Gulf Air announces $4bn Boeing order

Gulf Air is to purchase 16 Boeing 787 Dreamliners in a deal worth $4bn.

Bahrain's national carrier also has options on a further eight Dreamliners. If the company exercises these options, the deal could ultimately be worth some $6bn at list prices.

Gulf Air is also considering acquiring as many as eight new Airbus A320s, while acting president and chief executive Bjorn Naf says the airline is studying the leasing market and aims to bring a further 16 Dreamliners into the fleet by 2010.

The first Dreamliners under firm order will be delivered by 2016. Gulf Air says the aircraft will make up all of its wide-body fleet by 2019.