The plane will augment service to the airline's medium and long-haul destinations.
El Al Israel Airlines Ltd. (TASE: ELAL) has bought a Boeing 747-400 from RB Leasing Company for $23 million, including the cost of adapting the plane to El Al's needs. El Al will take delivery of the jumbo next week, for service on medium and long-haul routes.
The plane was built in 1996. El Al will initially finance the purchase from its own resources, and it is examining alternative financing methods.
El Al said that the purchase is part of its business strategy to meet demand for service to the airline's medium and long-haul destinations.
El Al's share price rose 0.4% in morning trading to NIS 1.57, giving a market cap of NIS 777 million.
Published by Globes [online], Israel business news - www.globes-online.com - on February 20, 2011
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