Emirates has $9billion order


Well-Known Member
Dubai airline poised to unveil massive £9bn aircraft order
From Russell Hotten at the Paris Air Show

ONE of the biggest aircraft orders in history will be made today when the Dubai-based Emirates airline unveils plans to purchase £9 billion worth of aircraft.
Airbus, the European aircraft maker that employs 10,000 people in Britain, will be the biggest beneficiary of the deal, with Emirates ordering 23 of its 550-seater A380 super-jumbo jets.

Emirates, largely unscathed by the impact of recession, Sars and the Gulf War, is also expected to order ten long-haul Airbus A340-600s and 26 Boeing 777-300s. The deal will help to lift the gloom around the beleaguered aerospace industry. It will also have a significant ripple effect on British industry: the wings for Airbus aircraft are made at Filton, near Bristol, and Broughton, North Wales. Rolls-Royce will be a contender to supply at least some of the engines. Component firms, such as GKN and Smiths Group are also sure to benefit because they are key suppliers to Airbus.

Emirates had already ordered 22 of the A380s, a new-generation double-decker aircraft that can be fitted out with business centres, entertainment facilities and showers. The aircraft is due to enter service in about 2007 and Emirates wants the aircraft to help to meet Dubai’s ambitious plans to attract ten million tourists a year by 2010.

It is believed that Qatar Airways, another successful Middle East airline, is also putting the finishing touches to an aircraft order. To date, Qatar has used only Airbus aircraft.

In total Airbus already has 103 firm orders for the A380, including from Richard Branson’s Virgin Atlantic, Singapore Airlines, and leasing and cargo companies. Boeing, Airbus’s arch-rival, abandoned its own plans to produce a super-jumbo, believing that there was not the market to support the billions of pounds of investment needed. The A380’s development costs are about £10 billion, with about 20 per cent of that thought to come in aid from European governments.

Noel Forgeard, Airbus’s chief executive, declined to comment yesterday on the Emirates deal, saying that it was up to airlines themselves to decide “when and what” to say about contracts.

But M Forgeard reiterated forecasts that Airbus would deliver 300 aircraft in 2003, meaning it would overtake Boeing for the first time in its history. Boeing expects to deliver about 280 aircraft, and analysts had widely expected that Airbus would be forced to lower its target of 300.

The Emirates order is also good news for Boeing, but the size of the Airbus deal will take the shine off the contract for the US manufacturer.

Boeing is concentrating on developing smaller-sized aircraft, although it was forced to scrap plans for its Sonic Cruiser last year because of lack of customer interest. It is now concentrating on a mid-market 7E7, which Alan Mulally, chief executive of Boeing Commercial Airplanes, said yesterday should receive its first launch customer early next year.

Mike Turner, chief executive of BAE Systems, yesterday attacked the Private Finance Initiative, saying “it was not working and in some cases was a waste of money”. His comments appeared to go further than those of Sir Richard Evans, BAE’s chairman, who last week said PFI was not always an ideal way to run defence contracts. BAE is negotiating a PFI contract to supply Hawk training aircraft to the MoD.
BAE later said Mr Turner was not talking about PFI in general, but only about the Hawk issue. Mr Turner also disclosed that BAE is renegotiating two joint ventures, with Finmeccanica in Italy and STN in Germany.
But M Forgeard reiterated forecasts that Airbus would deliver 300 aircraft in 2003, meaning it would overtake Boeing for the first time in its history.

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Yeah, we are so going to show the French by minimizing our involvement at the Paris Air Show...
The A380’s development costs are about £10 billion, with about 20 per cent of that thought to come in aid from European governments.

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Must be nice.

With 124 orders for the A380, what in the heck was Boeing thinking that there wasn't enough interest for a jetliner larger than a 747?

I personally wouldn't fly on an A380.
Talk is cheap until hard money and ink gets put on the deal........Does anybody here REALLY want to take a trip to the UAE????? Maybe there is a couple folks, but I doubt enough people internationally to fill up 20 something BIG ASS PLANES!!!!! Does anyone know if there is some sort of MAJOR religious (muslim, jew, christian) draw to any of the middle eastern countries listed in the article??? What IS the draw????????????
Jake- Well Emirates has been a success story from the beginning. The airline started with private funding from a Arab Sheihk. He went looking for the best managers in the business and I have to admit found them in Mr Flannagan and his staff. My dad started flying for them in 1987 until 1999 and loved every minute of it. They started out with a modest fleet of B727's and A310's. Now they have grown to an averag age fleet of just under four years, consisting of A330's, B777's, A300/310's, not to mention orders for another 50 some odd A380's, 23 B777's, A number of A340-500/600's. I traveled back and forth while my dad worked for the airline and I must admit, dubai is another world. There is soo much business and activity going on over there. The airline has seen nothing but success and has won awards year after year for service and class.
I would love to one day be flying for them (will never happen)when they start their north american (SFO/DFW/LGA)service next April.
You mentioned that not many people would go to the UAE, that is true, however it is very popular among people from any country except the US, and most people that do know about the place that are from here are mostly from the upper class/celebrities/politicians. They had Clinton giving speeches for a while there last year.
The main language spoken is English, theres McDonalds and Burger Kings around every corner, they have shopping centers more modern than any where in the world filled with Macy's /Robinsons May/ Saks Fifth Ave. Ikea, Johnny Rockets....etc etc. the list goes on and on. Its basically a mini USA. Very popular spot among US military personel.
Does anybody here REALLY want to take a trip to the UAE?????

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I do--Dubai is supposed to be really amazing.
come in aid from European governments

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If you think about it.....its no different than our gov't buying Boeing and Lockheed???? They subsidize directly, we buy their products which is subsidization in another form.
Hey Mrivc211:
Why would you never be able to fly for Emirates? I heard there are American pilots there. And also, they will be starting service within the US? And LGA? LGA is not known for big international heavies. Anyway, I've been interested in them for a while now. Just read a very interesting article about a guy who went through there 777 FO training. Cool paint scheme as well.

You cant fly driect from LGA to anywhere outside of a 1500nm radius. I doubt Dubai would be included in that.
My buddy is a 777 first officer with Emirates, he says that they fill the airplanes & during the Hodge, all flights are packed. At one time Emirates was talking of "2" airplane types, 777 & the A380, guess things change.

By the way he said that Dubai is a nice place, he is living in a high rise and really enjoys it over there. Pay is good, & the company pays for his place....

OF COURSE the US Government is going to buy from Lockheed and Boeing. This is hardly subsidizing. The US Government buys from Lockheed and Boeing for the same reason that virtually every state/city/town government buys only American cars (for example). When was the last time you saw a Saab Police car in the US? And GM owns Saab!

Governments all over the world support their own industries. This is ensuring that their own people have jobs. This is a good thing. I would expect that various European government (specifically their militaries) would probably buy Airbus equipment. It is my hope that they would give Boeing a fair and level bargaining table though.

I'm simply saying that Airbus is directly subsidized (as much as 20% from what I've read) by various European governments and that allows them to undercut Boeing time and time again. Yet when the US Government leased a whole bunch of 767-based tankers from Boeing it was Airbus that screamed unfair.
I can't remember where I saw it posted, but there is a BIG difference in the way Airbus and Boeing take and announce orders. With Boeing a customer has to place a downpayment on the aircraft, Airbus does not require that. That tends to play in the huge numbers of orders that Airbus gets. Airbus has been taking more orders than boeing for several years now, but Boeing has been delivering more aircraft (although that may change this year).

Also hurting boeing is the development of the 7E7. It represents an abandonment of the 757/767 program. Nobody is going to place a large order for the mid-size Boeings because they are dying aircraft. However after the 7E7 is presented to the market, with figures and such, you will see an increase in orders for Boeing.
L1011...........ahhhh, i did see SAAB's PD cars in Aspen last weekend.... just messing withca : )