Amazon Inc. (AMZN) - Get Report said Tuesday that it will lease and additional fifteen cargo airplanes from Boeing Co. (BA) - Get Report , through a deal with General Electric's (GE) - Get Report aviation unit, in order to boost its global delivery network.
Amazon will lease fifteen Boeing 737-800 planes, the company said during the Paris Air show, adding to a previous agreement for five that was signed earlier this year, though GE Capital Aviation Services. The planes form part of the online retail giant's 'Amazon Air' operation, which was formed in 2016 and plans to operate out of a main hub from the Cincinnati/Northern Kentucky International Airport in 2021.
"These new aircraft create additional capacity for Amazon Air, building on the investment in our Prime Free One-Day program," said Dave Clark, Senior Vice President of Worldwide Operations at Amazon. "By 2021, Amazon Air will have a portfolio of 70 aircraft flying in our dedicated air network."
Amazon shares were marked 1.7% higher Tuesday to change hands at $1,916.67 each. GE shares gained 3.5% to trade at $10.40 each while Boeing jumped 1.22% to $359.22 each.