21 trillion won thanks to increased demand for air travel and cargo transportation.
The won's appreciation, nearly 15 percent against the dollar last year, has helped Korean Air, but concerns over higher fuel costs have grown this year.
04/11/2005 03:32 GMT