Varig Makes Boeing's Week At Farnborough By Chris Genna, Contributing Editor FARNBOROUGH, England - VARIG, Latin Americaıs largest airline, made Boeing's week at the year's biggest air show Tuesday by ordering 24 Boeing jetliners and securing options on 15 more. VARIG placed firm orders for four increased gross weight 777-200 IGWs, 10 next-generation 737-800s and four 737-700s, and six extended-range 767-300 ERs. The options were for four more of the 777s and 11 more 737-700s. VARIG is the first airline in Latin America to order the 777, which it will use on its Brazil-Europe and ­U.S. routes. The total value of the order, if all options are exercised, comes to $2.7 billion, Boeing said, based on list prices ranging from $42.5 million for the 737-700 to $145 million for the 777-200 IGW Airline President and CEO Fernando Pinto said the order reflects his company's confidence in Boeing and in the Latin American economy, which some pundits have said could be next to catch the "Asian flu." The order was such big news to beleaguered Boeing that the aerospace giantıs President and chief operating officer Harry Stonecipher made the announcement. Stonecipher was expected to leave Farnborough later in the day. "Thanks to airlines like VARIG," Stonecipher said, "we can show we have NOT left the field of battle." Pinto said that contrary to the worries of international financial gurus, VARIG's fleet expansion plans are based on "very conservative" growth estimates ­ 3 percent per year when VARIG has seen traffic grow 11 percent during the last three years, measured in revenue passenger miles. "In just the last four months, weıve seen 24 percent growth over the same period of last year." VARIGıs $100 million loss for the first half of 1998 doesnıt trouble him either, Pinto said ­ itıs common for VARIG to make 46 percent of its revenue in the first half of each year and make up the balance in the second half. The World Cup soccer match in France didnıt help, he quipped, "because no one in Brazil wanted to travel; they wanted to stay home and watch TV." The 777 options could be converted to stretched 777-300s, but Pinto doubts that will happen, he said; "the ­200 IGW seems to be the right size for us." Thatıs despite the fact that VARIG is seeing load factors of 85 percent on its Brazil-Europe routes, Pinto said. VARIG signed a separate deal worth as much as $500 million with GE and CFM International, a joint venture of GE and Snecma of France, to supply the engines for its new jetliners.