Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
- Bjorn’s Corner: Air Transport’s route to 2050. Part 27. June 20, 2025
- Pontifications: A Personal Note June 19, 2025
- Airbus books 142 firm orders as Boeing retracts from the Paris Air Show June 19, 2025
- AIN Media Group Agrees to Acquire Leeham News & Analysis June 17, 2025
- Five for Five: Air India crash points to systemic problems at Boeing that CEO Ortberg must fix June 15, 2025
Mitsubishi, Bombardier reach agreement to acquire CRJ program
- MHI to acquire CRJ program.
- MHI will acquire the maintenance, support, refurbishment, marketing, and sales activities.
- Deal worth $550m in cash, $200m in assumed liabilities, $180m in a securitization program.
- Transaction to close first half 2020 subject to regulatory approval.
June 25, 2019, © Leeham News: Mitsubishi Heavy Industries and Bombardier today announced an agreement in which MHI will acquire the CRJ 
program, subject to customary shareholder and regulatory approvals. Closing is expected in the second half of next year.
The CRJ program includes the airplane, the global product support and sales force, manufacturing facilities and other assets. A CRJ installed customer base of 1,300 airplanes and more than 130 operators worldwide.
“Bombardier will continue to supply components and spare parts and will assemble the current CRJ backlog on behalf of MHI. CRJ production is expected to conclude in the first half of 2020, following the delivery of the current backlog of aircraft,” the companies said in a statement.
Paris Air Show: notable orders other than A321XLR and 737MAX
By Vincent Valery
June 24, 2019, © Leeham News: The A321XLR launch and IAG’s 737MAX order gathered most of the attention during the 2019 Paris Air Show.
Nevertheless, other significant orders were placed by airlines and lessors.
A321XLR: where airlines will fly the Airbus aircraft
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By Vincent Valery
June 24, 2019, © Leeham News: As widely expected Airbus officially launched the A321XLR on the first day of the Paris Air Show. First deliveries are expected in 2023.
With the Maximum Takeoff Weight increased to 101 metric tons the manufacturer claims a range of 4,700 nautical miles while carrying 200 passengers. This represents an extra 700 nautical miles compared to the LR variant. Accounting for real world airline seating configurations and fuel reserves, the effective range will be lower.
Nevertheless, it will represent a significant improvement over the LR. Serial airline entrepreneur David Neeleman claims that the A321LR does not match the range of the Boeing 757-200. The XLR variant will have meaningfully more effective range than the out-of-production Boeing aircraft.
According to Airbus the A321XLR can fly direct between city pairs such as London – New Delhi and New York – Rome.
Pontifications: Heard around the Paris Air Show
June 24, 2019, © Leeham News: Heard around the Paris Air Show last week:
Airbus
Reporters long used to the entertaining and sometimes acerbic tongue former super-salesman John Leahy wondered how Christian Scherer would compare.
By Scott Hamilton
Scherer’s own sharp tongue began to emerge at the Airbus Innovation Days pre-air show briefing last month and got sharper at the executive round table the Friday before and on Day 1 of the international event.
On Day 2, Boeing and International Airlines Group (British Airways, et al) stunned the world journalists and Airbus with the LOI for 200 737 MAXes. On Thursday, Scherer expressed his displeasure.
The deal wasn’t unprecedented. In the 1990s, Boeing blindsided Leahy with an exclusive deal with American Airlines, followed by Delta and Continental airlines. “I was…pissed,” Leahy told LNA years later.
It seems Scherer is following in Leahy’s shoes in more ways than one.
The launch of the A321XLR was totally expected. The top question: does this kill the Boeing NMA? (LNA’s answer: Nope.)
IAG’s super MAX deal likely means super discounts, services
June 20, 2019, © Leeham News: Boeing gets a Letter of Intent for 200 737 MAXes from International Airlines Group (British Airways, et al), announced Tuesday at the Paris Air Show.
Today, Airbus complained the deal came as a surprise—there hadn’t been a tender, Airbus had no chance to bid.
Christian Scherer, meet John Leahy.
Scherer is Leahy’s successor, and like Scherer, Leahy was blindsided in 1996 when American Airlines signed a 20-year exclusive procurement deal with Boeing.
Then, Delta and Continental airlines did the same.
Leahy complained bitterly that he didn’t know of American’s deal and had had no chance to bid.
Paris Air Show, Day 4: Closing orders, commitments
June 20, 2019, © Airfinance Journal: By day four of the Paris Air Show, most of the OEMs had already wrapped up their deal-making, but there was still time for Airbus to tempt another two airlines and another lessor towards the A321XLR and the A220-300 products.
Airbus and CFM are the manufacturers that will leave Paris the happiest, although ATR was keen to make its case, citing 75 “new orders” at the show. However, in line with the odd phrasing employed by most marketing departments this week, it was difficult to discern what those “orders” meant. ATR said they included “35 firm orders from NAC disclosed on June 18”, but its press release about that deal described only a “letter of intent for 35 firm ATR -600s, with options for a further 35 and purchase rights for another 35.”
Paris Air Show, Day 3: Orders and Commitments
June 19, 2019, Paris: Here are the orders and commitments from Day 3 of the Paris Air Show, via Airfinance Journal.
magniX adds third customer for its electric engines
June 19, 2019, © Leeham News: AeroTEC and the electric motor airplane company magniX said today they have teams to retrofit the Cessna Grand Caravan with a 750 hp powerplant, converting the single-engine PT-6-powered turbofan from “gas guzzling, emissions-creating engine,” says magniX’s CEO Roei Ganzarski.
The announcement was made during the third day of the Paris Air Show.
The Caravan carries about 10 passengers, a combination of passengers and cargo or serves as a cargoliner. FedEx uses the airplane extensively.
Paris Air Show Day 3: Eyes focus on Boeing for more MAX commitments
June 18, 2019, © Leeham News: As the Paris Air Show prepares for Day 3 (June 19, Paris time), eyes will be on Boeing to see whether another commitment for the 737 MAX will be forthcoming.
Headlines the first day were split between Boeing’s early morning briefing in which executives apologized for the fatalities on the Lion Air and Ethiopian crashes, sympathies to their families and disruptions to the airlines for the groundings and the Airbus launch of the A321XLR.
Tuesday’s headlines belonged to Airbus until 4:30pm when International Airlines Group, the parent of British Airways, Iberia, Aer Lingus, Vueling and LEVEL, announced a commitment for 200 MAX 8s and MAX 10s.
If any such order was to come at the air show, observers expected it to be from Ryanair, whose CEO Michael O’Leary already had publicly endorsed the MAX and said he could order more.
Paris Air Show, Day 2: Orders and commitments
June 18, 2019, © Airfinance Journal: Boeing received a much-needed vote of confidence in its grounded 737 Max aircraft with a commitment for 200 of the type from IAG.
Nonetheless, the US manufacturer failed to register a firm order from the second day in a row.
Airbus, in contrast, continued to build momentum for its new A321XLR with orders and commitments from IAG and Cebu Pacific.
CFM also had a good day, registering big orders from lessors and AirAsia for its LEAP engine.