Japan's All Nippon Airways said today it plans to buy 45 new planes from Boeing worth a reported $2.25 billion at list prices and phase out models from Europe's Airbus SAS.
The deal comes as the two top planemakers battle for shrinking orders from a crisis-hit airlines sector.
Japan's second largest airline said it planned to place an order for Boeing's Next Generation 737 planes, mainly the B737-700 model.
The deal would be the industry's largest this year. Purchases are planned from 2005 and are part of a drive to streamline the fleet to cut maintenance costs, ANA said in a statement.
CFM, a Franco-American joint venture involving General Electric Aircraft Engines and Snecma Moteurs, will provide engines.
An ANA spokesman said Airbus planes would be phased out of the fleet, though the carrier remained open to bids from both top manufacturers for larger planes.
"We will not exclude Airbus in choosing new medium-sized and jumbo planes," an ANA spokesman said.
The two manufacturers are locked in a battle for top spot in deliveries, with Airbus aiming for 300 this year to beat Boeing for the first time.
Among the larger planes Airbus offers is the planned 555-seat A380 due for delivery beginning in 2006.