If Boeing goes ahead with the NMA, a decision yet to be made, an announcement was widely expected at the Paris Air Show in June.
Authority to Offer (ATO) the airplane for sale may still come as early as March or April.
Jan. 28, 2019, © Leeham News: Launch by Boeing of the New Midmarket Aircraft (NMA) is pretty much a given, despite a still undecided business case, say people on the sidelines of the Airfinance Journal’s Dublin 2019 conference.
Here is a potpourri of information picked up at the conference, which is attended by about 2,000 people.
But at the Airfinance Journal annual conference today in Dublin, an executive declined to be specific about the details of this assessment.
Now open to all readers.
Jan. 7, 2019, © Leeham News: As the airline, lessor and aerospace industries await Boeing’s decision whether to launch its New Midrange Airplane (NMA, aka 797), as of last month the company still hadn’t closed the business case.
The aerospace analyst from JP Morgan met last month with Boeing’s top executives in Chicago. CEO Dennis Muilenburg and CFO Greg Smith told Seth Seifman that the business case must stand alone, on a program P&L basis, and not rely on aftermarket MRO services through Boeing Global Services. A Boeing spokesman last week reaffirmed the business case is still a work in progress.
As LNC has written many times, the business case involves the usual cost, pricing, production, supply chain and related issues.
But one overarching issue is how bid the market demand is. In large part, this drives everything else.
And market demand continues to be a matter of debate.
By Bjorn Fehrm
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.
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.
JPM’s aerospace analyst Seth Seifman met with Boeing CEO Dennis Muilenburg, CFO Greg Smith and Boeing Commercial Airplanes VP-marketing Randy Tinseth Dec. 4. In a research note issued yesterday, Seifman reported that the business case for the New Midmarket Aircraft still hasn’t closed—but “if Boeing launches the NMA, it will be with the intention of earning a return on the aircraft itself that is comparable to existing programs; it will not be a plan to accept lower margins on the aircraft and make it up in the aftermarket.” (Emphasis in original.) Read more
Dec. 3, 2018, © Leeham News: Safran, the French company that is a 50% partner in CFM International, believes Boeing will launch the New Midmarket Airplane next year.
Safran held its investors day last Thursday.
In sideline conversation, one of those attending reports that Safran met recently with Boeing and is convinced the NMA is a “go.”
(Others, elsewhere, remain skeptical.)
Engine company responses for proposals are due this month to Boeing. CFM, Rolls-Royce and Pratt & Whitney are competing for the engine selection.
It’s believed Boeing would like a dual source (certainly airlines do), but in all likelihood, the odds-on favorite is that the NMA will have a sole source engine. The betting is that it will be CFM. Read more
By Bjorn Fehrm
November 14, 2018, © Leeham News.: Last week we operated the future Boeing NMA from North American hubs. The aircraft would cover the North American market well but would have limitations when flying to South America. The coverage would be sensitive to where our hub would be, as would European coverage.
Now we finish the series by comparing the NMA to its main alternatives for range and operational economics.
By Bjorn Fehrm
November 8, 2018, © Leeham News.: Last week we flew a Boeing NMA from the Middle East. We found the aircraft would be well suited to serve this market.
Now we finish the coverage part of the series with checking how useful the NMA would be for North American based carriers.
By Bjorn Fehrm
November 1, 2018, © Leeham News.: Last week we looked at how a Boeing NMA would function as a medium range airliner in the Asia-Pacific.
We now continue with flying the two aircraft variants from Middle East locations, exploring how large an area in Asia, Europe and Africa the aircraft would cover.