Feb. 20, 2018, © Leeham Co.: Boeing has displaced Airbus at Hawaiian Airlines, winning an order for 787-9s. Hawaiian canceled an order for six A330-800s, the only order on the books for this sub-type.
The campaign has been underway for months and the outcome was expected. Airbus offered to cut the price on the -800 and also offered the A350-900. The latter always was considered too big by carrier executives.
Boeing’s effort to displace Airbus A330neo at Hawaiian is part of an all-out, hand-to-hand combat campaign by Boeing to kill the A330neo program in advance of the potential launch of the Boeing 797.
LNC detailed the battle here.
Feb. 15, 2018, © Leeham Co.: Airbus’ plans to respond to Boeing’s prospective New Midrange Aircraft, aka 797, is a mystery to one of the industry’s leading aviation consultants.
Richard Aboulafia of the Teal Group notes that Airbus’ research and development investment overtly disappears after 2018, with the introduction into service of the A350-1000 and the A319neo.
Aboulafia spoke at Day 2 of the Pacific Northwest Aerospace Alliance (PNAA) conference in Lynnwood (WA).
He’s long compared R&D spending between Airbus and Boeing, often praising the former for its level of investment and criticizing the latter for lagging.
Now, Airbus’ level of spending is a question mark while Boeing’s is a comfortable level compared with revenue, Aboulafia says.
By Bjorn Fehrm
February 14, 2018, ©. Leeham Co: Norwegian Air Shuttle (Norwegian) is in an aggressive expansion phase. The airline is setting up as many low-cost routes as possible across the Atlantic, to gain critical market share before the competition gets organized.
Such expansion costs money, a rare commodity at Norwegian. The company presents its 2017 results Thursday. We analyze what to expect.
Feb. 13, 2018, © Leeham Co.: Skeptics who question Boeing’s market demand forecast of 4,000 airplanes for the New Midrange Aircraft aren’t thinking “outside the box,” says Randy Tinseth, VP Marketing.
Tinseth heads up the team that prepares Boeing’s annual Current Market Outlook for the next 20 years.
Boeing’s CMO forecasts a need for about 5,900 small twin-aisle aircraft (fewer than 300 seats but larger than single-aisle airplanes of more than 200 seats). About 4,000 of these are for the NMA.
Others, including Airbus, Pratt & Whitney, Rolls-Royce and some key suppliers see the market as between 2,000 and 2,500. Leeham Co.’s own estimate is 2,300.
Feb. 13, 2018, © Leeham Co.: A Boeing official today dismissed concerns that expanding Boeing Global Services, with additional controls on aftermarket support for commercial airplanes it builds, might negatively impact potential sales.
Several airlines, including Delta, Singapore, Lufthansa, Air France-KLM and some Chinese carriers, operate their own MRO facilities that not only maintain their own fleets, but offer services to other airlines.
Kevin Michaels, president of the consulting firm AeroDynamics, expressed concern that Boeing’s tighter control of aftermarket parts is already leading to customer satisfaction issues at some airlines. He also said Boeing might lose airplane sales to Airbus if it is unwilling to grant MRO rights to the maintenance facilities of those carriers that operate them.
Michaels made his remarks at the annual conference of the Pacific Northwest Aerospace Alliance.
Feb. 13, 2018, © Leeham Co.: Boeing’s drive to dramatically increase its aftermarket business, competing with suppliers or even controlling the parts needed by airlines for maintenance, repair and overhaul operations have a risk, says an industry consultant.
Kevin Michaels, president of AeroDynamics, said Boeing potentially could lose airplane sales if it takes too hard an approach to controlling aftermarket parts.
Michaels appeared at the 2018 annual conference of the Pacific Northwest Aerospace Alliance (PNAA) today in a Seattle suburb.
Feb. 2, 2018, © Leeham Co.: It was 15 years ago yesterday that the Space Shuttle Columbia broke apart over Texas and Louisiana as it reentered Earth’s atmosphere following a mission.
At a time when the Federal Bureau of Investigation is under siege in the US, it’s easy to forget that the agency routinely plays a role in aerospace investigations.
The FBI played a crucial role in the Columbia investigation. Agents—more than 500 of them at one point—helped identify pieces of the debris, enabling NASA to determine where on the Shuttle the pieces belonged.
The FBI also played a crucial role in identifying remains of the seven astronauts who died in the disaster.
The story may be found here.
By Bjorn Fehrm
January 31, 2018, ©. Leeham Co: IBERIA will be the first airline to get the upgraded Airbus A350-900. The airline presented the news at the Fitur 2018 International Tourism Trade Fair in Madrid.
The airline’s first A350-900, delivered in June, will be the first A350-900 featuring the aerodynamic improvements we presented in October.
Special to Leeham News
By Jack Dutton
Jan. 25, 2018, © Airfinance Journal, Dublin: The opacity of the industry in regard to asset prices is one of the main challenges for aircraft lenders and investors, according to a panel of investors speaking at the 20th Annual Global Airfinance Conference in Dublin.
“The lack of transparency on pricing is your biggest challenge as an aircraft lender or holder. The leasing companies were in the best position to hold good pricing information,” said David Andrews, managing partner of transport, Hudson Structured Capital Management.
There is little impact for either company in the near term. Single-aisle lines for both companies are sold out until the early 2020 decade, so any price hikes today will be reflected for sales will deliveries after the current backlog clears.
The wide-body lines could have better near-in returns; the backlogs aren’t as far out as single-aisle and near-term opportunities exist.