[h3]Virgin ‘to order Airbus jets'[/h3]
http://news.bbc.co.uk/hi/english/business/newsid_1831000/1831055.stm
Virgin Atlantic is set to announce a £1.5bn ($2.15bn) order for 10 Airbus A340-600 jets and 50 Rolls-Royce engines, the BBC has learned.
The order will help secure about 3,000 British jobs at Rolls-Royce’s Derby plant and at Airbus UK’s factory in North Wales.
The Virgin order had been rumoured before September 11.
But many experts in the aviation industry assumed it would be cancelled as a result of the terrorist attacks which caused a massive slump in air travel.
Airbus has lost orders for about 90 planes, or more than a quarter of its orderbook, since September 11 as a result of airlines cutting back on investment.
And it is engaged in a fierce battle for new customers with its US rival Boeing.
Cash-strapped
Such an announcement is also likely to raise some eyebrows in the city about how the cash-strapped airline will pay for the order.
Virgin Atlantic founder Sir Richard Branson may have either have driven an exceptionally hard bargain or resorted to vendor financing, according to BBC business editor Jeff Randall.
Airbus was expected to announce the new order at a news conference in Toulouse later on Wednesday.
Virgin Atlantic is 49% owned by Singapore Airlines.
rabie :9
Attachments:
By: dan330 - 21st February 2002 at 18:47
RE: Virgin ‘to order Airbus jets’
There was a bit in todays Mirror. Apparently Airbus will help them pay for the aircraft and Virgin plan to sell them and lease them back, which will work out cheaper in the short term.
I’m very glad they have kept with the order, they can finally get rid of those old 747 classics and we can hopefully see something new on the Manchester – Orlando flight!
By: KabirT - 20th February 2002 at 12:05
RE: Virgin ‘to order Airbus jets’
Thanx for the news Rabie…my Virgin is growing fast!
Sign In
February 20, 2002 at 9:51 am