Aircraft manufacturers report Paris air show deals

Airline Industry Information, June 19, 2001

AIRLINE INDUSTRY INFORMATION-(C)1997-2001 M2 COMMUNICATIONS LTD

Airbus Industrie, the European aircraft manufacturer, took firm orders for 34 aircraft from JetBlue, a New York-based carrier, and Royal Air Maroc on Monday (18 June) at the Paris air show.

JetBlue has ordered 30 Airbus A320 aircraft worth USD1.62bn, while Royal Air Maroc has ordered four A321s worth about USD250m based on catalogue prices.

Air France also stated that it had signed a final contract valued at about USD2.3bn based on list prices for ten of the new A380-800 super jumbo jet aircraft. The contract confirms a commitment made in 2000 at the Farnborough air show in the UK and includes four options. Airbus Industrie has indicated that it expects one more contract for the A380 to be finalised at the Paris air show according to Reuters.

Boeing Co, the US aircraft manufacturer - which has not yet announced any new deals - claimed that the Airbus Industrie deals were 'fluff' and had been stacked so that they could be announced at the high profile air show. A spokesperson for Boeing stated, 'We're not going to play this game,' adding that the company had a policy of announcing deals on a weekly basis. Boeing is expecting to announce only a small amount of new business in Paris this week, but will be conducting a presentation about its proposed Sonic Cruiser at the show.

In related news, Bombardier Aerospace, a Canadian aircraft manufacturer, has received a memorandum of understanding from Deutsche Structured Finance for 50 of its CRJ aircraft in a deal valued at USD1.5bn. The agreement also includes options for 30 more aircraft. Further, Bombardier Aerospace announced a follow-on order for two high-speed 72-seat Q400 turboprop aircraft from Tyrolean Airways. The order is subject to approval by the carrier's board.

Finally, Fairchild Dornier, a US-German aircraft manufacturer, has won an order for eight 728JETS (regional jet aircraft) from CSA Czech Airlines. The order is valued at about USD297m and the aircraft are due for delivery from 2003. Fairchild Dornier has also sold two 328JETS to Air Namibia for delivery later in 2001, Reuters reported.

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