Boeing’s jumbo jet got a new lease on life with order from UPS (BA, UPS)

A UPS Boeing 747-8F.Boeing

• UPS ordered 14 Boeing 747-8 freighters worth $5.65 billion.
• Since 2016, UPS has ordered 28 Boeing 747-8 freighters. These aircraft are essentially all that is left of Boeing’s 747 order book.
• UPS also ordered four Boeing 767 freighters worth $848.8 million.

UPS announced on Thursday that it has ordered 14 Boeing 747-8 freighters worth $5.65 billion at list prices. The Atlanta-based cargo giant also agreed to an order for four Boeing 767 freighters worth $848.8 million. It should be noted, however, that clients such as UPS customarily receive significant discounts.

“UPS has clearly tapped into the power and efficiency the 747-8 Freighter brings to the market,” Boeing Commercial Airplanes president and CEO Kevin McAllister said in a statement. “We’re impressed with how UPS is leveraging the airplane in its operations and excited to see them bring additional 767s into their fleet.”

The aircrafts ordered on Thursday were originally options included in the freight carrier’s 2016 order for Boeing jets. That year, UPS also ordered 14 747-8s, three of which have been delivered.

The 25 undelivered UPS jets represent the vast majority of Boeing’s remaining 747 order book of 26 aircraft. At a rate of one aircraft every two months, this order will help Boeing keep the 747 production line going for another two years.

All of the UPS 747s and 767s are expected to be delivered to the company by the end of 2022.

According to UPS, all of the planes ordered on Thursday will go towards expanding the company’s fleet, which currently includes more than 500 aircraft.