Airbus Hits Back in Le Bourget Orders War
By Jane Wardell, AP | Jun. 21, 2007
Airbus racked up more orders for its A350XWB aircraft on June 20, striking back a day after US rival Boeing snagged the troubled jet's original launch customer for its own 787 Dreamliner.
In announcements timed to make a splash at the weeklong Paris Air Show, Airbus signed up Russian airline Aeroflot in a firm deal for 22 of the revamped aircraft and received commitments from India's Kingfisher Airlines and Libya's Afriqiyah Airways to buy another 56.
The deals agreed on June 20 add to a big order from Qatar Airways earlier in the week for 80 of the planes, taking the total firm orders to 127. However, despite the flurry of deals at the fair in Le Bourget, north of Paris, that is still far behind the 634 orders for Boeing's Dreamliner.
Airbus has been fighting an uphill battle against the Dreamliner since it was forced into an expensive redesign of the aircraft by unhappy customers - resulting in the extra-wide-body, or XWB, model.
The changes have pushed back the first delivery date of the plane to 2013, years behind the first delivery of Boeing's 787 due in May 2008, which is sold out for delivery until 2013.
Even Airbus' newest customer, Aeroflot, whose deal for 22 A350s worth US$3.2 billion at list prices confirmed an earlier commitment to buy the planes signed in March, has already ordered 22 Dreamliners.
The Kingfisher deal for 50 planes is a memorandum of understanding worth around US$7 billion at catalog prices, as is the Afriqiyah Airways deal for six planes worth around US$1.6 billion.
The tussle between Airbus and Boeing for customers for the A350 and the 787 is at the heart of the long- running rivalry between the pair.
Airbus, which headed to Le Bourget on the back foot after a management upheaval prompted by the A350 difficulties and problems with its flagship double-decker A380, has attempted to cement a comeback with a raft of carefully timed orders.
It continues to hold a strong lead in the overall tally at Le Bourget so far with a total of US$67.3 billion, compared to Boeing's US$15.9 billion. However, almost all Boeing's orders are firm bookings.
Orders announced on June 20 included an agreement from Etihad Airways to buy four A340-600s, five A330-200s and three A330-200 cargo planes in a deal worth US$2.2 billion.
US aircraft leasing company Aircastle said a subsidiary would purchase 15 Airbus A330-200F freighter aircraft and Aeroflot signed an additional contract to buy five A321s.
On June 20, KLM ordered seven of Boeing's next-generation 737-700 aircraft, while Air France picked up nine of its 777-300 ER, or extended range, planes. The combined firm orders are worth US$2.7 billion.