Ryanair ends Boeing talks

Plans to procure 200 aircraft at a cost of $15bn are halted amidst claims of issues to changes to the terms and conditions.

Ryanair boss Michael O’Leary has pulled out of talks with Boeing over plans to order over 200 new 787 Dreamliner aircraft, a deal estimated at around $15bn.

The Irish airline already has a procurement deal with the US manufacturer for 112 of Boeing’s 737-800 aircraft in the next three years. News of the breakdown aren’t said to affect the deal for the short-haul planes.

The collapse of talks, said to be at an advanced stage, may end in the short-term Ryanair’s expansion into long-haul flight, first announced by O’Leary back in 2007.  The company had hoped to introduce a low-frills long-haul service by the end of this decade, including transatlantic routes to reported destinations such as Baltimore and Long Island.

But whilst O’Leary has promised to plough surplus money back into the pockets of shareholders, it may not mark the end of the transatlantic dream for Ryanair.

Despite having failed in two previous attempts, the Irish Times recently reported Aer Lingus remains under threat from a Ryanair takeover. The Irish flag carrier currently runs direct routes between Dublin and New York, Chiacgo, and Orlando, together with indirect routes across the US with affiliate, JetBlue Airways. If a third attempt was made and to proved successful, O’Leary and Ryanair would finally get the transatlantic long-haul business it’s been working towards for the past few years.