Boeing and Airbus achieve 800 deliveries for 2018

By Bjorn Fehrm 

Jan.  9, 2019, © Leeham News: Boeing delivered 806 aircraft during 2018 while Airbus delivered 800. Both manufacturers missed their 2018 targets, Boeing by 10 aircraft and Airbus by 20 (as the A220 was not included in the original guidance of 800 deliveries for 2018).

Both OEMs struggled with engine deliveries to their best-selling 737 MAX and A320neo. Airbus added A330neo Trent 7000 delivery problems to the mix.

Boeing celebrates the 10,000th 737 delivery to Southwest March 2018. Source: Boeing

Read more

Airbus poised to out-deliver Boeing in 2019

Subscription Required

  • LNC’s Corporate and Enterprise subscribers received this Jan. 3.

Jan. 8, 2019, © Leeham News: Airbus is positioned to out-deliver Boeing this year, boosted by the addition of the Bombardier CSeries acquisition last year.

LNC projects that Airbus will deliver nearly 950 airliners this compared, compared with Boeing’s projected deliveries of about 890 jets.

These are LNC forecasts, not those of the manufacturers. Guidance for the year should come on their respective year-end earnings calls: February for Airbus and Jan. 30 for Boeing.

Read more

2019 Outlook: ATR begins year in commanding position

Subscription Required

Introduction

Jan. 7, 2019, © Leeham News: ATR, the turboprop airliner OEM, enters 2019 in a commanding position.

Year-end 2018 order numbers for ATR and rival Bombardier aren’t in yet.

Through October, ATR held 74% of the backlog. Bombardier, buoyed by a large order for 25 Q400s from India’s SpiceJet (the 2027 deliveries in the Chart below), had 26% of the backlog.

Bombardier contracted to sell its Q400 program to Longview Capital Partners, parent of Viking Air. The Canadian company previously purchased all legacy de Havilland programs, including the Beaver, Twin Otter and aerial firefighting aircraft.

Viking restarted production of the Twin Otter and is gearing up to restart the Beaver.

Its plans for the Q400, Q300 and previous Dash 8 programs hasn’t been announced.

Summary
  • Bombardier neglected the Q400.
  • Small market over 20 years.
  • ATR would like new program.

Read more

2019 Outlook: COMAC’s slow but steady progress

Subscription Required

Introduction

Jan. 4, 2019, © Leeham News: This is not the year where China’s COMAC will have break-out progress for the C919, its challenge to the Airbus A320 and Boeing 737.

Flight testing is slow and entry into service (EIS) is now targeted for 2021—a slip of five years from the original schedule.

The C919 launch-to-EIS is approaching the eight years record of the ARJ21.

But these delays don’t mean COMAC isn’t making progress.

Summary
  • Boeing’s JV with COMAC for a 737 completion center opened last month.
  • Despite delays, the C919 progresses.
  • Progress continues on the JV with Russia for the CR929.

Read more

KKR invests $1bn in small lessor

Jan. 3, 2019, © Leeham News: The US private equity fund KKR agreed to invest $1bn in boutique lessor Altavair, a deal that includes taking a 50% stake in the company.

KKR may supplement the investment with additional commitments, the companies said.

Read more

LNC’s Top 10 stories in 2018

Jan. 2, 2019, © Leeham News: Boeing dominated the Top 10 news stories last year, as measured by views.

Displacing Airbus at Hawaiian Airlines, which ordered the 787-9 and canceled the A330-800, led the readership.

Boeing’s flip of the Hawaiian Airlines order for the A330-800 to the 787-9 was the most read story of 2018. Photo: Hawaiian Airlines.

Airbus’ launch of the A350-900ULR came in second.

Here are the Top 10 stories on Leeham News for 2018: Read more

2019 Outlook: Will Bombardier exit Commercial aircraft?

Subscription Required
Introduction

December 27, 2018, © Leeham News.: In July the CSeries changed from Bombardier to Airbus and in November the Q400 program was sold to Viking Air, the buyer of de Havilland Canada aircraft from Bombardier like the Twin Otter and the water bomber CL415.

When the Viking Air deal closes in the second half of 2019, only the CRJ regional jet will make up Bombardier Commercial Aircraft. Will the CRJ stay with Bombardier or go? And if so, why?

Summary:
  • With other divisions increasing revenues amid healthy margins, the loss-making Commercial Aircraft’s time was up. It’s future hope, the CSeries, was digging an ever deeper cost hole with each delay. Only a market success could save it.
  • The Boeing trade complaint in April 2017 made a success far-fetched, sealing the fate not only for the CSeries but for the Commercial Aircraft division.
  • With the CSeries at Airbus and Q400 at Viking Air, why keep the CRJ? It makes no sense. The CRJ is presently dressed for sale. Now it’s more a question to whom and when.

Read more

2019 Outlook: Boeing’s decision on NMA is the headline to watch

Subscription Required

Introduction

Dec. 21, 2018, © Leeham News: It is a stretch to say 2019 is a pivotal year for Boeing.

There would have to be events of tsunami proportions to be pivotal for a company with revenues of more than $90bn.

But there is no doubt 2019 will be a very important year for Boeing.

Summary
  • The headline to watch will be the widely anticipated launch of the New Midmarket Aircraft, also called the 797.
  • The 777X begins flight testing next year. Sales are stalled for the newest airplane of the Boeing family.
  • The proposed new joint venture between Boeing and Embraer is expected to be consummated by the end of the year.

Read more

2019 Outlook: Airbus corruption probe

Update to Outlook 2019: leaving Airbus’ troubled year behind.

Dec. 20, 2018, (c) Leeham News: The French newspaper Le Monde reported that Airbus may face billions of dollars in fines over the US probe into bribes and corruption.

The US probe is an outgrowth of the 2016 investigation begun in the UK and continental Europe over bribes and the use of third parties in sales of commercial and military aircraft. Airbus self-reported violations to authorities, triggering the investigations.

The US investigation began at the end of 2017.

According to the news article, Airbus could be banned for five year from civil and military contracts in the US.

In response, Airbus issued the following statement:

Read more

2019 Outlook: leaving Airbus’ troubled year behind

By Bjorn Fehrm

Subscription Only

Introduction

December 19, 2018, © Leeham News.: Next year is a time when Airbus hopes to leave its troubled 2018 behind.

But 2018 was also when the company wanted to leave the troubles of 2017 behind it.

Not only did 2018 not improve. In a number of ways it turned worse.

Engineless A320neos at Toulouse Airport. Airbus hopes this is a thing of the past. Photo via Google images.

Turmoil in the management ranks brought back memories of the politically infested Airbus of 20 years ago. And there were other issues.

Production problems with the A320 continued. The A330neo was further delayed and the A380 order from Emirates to save the program took forever to materialize. The negotiations to fix the contracts for A400M couldn’t be brought to a close.

There were two bright lights in the year. The A350 was now out of its cabin supplier problems and delivering aircraft to plan. The other was the gift from Boeing’s suing Bombardier and its CSeries the year before. The top modern Bombardier CS100/300 became Airbus A220 on the first of July. Price tag; $1 for 50.01% of the program.

Summary
  • Changes in executives are almost over.
  • Pratt & Whitney’s engine delivery delays are caught up and CFM’s delays are diminishing.
  • Production ramp ups are peaking (for now) and deliveries should be at a record rate next year.
  • Airbus is waiting for Boeing to decide whether to launch the New Midmarket Aircraft.

Read more