Story Published:
Jul 18, 2006 at 5:45 AM PST
Story Updated:
Aug 31, 2006 at 7:31 AM PST
FARNBOROUGH, ENGLAND - More orders are rolling in for Boeing, which appears to be extending its lead over Airbus it took in the first half of the year, when Airbus recorded just 117 gross orders
-- less than a quarter of its U.S. rival's total. Airbus beat Boeing's orders for a fifth straight year in 2005 but looks increasingly likely to fall behind this year.
Boeing announced the sale of 10 747-8F freighters to Dubai-based airline Emirates, worth $3.3 billion at list prices. It also said it sold 14 737s to Aviation Capital Group and six 787 Dreamliners to Pegasus in a further $1.9 billion of orders from U.S. leasing
companies.
All values are at catalog rates, since actual financial terms are never disclosed and airlines typically negotiate discounts.
The latest deals take Boeing's order tally so far at Farnborough - one of the biggest events in the aeronautical industry calendar - to 62 jets listed at a worth of $7.9 billion.
Meanwhile, Airbus announced the sale of 12 passenger jets to Libya's Afriqiyah Airways on Tuesday, securing one of the first plane deals with the North African nation since
international sanctions were lifted.
Tripoli-based Afriqiyah signed nonbinding commitments to buy nine jets from the single-aisle A320 family and three larger A330 widebody airliners in a deal worth about $1.7 billion at list price.
"We are proud of this sign of confidence, and look forward to creating a long-term win-win cooperation," Airbus Chief Executive Christian Streiff said on the second day of the Farnborough International Airshow.
The Airbus order from Afriqiyah, together with the sale of an
additional A330 plane to Caribbean operator Air Caraibes announced
Tuesday, leaves the European jet maker with 23 jet orders so far
from the show, worth $2.6 billion.
In a separate deal with Libyan authorities, Airbus parent
European Aeronautic Defence & Space Co. also agreed to build a
pilot training and maintenance center in Tripoli.
Both the United States and EU eased sanctions against Libya in
2004, opening the way for the sale of airliners and other
technologies to the country.
Afriqiyah Chief Executive Abdallah Sabri Shadi said the deal was
the first significant Libyan plane order in 30 years, and predicted
more Libyan business for both Airbus and rival Boeing - which last
year won an order for three Boeing 737s from another Libyan
carrier, Buraq Air.
Boeing was also considered for the Afriqiyah deal, Sabri Shadi
said. "There were negotiations that took a couple of months. In
the end, we selected the right products."
Airbus is seeking to reassure investors at Farnborough that it
is back on track after further delays to its flagship A380
superjumbo sparked high-level management changes - that after
customer dissatisfaction with the mid-sized A350 program forced the
plane back to the drawing board.
Airbus announced a major revamp of the A350 program Monday,
almost doubling its budget to $10 billion. It vowed that the new
A350XWB - for "extra-wide body" - will hold its own against two
of Boeing's best-selling jets, the 787 Dreamliner and 777, when it
enters service in 2012.
Before the revamp, Airbus had received only 100 firm orders for
the A350, compared to 360 for the Dreamliner.
Airbus fell behind on total order value last year as its larger
A340 jet lost ground to Boeing's more efficient 777, and the
redesign is intended to make the A350 an effective competitor
against Boeing's twin-engined jet.
Mike Bair, head of Boeing's 787 program, said Tuesday that the
company was prepared for competition from its European rival.
"It's still relatively vague about exactly what they are doing,
but we always anticipated some kind of competition from Airbus,"
Bair said during a news conference.
Even amid its current difficulties, however, there are signs
that Airbus can still cause trouble for Boeing.
The Chicago-based company on Monday recalled a news release
announcing an order for 20 777s from Qatar Airways, but insisted
the $4.9 billion deal had nonetheless been finalized.
But Qatar said it was still in talks with both Boeing and
Airbus, and that no decision had been made.