Aug. 30, 2021, ©Leeham News: The agreement last week between IAI and Etihad Airways to open a Boeing 777-300ER P2F conversion line in Abu Dhabi gives a major boost to the burgeoning program.
In addition to the history-making tie-up between an Israeli company and the United Arad Emirates, and a commitment by Etihad to convert 777s to freighters with IAI, the move is a major coup for IAI to win other Arab airline business.
IAI and the former GECAS, which was acquired by AerCap, launched the first 777 P2F program in 2019. GECAS ordered 15 conversions of the -300ER and optioned 15 more.
By Scott Hamilton and Vincent Valery
Feb. 1, 2021, © Leeham News: There are now just 191 firm orders for the Boeing 777X.
Boeing last week reclassified 118 777X orders from firm to iffy (LNA’s term) due to the accounting rule called ASC 606. There were 17 iffy 777 orders before last week. The ASC total is now 135. After the adjustments, Boeing confirmed to LNA there are 191 firm orders for the X, down from 309 previously.
ASC 606 essentially requires contracts with customers that may be unable to take delivery due to their financial condition. Alternatively, an order can receive such classification if the seller has strong reasons to believe the transaction won’t materialize, despite the customer’s ability to pay.
Oct. 5, 2020, © Leeham News: Even as Boeing works its way through the final days of the 737 MAX grounding and how to survive the COVID-19 crisis, it’s working on greener aviation.
LNA already reported how Boeing views the prospects of hydrogen, hybrid and electric power. Another article discusses Boeing’s work in disinfecting airplanes to combat COVID.
Here are some other areas Boeing is working on.
Second in a series.
By Scott Hamilton and Vincent Valery
June 24, 2020, © Leeham News: “Airbus’ widebody strategy is a mess.”
Today, it may be going too far to say there is increasing opinion in the industry that Boeing’s product strategy is a mess. But it’s fair to say it’s seriously challenged.
Even setting aside the 737 MAX grounding, Airbus clearly outpaced the MAX with the A320neo family. The A321LR and XLR thrust Airbus into dominance in the single-aisle, 150-220 seat sector.
Airbus fell into a winner with the acquisition of the Bombardier C Series. Boeing’s 737-7 MAX has captured fewer than 100 orders since the program launch in 2011. Demand for the 777X is weak.
Boeing critics, and there are many, see little but doom and gloom ahead. Even before the COVID-19 crisis, Boeing faced years of recovery from the MAX grounding.
There’s no doubt Boeing has a deep hole to climb out of, exacerbated by the COVID crisis. The question is, what does Boeing do after the MAX is returned to service and the virus crisis is over?
By Scott Hamilton
Jan. 24, 2020, © Leeham Co.: In a year filled with bad news, Boeing finally had something good to crow about.
The 777-9’s first flight is today.
And, as if this weren’t bad enough, when the engines were returned from GE, a hard landing damaged one of them.
Despite rainy and cloudy weather today at Paine Field in Everett (WA), where the 777 has been assembled since the program was launched in the early 1990s.
The 777-9 is scheduled to lift off at 10am PST, depending on the Seattle area’s lousy weather this week.
Nov. 25, 2019, © Leeham News: The Dubai Air Show proved to be a mixed bag for Airbus and Boeing.
Each company picked up important orders and commitments.
But each company saw some previously announced commitments reduced in the process, including, for Boeing, a reduction in the backlog for the slow-selling 777X.
By Vincent Valery
Nov. 4, 2019, © Leeham News: The rise of the Big Three Middle Eastern carriers since the mid-2000s has been nothing short of astounding.
They took full advantage of an advantageous geographical location: 85% of the world population is within a 10-hour flight from either Qatar or the UAE. Emirates and Qatar Airways connect all continents, except Antarctica.
This transformation into super connectors did not come without controversies. The most vocal are the Big Three US legacy carriers, through the Partnership for Open and Fair Skies. They accuse the Gulf Carriers of benefiting from massive subsidies that allow them to underprice their competitors.
As part of a deal between Qatar, the UAE, and the USA, the Big Three Gulf Carrier started publishing audited financial statements. Emirates’ and Qatar Airways’ financial statements are publicly available on their websites since 1994 and 2015, respectively. Etihad Airways has been releasing some income statement information since 2010.
Ahead of the upcoming Dubai Air Show Nov. 18-19, LNA had a look at those financial statements. We outline our takeaways in this article.
By Judson Rollins
Oct. 28, 2019, © Leeham News: The Boeing 777X’s lackluster sales to date put it in a similar light as the soon-to-end A380 program. Is the era of the 400+ seat aircraft turning onto final approach?
There are only 344 777Xs on firm order at present. As many as 59 of these orders are soft. The aircraft has been available for sale since May 2013, during a period of near-record global airline profitability. This calls into question the market viability of the 777X – and whether Boeing will ever break even on the program.
Aug. 12, 2019, © Leeham News: Slow sales of the Airbus A330neo, A350 and 777X this year are the result of a dip in the order cycle, A330ceos and 777-300ERs coming off lease and route fragmentation from more capable single-aisle aircraft that are much cheaper to operate and which allow long, thin routes to be served.
Airbus and Boeing have yet another aspect to contend with: stored A330s and 777s that have come off lease or, in the case of Etihad Airways, grounded its late model A330-300s in a fleet restructuring related to its poor financial condition.
Now open to all readers.
Aug. 5, 2019, © Leeham News: Design issues with the giant General Electric Aviation GE9X are causing untimely headaches for the Boeing 777X program, at a time when the 737 MAX is consuming the company.
The MAX grounding and longer-than-expected fixes and Return to Service (RTS) is overshadowing challenges with the 787 skyline, where a production rate of 14/mo is burning through the backlog faster than new orders are coming in.
The 777X is facing skyline challenges as well. Sales have been slow. One major customer in the Middle East is undergoing a financial and fleet restructuring and another publicly said it will reduce 777X orders if it places a new order for 787-10s.
The 777X delivery schedule has slid to the right due to the engine issues and the 777-8 is a niche airplane that may have a greater future as a freighter than it does as a passenger model.