Shares of American were up 0.3% after hours, following a 3.6% fall to close Friday trading at $50.29.
As part of the deal, the two firms have agreed to defer delivery of 40 737 narrowbody jets that were previously scheduled to arrive between 2020 and 2022.
American has been looking at alternatives for the order for 22 A350s that it gained through its 2013 merger with US Airways since past year, and recently outlined a need to make a decision on what to do with its aging 767-300ER fleet.
With a view to modernise and double its fleet strength with Boeing 787 Dreamliners, American Airlines, has recently placed new orders for 47 super-efficient twin-aisle jets, with an option of additional 28 aircrafts, valued at $12 billion. All of the new 787s will be powered by GE's GEnx-1B engines.
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American has ordered 47 aircraft, 22 787-8s and 25 787-9s, to add to an existing order of 42, with 35 of those already delivered.
American operates 20 787-8s and 15 787-9s, Flight Fleets Analyzer shows.
The move formally cancels the US Airways order for 22 Airbus A350s that was initially made in 2005.
Chief financial officer Derek Kerr added advantages of carrying common fleet types included 'creating less friction in our operation when aircraft swaps are necessary, reducing inventory needs, and creating a more consistent service for customers and team members'. With this order, the worlds largest airline will also become the largest Dreamliner operator in the Western Hemisphere. The 787-8s will replace American's Boeing 767-300s, while later 787-9 deliveries will replace Airbus A330-300s and older 777-200 widebody aircraft. "Both offer specific aircraft that provide us with the right lift on specific missions across our global network", American president Robert Isom said in a press statement Friday.