Emirates Cancels A350 order

There’s a lot to this I don’t understand.

Firstly, I believe the A330NEO has just been announced. Why is such an aircraft necessary with the A350 programme? Surely the latter can do (or be made to do) anything an A330 NEO could? If it can’t, hasn’t someone messed up badly?

Secondly, doesn’t the A350-1000 compete with the B787-10 rather than the B777X? If there is an overlap and the B777X is a better aircraft, then, surely, the B787-10 will also lose out to the B777X?

Thirdly, if Airbus doesn’t have a competitor to the B777X, can it not make one, say, the A350-1200?

Finally, I think the A380 is ok in its sector. The fact of the matter is that it is far superior to anything else flying on ultra long-haul in terms of comfort. I go to NZ regularly and, for that distance, I won’t fly anything else. B777’s are very cramped in comparison.

LOL Nobody is surprised..Tim Clark ordered them in order to put pressure on Boeing to go ahead with 777X …He doesn’t need Airbus order anymore .Futher cancellations are expected ..777X kicks A350-1000’s butt badly.

Hmmm, but if Emirates are turning record profits and revenue (as Dxb Driver has said) and the A380 is a massive part of their fleet – does your statement add up?

It looks like the A380 cannot be exploited by all airlines, indeed, perhaps it can only be exploited by a few – but those that can are benefiting from it.

yes you’re right to correct me .But now it seems you’ve also over-corrected me.

The tiny problem is that, as you said, it’s an airplane that only a few airlines can exploits with benefits. This was not in the design objectives nor is something seen in the industry as a criteria of success. But it has its own pathway for sure.

Regarding the benefits on a specific plane, don’t forget that Airbus is also “cashing black box”. Invest, order in large, pull out some cash. Raising the profits can be seen as an incentive marketing argument. That and an “over-favorable” taxing model.

As far as Airbus goes, it will take a long time to make a profit…but that doesn’t seem to worry anyone…as it seems to be as much about creating jobs as airplanes.

That is a bit of a fallacious argument.

Every other major aircraft manufacturer is acutely aware of retaining their skill-set; so will try to run enough programs continuously to keep people, and thus the skills, within their company. Depending on the size of the company, the scale of the programs will vary.

For Airbus, see A330/A340 -> A380 -> A400M -> A350 -> A30X

For Boeing, 777 -> 767-400 -> 747-8 -> 787 and now 777X. [I’ll leave out the sonic cruiser]

Bombardier and Embraer are smaller, and thus run smaller programs, such as the CRJ-1000 to keep their engineering divisions active and fresh.

Yes, Airbus probably should have targeted the space where the 777x is going instead of the A380, but there is much more to running a large aircraft company than pure profit on any one given program.

Every time I’ve been on an Emirates A380, it has been packed but they do seem to have some odd route combinations so one does sometimes wonder about seat utilisation.

A shame about the A350s but I’m certain Airbus will manage to flog them to someone else. The programme itself seems to be doing quite well with around 750 orders.

As far as Airbus goes, it will take a long time to make a profit…but that doesn’t seem to worry anyone…as it seems to be as much about creating jobs as airplanes.

That’s a bit harsh… The A380 development was very ambitious (i.e. costly) but they delivered a good airplane that sells well and will become more and more profitable as construction costs ramp down. In fact, Airbus is eyeing doubling its profit margins!

Airbus on Track to Double Profit Margin by 2015

It looks like the A380 cannot be exploited by all airlines, indeed, perhaps it can only be exploited by a few – but those that can are benefiting from it.

I think that was pretty clear from the beginning. It’s a great aircraft for some routes. For daily or even more infrequent hauls between major cities, it fits the bill. If you have several flights a day…a smaller twin makes more sense.
Still, it would be interesting to know if its operating costs are in line with projections and its reliability.
As far as Airbus goes, it will take a long time to make a profit…but that doesn’t seem to worry anyone…as it seems to be as much about creating jobs as airplanes.

For example, the 380 is popular among passengers but not that much among shareholders.

Hmmm, but if Emirates are turning record profits and revenue (as Dxb Driver has said) and the A380 is a massive part of their fleet – does your statement add up?

It looks like the A380 cannot be exploited by all airlines, indeed, perhaps it can only be exploited by a few – but those that can are benefiting from it.

What is their average A380 load factor?

I’ve wondered that. The other week I was outside and I saw a 4-engine jetliner pass at altitude.
Through my binoculars I could see it was a 380. I checked on Flightaware and found out it was a Emirates 380 doing a nonstop between LA and Dubai.
Considering I’m 1200 miles N of LA, I was a bit surprised.

I’m hearing rumours that some parties (i.e. U.S. airlines) might be concerned about Emirates (among others) and their growth, or the potential for it, given their resources. Much expansion going on these days?

Emirates and alike are transforming a raw product (oil) into a manufactured one (air travel). They naturally have the leads here and plenty of cash flow.

Until descent administrative and managerial decisions are taken to put back US airlines in the cost cutting race (in fact that not really just cost 😉 ), the trend will not ends.

For example, the 380 is popular among passengers but not that much among shareholders.

I’m hearing rumours that some parties (i.e. U.S. airlines) might be concerned about Emirates (among others) and their growth, or the potential for it, given their resources. Much expansion going on these days?

The 380 is hugely popular with pax, if you have tried it you will understand. The 350 will be a great aircraft, it just won’t fit in with the current plans as they stand.
The 340s will be going within the next 3-4 years, the -500’s are fuel guzzlers, with oil at its present price. A great aircraft, but too much of a niche aircraft.
The 340-300s are good on the routes they are used on, and like the 330’s are gradually leaving the fleet.
The 777’s are still being delivered, and new ones are starting to replace the older -200 and -300s.

Emirates posted yet again record profits/revenue for the 2013/14 FY. Plenty of $$$ in the bank.

DXB Driver.

What is their average A380 load factor?

Ordered 2007 and deliveries were due 2019,they must have realised crystal balls don’t work.

Any idea why?

Leahy: Because they are looking larger aircraft, hence the A380 order.

Reality: Not every route is good for 400+PAX in the frequency desired. Thus –
Is he A350 not as good as they hoped?
Are Emirates not as cash rich right now as you would think?
Or do they not see themselves growing as they had previously thought?

Emirates have ~35 A330/A340s… what is replacing them?