Boeing received an order for 10 737-800 airliners from Icelandair, worth about $650 million at list prices, as Iceland's biggest carrier...

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Boeing received an order for 10 737-800 airliners from Icelandair, worth about $650 million at list prices, as Iceland’s biggest carrier sets up a plane-leasing business.

The contract for the 162- to 189-seat medium-range airliner also includes options for five more 737-800s, Boeing said yesterday.

The planes, which were bought at “a very favorable price,” will be delivered starting in 2006 and provided to Chinese airlines, the Reykjavik-based carrier said in a separate release on its Web site.

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The Icelandic carrier has an all-Boeing fleet of 12 aircraft.