Luxembourg flag-carrier Luxair has ordered a Boeing 737-800, to replace the -800 model currently on lease.

The airline says the 189-seat jet will be delivered at the end of 2012.

Luxair chief Adrien Ney says the carrier needs the twin-jet's capacity and range for flights conducted on behalf of its in-house tour operation.

All modern 737 variants are powered by CFM International CFM56 engines.

In addition to its leased 737-800 the carrier operates three 737-700s, as well as a regional fleet which includes Bombardier Q400s and Embraer ERJs.

Boeing has confirmed the Luxair order, which had previously been attributed to an unidentified customer, adding that the type has a catalogue price of $77 million.

Source: Air Transport Intelligence news