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Oman Air announced on Wednesday it had placed a firm order with Boeing for five 737-900ER planes valued at $473 million at current list prices.
The order, previously logged as unidentified on Boeing's books, was confirmed at the Paris Air Show, making the Sultanate carrier the first Gulf airline to commit to the next generation aircraft.
Oman Air now has six 737-800s, another six 787-8s and five 737-900ER planes on order, while it already operates 15 737-800s and two 737-700s.
"The 737 is able to operate effectively in very hot climates and has proven itself with its dispatch reliability, ease of maintenance and efficient performance," said Wayne Pearce, chief executive officer, Oman Air.
"These Next-Generation 737s will play a key role in supporting our efforts to strengthen and expand our network and boost tourism and business travel into Oman.
"The 737-900ER provides all the benefits of the Next-Generation 737 family, but with a higher seating capacity that gives us even better economics."
Marty Bentrott, vice president of Sales for Middle East, Russia and Central Asia at Boeing, said: "Oman Air's order expands our customer base for the 737-900ER. We are very proud of our long-standing relationship with the airline which began over 12 years ago.
"Over the past decade, Oman Air has expanded its operations and destination network considerably, and we are proud to be playing a role in the airline's vision of the future.
"The Next-Generation 737's record of unparalleled efficiency, reliability and passenger comfort make it the preferred airplane for airlines such as Oman."
The airline plans to use these aircraft to grow its domestic network, and key regional markets like the Gulf and India.
The deal has a value of $3.3 billion at list price.
The deal might be valued at about $3.2 billion, according to the list prices of the aircraft.
Airbus was always playing catch up after the dramatic first day which saw four Gulf carriers place major Boeing orders