News just in from the Paris airshow…the question is, when Airbus were talking about the number of orders they would announce at Paris for the A350, was this included (as techinally it is not an order yet, but maybe Airbus had hoped to wrap it up by then)? Anyway…
PARIS 2005: Qatar to commit to 60 A350s and 20 777s
David Kaminski-Morrow, Paris (13Jun05, 12:03 GMT, 284 words)Middle East flag-carrier Qatar Airways is intending to commit to up to 60 Airbus A350s and 20 Boeing 777s under a renewal plan for its mid-size and high-capacity fleets.
Final negotiations with the two manufacturers, however, are still subject to undisclosed “important outstanding issues”.
Speaking at a briefing at the Paris Air Show today, Qatar Airways chief executive Akbar Al-Baker said that the carrier planned to sign a deal “imminently”.
It will cover 60 A350s, to be delivered between mid-2010 and 2015, initially to supplement and then to replace the airline’s Airbus A330 aircraft.
Qatar Airways has opted to take both the A350-800 and -900 variants. Al-Baker says that the airline chose the A350 over the rival Boeing 787 partly because the carrier already operates the A330. He adds that the airline’s choice of the A350 was swayed by “slightly more advantageous commercial terms”.
The carrier is presently an all-Airbus operator but has today also selected the Boeing 777 for its large widebody fleet. It is intending to take three types – the 777-300ER, -200LR and freighter versions – with deliveries between 2007 and 2010.
About half of the 777 order, says Al-Baker, will comprise the 777-300ER.
Qatar Airways values the A350 deal as potentially worth $10.6 billion while the 777 part is worth $4.6 billion. Al-Baker says that a signature is imminent but that there are still a few “sensitive negotiations” to conclude.
While Qatar Airways did not highlight an engine selection, the General Electric GEnx powerplant is presently the only one available on the A350. The General Electric GE90 is standard on the 777-300ER, 777-200LR and the 777 freighter. The carrier is already a strong GE customer, with CF6 powerplants on its A330 fleet.
Source: Air Transport Intelligence news
By: Grey Area - 15th June 2005 at 07:33
I’m sure by the end of the week Boeing will have won its share of orders due to what the customer will term as ‘slightly more advantageous commercial terms’.
Hey, let’s hope so!
In this day and age, full order books for the likes of Boeing and Airbus create business and wealth all around the world.
It’s also a sign of returning confidence and expansion within the global airline industry and that just has to be good news for all of us here assembled. 🙂
By: bring_it_on - 15th June 2005 at 02:56
slightly more advantageous commercial terms
Must be heck of a lot of advantageous commercial terms for them to go with the a350 over a less-risk , more mature (design wise as well as producion wise)..787…HATS OFF TO THE AIRBUS SALES TEAM FOR THIS DEAL.
By: KabirT - 14th June 2005 at 17:55
I wonder what kind of market its going to tap to accomodate that type of fleet, specially with Emirates being their next door neighbour.
By: Airline owner - 14th June 2005 at 17:46
That is a fair sized order for the airline.
By: US Agent - 14th June 2005 at 16:53
I am…I was just busting chops on my original post.
With all this talk lately of “price cutting” and “subsidizing” it was a feeble attempt at sarcasm.
I’m sure by the end of the week Boeing will have won its share of orders due to what the customer will term as ‘slightly more advantageous commercial terms’.
🙂
By: Grey Area - 14th June 2005 at 16:27
Hey, that’s business US Agent.
I thought you were all for the free market? 😀
By: US Agent - 14th June 2005 at 16:23
As far as the 787-vs.-A350 competition, Al Baker said it was a “hard choice.”
“In the end, the existence of the Airbus A330 in Qatar Airways’ current fleet and slightly more advantageous commercial terms, led us to believe that the A350 would be the optimum choice,” Al Baker said.
Sounds like they got more than a few free t-shirts. 😉
By: Grey Area - 14th June 2005 at 14:51
and maybe the same as those Easyjet airbuses. 😀
Ah, but did they get a free T-shirt? 🙂
By: US Agent - 14th June 2005 at 14:43
Further details on the order…
By: Shadow1 - 14th June 2005 at 11:45
If Airbus knew that they would record a fairly impressive number of orders for the A350 (ie Qatar and Emirates at least), how come the board did not give a green light for the programme to go ahead? What could hold them back??
I’m thinking the internal problems they’re having with naming a replacement for Forgeard at Airbus and the appointment of co-presidents at EADS. Forgeard has been a source of problems as he has declared his wish to remain the head of Airbus while sitting in the co-presidency, something to which the Germans are adamently opposed.
There is a possibility shareholders are pressing for these matters to be resolved before further development is authorized on the A350. Depending on the amount of success seen at LBG by the A350, there is chance the board of directors might release the funds needed to continue the program a lot sooner. But that’s just my opinion! Cheers!
By: bring_it_on - 14th June 2005 at 11:39
ummmm Money from the govts. maybe? and it still only has 3 customers..remeber no one was really thinking that Emirates would go with the dreamliner..airbus would never let that happen for a new aircraft..however qatar was a deal that slipped away after early speculalations that boeing had it in their pockets..a big up to airbus for that..however thats still 21 airlines to boeing (not including AI)and 3 to airbus..having that many airlines choose your aircraft over competition speaks volumes for your product.
By: sekant - 14th June 2005 at 09:54
If Airbus knew that they would record a fairly impressive number of orders for the A350 (ie Qatar and Emirates at least), how come the board did not give a green light for the programme to go ahead? What could hold them back??
By: skycruiser - 14th June 2005 at 09:50
Who knows?
Maybe they’re discounted as much as all those Ryanair B737-800s, eh? 🙂
and maybe the same as those Easyjet airbuses. 😀
By: rdc1000 - 14th June 2005 at 09:11
Whoa…..lighten up a bit, rdc! This isn’t an industry forum – most of us here are “outsiders”.
I’m sorry, I just get a bit passionate about certain things. I’ll take a chill pill 😎
By: Hand87_5 - 14th June 2005 at 07:41
Local news reporting 5 A380’s to be ordered by Kingfisher Airlines and approx 12 A350… in very near future.. the news was broadcasted on the Indian CNBC channel..
Heard some rumours about this from LBG as well.
By: Grey Area - 14th June 2005 at 06:38
Yeah, but O’Leary at least got some free t-shirts out of that deal….
LOL…. :D:D:D
Your comments have concerned me about people’s understanding of air transport :confused:
Whoa…..lighten up a bit, rdc! This isn’t an industry forum – most of us here are “outsiders”.
By: Himanshu - 14th June 2005 at 05:06
Local news reporting 5 A380’s to be ordered by Kingfisher Airlines and approx 12 A350… in very near future.. the news was broadcasted on the Indian CNBC channel..
By: KabirT - 14th June 2005 at 04:04
If only Air India could take notice… 😉
They went for what will suit them politically the most now and in the future. 😀
By: rdc1000 - 13th June 2005 at 23:53
Personally I would say that there are other destinations in Europe that could be more lucrative for a ME airline (not necessarily Qatar. Etihad, Emirates etc can do so too). For instance, AMS lacks a pax fligt from any ME airline. KLM has that market pretty much cornered. Only a fey freight services from Emirates and Qatar. In the past Jordanian and Kuwait used to fly here but they gave up.
AGAIN you’ve missed the point. You need to consider the availability of direct flights. DUS and MAN are good points to feed from because they have a relatively low number of long haul direct services. AMS on the other hand has loads of good quality direct services. KLM may have the AMS – ME market sewn up, but there is a good chance that there isn’t room for lots of airlines between these two points offering point to point traffic. And Emirates/Qatar are not likely to get too excited about routes from there because passengers are more likely to fly to Bangkok, Hong Kong, Singapore, Tokyo and a host of other destinations direct. I know these airlines operate into London, from where passengers can also do the same. But they do so because they use London as a point to offer transfer traffic to US services. Furthermore there is stronger demand between the ME and UK than most other points in Europe. Finally, there is a ‘shortage’ (I use inverted commas cos obviously the flights are not all full but there would be a lack of capacity at the right price were it not for these airlines taking passengers to their hubs from here) of reasonably priced seats to points all over the world from London.
If you actually look where ME hubs carriers tend to be growing their operations it is to/from regional airports, not the majors (again..they do operate from major airports I admit, but are growing their regional services). So in the UK, Emirates serves GLA, MAN, BHX. They also serve NCE in France, and DUS in Germany, all airports with otherwise relatively poor connections to Asia (Direct anyway). I work in aviation, including passenger forecasting for airlines/airports and believe that DUS offers great potential for ME carriers offering connections through their hubs.
As for Gulf Air, it’s operations have changed heavily since stakes have been sold and interest lost by certain parts of the Emirates. The airline remains the sole airline for Bahrain, a relatively strong destination in it’s own right. Furthermore the carrier has a different business strategy to Emirates and Qatar…they have not yet placed significant airliner orders either, choosing instead to strengthen their current business model.
By: US Agent - 13th June 2005 at 23:13
Who knows?
Maybe they’re discounted as much as all those Ryanair B737-800s, eh? 🙂
Yeah, but O’Leary at least got some free t-shirts out of that deal….
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June 13, 2005 at 12:08 pm