Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
- Boeing wants to remarket China’s airplanes. It’s costly and time consuming. April 28, 2025
- Bjorn’s Corner: Air Transport’s route to 2050. Part 19. April 25, 2025
- How good is the C929? Part 2. April 24, 2025
- Boeing First Quarter Results Update: China is 10% of the backlog, with 500 in “Unidentified” April 24, 2025
- Boeing First Quarter Results: Tariffs, Return flights, $10.55bn asset sale April 23, 2025
Pontifications: ExIm reform
By Scott Hamilton
July 6, 2015, © Leeham Co. The US ExIm Bank authorization expired last week. As readers know, I’m a strong advocate of renewal of the authorization. Boeing, and other companies, hope reauthorization can be achieved this month.
I won’t restate the reasons I think ExIm should be reauthorized, nor my utter disdain for the right-wing Republicans and Tea Party types who don’t get that the Bank helps Boeing sell airplanes and sustain or create jobs. I’ve written about this many times, and the competitive disadvantage Boeing will have vs Airbus, whose European Credit Agencies will take full advantage of this.
But there are some points on the “other side” to revisit.
LEAP, the best of 1,000 investigated alternatives.
By Bjorn Fehrm
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Introduction
June 23, 2015, © Leeham Co. CFM International went through 1,000 iterations before settling on the final design for the LEAP engines that will power the Airbus A320neo, the Boeing 737 MAX and the COMAC C919.
In an interview with us at the Paris Air Show, CFM LEAP program manager Gareth Richards explained the macro process of the development of LEAP, CFM’s sequel to CFM56. This will be the largest turbofan engine program in the history of civil aviation and the follow on to the world’s most-sold turbofan, the CFM56.
Richards focused on how an engine like LEAP gets designed and what the trades are that a single aisle, short haul engine has compared to long haul engines.
LEAP is sharing the A320neo platform with Pratt & Whitney’s GTF but is sole engine on the 737 MAX and the C919. This will lead to engine production rates five years into the program of 1800 engines which is higher than the present rate of CFM56 deliveries.
Dependant on rate increases by Airbus and Boeing, this can increase beyond 2,000 engines per year after the initial ramp. It would make LEAP the largest civil turbofan program whichever way one counts: engines, installed thrust or revenue.
Summary:
- Research of optimal engine cycle was extensive, with more than 1,000 alternatives investigated before settling on the final LEAP cycle.
- The production ramp is the fastest ever, from 30 engines 2015 to 1,700 by 2019.
- While CFM does not want to ramp faster than planned, final production rate is flexible.
- The large volume of sold engines, the fast production ramp and the short-haul cycle makes for a conservative approach to performance.
- We discuss with Richards how such a program is managed and how you make sure you can deliver on promises.
Airbus COO faces production challenge vs bulging order book
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Now open to all Readers.
Introduction
June 15, 2015, Paris Air Show, c. Leeham Co. Airbus, like Boeing, is faced with an embarrassment of riches: too many 
orders for the A320 and A350 production rates that have been announced. There’s pressure from the top commercial officer to hike rates, but the president and chief operating officer says not so fast.
Tom Williams was elevated to the presidency only a few
months ago from his position as EVP-Programs, where he was in charge of production and the Airbus supply chain. Williams, a Scotsman and the first non-French or non-German to be president and COO of Airbus Commercial, ruefully observes he didn’t give up the production and supply chain duties with his new title.
Although Williams agrees with John Leahy, chief operating officer-customers, that demand indicates higher rates are needed for the A320 and A350, the demands on the supply chain for Airbus, as well as the other airframers, also demands caution.
- Summary
- Decision end of this year or early next on A380 production rates.
- A380neo launch aid reported—but it’s premature.
- No decision yet on greater than 50 A320 production rate per month.
- Pondering hike in A350 production rate beyond the 10/mo announced.
- Cabin suppliers a top concern.
Pontifications: re-engining airliners and the A380
By Scott Hamilton
June 1, 2015, c. Leeham Co. The Paris Air Show begins in two weeks. One thing that won’t happen is the launch of the Airbus A380neo.
We still think it will happen, though at a later date.
Re-engining the A380 is highly controversial. The A380 is the plane critics love to hate. You can argue whether it should have been built in the first place. You can argue whether it was 10 years too soon. You can argue whether Airbus misjudged the size of the market. You can even argue its passenger appeal. I haven’t flown on the A380 yet, so I can’t speak from personal experience on the latter. I’ve previously discussed the other points.
You can argue whether the airplane should be re-engined. Leeham News concluded in January 2014 Airbus really had no choice but to re-engine the A380 if it wants to continue offering the model. If done inexpensively (a relative term, to be sure), it makes sense given the arrival around 2020 of the Boeing 777-9. It’s when design creep happens that trouble arises. Just ask Boeing on the 747-8.
Emirates Airlines says it will buy up to 200 A380neos if Airbus proceeds. Qatar Airways expresses interest. Lufthansa Airlines said a neo is needed to keep the A380 viable in the future, though it hasn’t taken the next step of saying it will buy more.
Re-engining is hardly new. Let’s take a look. Read more
Paris Air Show: Qatar and others
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Introduction
June 1, 2015, c. Leeham Co. It could be called the Qatar Airways Air Show.
Qatar Airways plans to have five airliners on display at the Paris Air Show in two weeks: the Airbus A319, A320, A350, A380 and the Boeing 787. The carrier hasn’t 
announced whether it will provide an aerial display as it has at previous air shows, but Qatar may well have more airliners there than Airbus or Boeing.
As for manufacturers other than Airbus and Boeing, we don’t expect anything of consequence from these.
Summary
- Irkut, COMAC, Mitsubishi, Sukoi and ATR are other major aircraft producers that will be at the Paris Air Show.
- Engine makers CFM International, GE Aviation, Rolls-Royce, Pratt & Whitney and Engine Alliance will also be there.
- An update on Airbus expectations.
Bjorn’s Corner: Airbus Innovation days, activities and program updates.
By Bjorn Fehrm
Introduction
28 May 2015, C. Leeham Co: I am in Toulouse today attending Airbus Innovation days for Leeham News. It has been a good day’s briefings and I have presented what was perhaps the biggest change since we last met Airbus in the article “Airbus A350-1000 getting real”.
Apart from this program, there were more standard updates on Airbus other activities and programs. Here follows a rundown on these updates in a more paraphrased form.
CFM LEAP-1B enters flight testing
May 7, 2015: The CFM LEAP-1B has entered flight testing on GE’s company-owned Boeing 747. The engine is for the Boeing 737 MAX. Aviation Week has a story and one section in particular caught our eye, as it relates to the controversy over the test results of fuel consumption.
“When we build development engines they are heavily instrumented and built to accomplish extreme test conditions and durability,” he explains. “They are intentionally deteriorated and have open clearances because they are built for the ‘corner point’ in the test effort. We do pre-test predictions and we are within 0.5% of every one, so we are right on track. We fully expect to be right on our commitment as we enter into service.”
Aspire Aviation reported last month that the LEAP-1B was coming up 4%-5% short, a huge number that Boeing immediately denied; CFM declined comment at the time. Airline Economics later reported the same figure. Our information from our sources was conflicting: we were told by one that the shortfall was 2%, a figure we had been hearing for some time and which was characterized as not unusual at this stage; and one other that reported the 4%-5% figure. There it sat. We did a “what-if” analysis of the effect on the MAX at the 2% and 4% numbers.
Last week, we received a clarifying explanation that appears to track with the Aviation Week article and the excerpt above. We were told that the 4%-5% number came from a test stand test in which the tolerances of the engine were much looser than the optimal performance engine. The clearances, we were told, were not to specification–and the result was the 4%-5%.
The higher level game
By Bjorn Fehrm
Introduction
May 4, 2015, c. Leeham Co. The other day one of our readers asked something along the lines, “now that Airbus has the A320neo 20% more efficient than today’s A320, how shall Boeing’s 737 MAX fair in the market? It is only 15% more effective and there are question marks around the LEAP-1B?”
This made me realize that marketing works. I decided to write about the phenomenon that the OEMs seem to find further improvements all the time and how these continually higher improvements seem to work beyond the physical laws as we know them.
The answer boils down to the fact that there is more than meets the eye around how much fuel an aircraft uses to transport people from A to B. In fact, the OEMs’ marketing departments excel within the complexity of the task and can always find a way to say “my mousetrap has now improved another x% and is therefore Y% better than yours”.
To cut through these marketing moves one need a bit of background and first grade math. Let’s see how they do it. Read more