El Al to buy three 737 planes from Spanish airline


TEL AVIV – El Al Israel Airlines ELAL.TA said on Tuesday it had signed a letter of intent to buy three new short-haul Boeing 737-800 planes from an unnamed Spanish airline for $145 million.

El Al, Israel’s flag carrier, said it expects to receive the planes in 2009. It will put up 15 percent of the investment from its own resources and the rest will come from loans.

These aircraft are in addition to two new 737-800s that El Al plans to lease and which will begin operating in 2008.

The purchase is part of El Al’s strategy to gradually renew its fleet of aircraft, the company said.