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$125 million price tag for 7E7

Boeing plans to sell the new baseline 7E7 at similar pricing to the list price of the 767-300ER, or about $125 million per copy, VP-Marketing Randy Baseler said here at Asian Aerospace. That figure is viewed as being below expectations for an airplane that will not enter service before 2008.
Key to the pricing, according to Thomas Waggener, 7E7 marketing director, is the significant cost savings in the manufacturing process. Boeing executives have been touting massive savings in production costs for new commercial programs from experience gained on military programs such as the Joint Strike Fighter.
Engine selection on the 7E7 will be made in the spring, but Waggener indicated to ATWOline that two engines will be chosen. “None of the engine makers want three engines on this aircraft,” he said.
Boeing also is looking at becoming more involved in leasing the 7E7 to airlines through Boeing Capital. On the possible conflict with key leasing companies GECAS and ILFC, Waggener was coy on what effect the manufacturer’s increased presence in the leasing market might have: “There are some advantages and some negatives and we are exploring a range of possibilities.”
At the same time, Star Alliance executives have told ATWOnline that the 15-airline grouping is formulating plans for a standardized version of the 7E7 for the alliance should members decide to order it.
Boeing still sees two versions of the Dreamliner–the standard version seating around 200 in a three-class configuration with a range of 7,800 nm (14,445 km), and the SR with the same fuselage dimensions but seating up to 300 in two classes with a range of 3,500 nm (6,480 km). Ultimately, the company anticipates stretching the standard version to carry 20% more passengers.

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By: Bmused55 - 26th February 2004 at 09:48

Notice the change in Boeing?

They have a new CEO and suddenly, they’re getting aggressive with their prices.

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By: mikeconnell - 26th February 2004 at 09:40

Originally posted by Matthew Murray
I’m sure you could get Airbus to knock-off a few million for you though….

Boeing too, probably.

Mike

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By: robc - 26th February 2004 at 09:34

I wonder whether the weak dollar will help Boeing, because thats the idea of depriciating their currency to increase exports.

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By: wysiwyg - 25th February 2004 at 20:44

Originally posted by skycruiser
hell if that’s the price…I gonna get me one of those.

On your salary you can buy me one too!

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By: Jeanske_SN - 25th February 2004 at 17:56

Hmm! In that case, if I had an airline with enough money, I would prepay them and order. Are there already a few airlines interested? I’m actually very sure that clean Scandinavians would order them, but they just received A330s:(.

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By: mikeconnell - 25th February 2004 at 17:51

Originally posted by Jeanske_SN
321 is £58m… It’s just a few meters more fuselage and four more doors.

At this morning’s exchange rate a 7E7 would be £65M!!!

I think that’s cheap.

Bear in mind that this rate won’t last forever though.

Mike

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By: Jeanske_SN - 25th February 2004 at 17:48

321 is £58m… It’s just a few meters more fuselage and four more doors.

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By: skycruiser - 25th February 2004 at 15:57

hell if that’s the price…I gonna get me one of those.

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By: mikeconnell - 25th February 2004 at 12:53

Originally posted by Bmused55
If that price sticks, thats gonna be one heck of a bargain

Yes it is. If its operating costs are as Boeing claim too, I would say the A320 series has some serious competition on its hands too. Maybe the LCCs will also be a big customer.

Conspiracy type theory:

This price and the end of production of the 757 are linked – Too many newer 757s around at introduction would abstract from early 7E7 sales, while this price forecast will help avoid the A321 becoming the standard 757 replacement in the meantime.

If so, this is smart business on Boeing’s part imho. Look forward to seeing Airbus’s reaction.

Mike

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By: Bmused55 - 25th February 2004 at 12:47

If that price sticks, thats gonna be one heck of a bargain

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By: T5 - 25th February 2004 at 12:43

Based on the current exchange rate between the Pound and the Dollar, that’s an absolute bargain! 😀

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By: mikeconnell - 25th February 2004 at 12:38

Hmmm,

Against about £148M list for an (admittedly larger) A330-200 this seems pretty good value as an A-310 / 767 replacement.

Mike

Edit: [u]$[/u]148M.

Oops

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