Finally some good news for Airbus

Stephen Beard Jun 21, 2006


MARK AUSTIN THOMAS: The Dubai-based airline Emirates says it will not cancel its order for the new Airbus, the A380. The comments follow last week’s news of further delays of the delivery of the super jumbo plane. But as Stephen Beard reports from the European desk in London, the crisis over the new plane is deepening.

STEPHEN BEARD: Emirates ‘ decision will bring Airbus some comfort. But not enough. The plane maker is still reeling from yesterdays remarks by ILFC, the world’s largest aircraft leasing firm. They said they might cancel their order for 10 of the A380s.

That would be devastating given the importance of the leasing firm, says Kieran Daly of Air Transport Intelligence.

KIERAN DALY: The fact is that they control a gigantic number of airplanes and their comments drastically affect the perceived value of different types of aircraft that are out there.

The fear is that if ILFC gives the super jumbo the thumbs down, no other carrier will buy it. So far Airbus has 159 orders — well short of the 250 it needs to cover its costs.

In London, this is Stephen Beard for Marketplace.

As a nonprofit news organization, our future depends on listeners like you who believe in the power of public service journalism.

Your investment in Marketplace helps us remain paywall-free and ensures everyone has access to trustworthy, unbiased news and information, regardless of their ability to pay.

Donate today — in any amount — to become a Marketplace Investor. Now more than ever, your commitment makes a difference.