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It'll be interesting to see how the NEO option sells at $8 million list. Some analysts say the NEO will still have an operating cost disadvantage compared to Bombadier's C series (which hasn't sold that well yet), but the NEO will have the commonality with existing 320-family fleets advantage.
Looks like Boeing is leaning towards producing an all-new 737 replacement using 787 technology about 2020 and not re-engine the 737NG's.
Jim
Ironically, a couple of articles on this subject - well, considering Airbus' announcement on Wednesday not so ironic.
Seattle Times
Aviation Week
Jim