Posted on 02/04/2005 1:58:41 PM PST by Willie Green
For education and discussion only. Not for commercial use.
WASHINGTON, Feb 4 (AFP) - Boeing and Ethiopian Airlines on Friday announced a deal worth up to 1.3 billion dollars for 10 Boeing 787 Dreamliner planes, in the carrier`s biggest-ever purchase.
The sale involves five firm orders for passenger planes and purchase rights for five more.
Ethiopian Airlines said it was drawn to the 787`s use of composite materials to "lower the weight of the aircraft and reduce maintenance costs, as well as increasing fuel efficiency by about 20 percent."
"We are proud of Ethiopian Airlines` pioneering spirit, and we share its goal of maintaining innovative leadership in commercial aviation," said Boeing Commercial Airplanes president Alan Mulally.
The deal would be worth 1.3 billion dollars at catalogue value, although many airlines receive discounts for large orders.
Founded in 1946, Ethiopian began its relationship with Boeing 40 years ago, with the purchase of the Boeing 720B, a lighter version of the Boeing 707 that was used by other African airlines.
The first 787 Dreamliner will arrive at the airline`s hub in Addis Ababa in 2008.
Chicago-based Boeing has announced a total of 191 firm orders and commitments for the 787 Dreamliner from 15 other airlines.
The Dreamliner will have a cruising speed of Mach 0.85 (647 miles, or 1,050 kilometers, per hour).
With a range of up to 14,500 kilometers (7,800 nautical miles), the aircraft will use 20 percent less fuel than any other plane of its size through engine improvements and the use of lighter composite metals for structure, according to Boeing.
The new Boeing plane has faced tough competition from Airbus`s recently launched A350.
> Anybody know why a patheticly impoverished nation like Ethiopia would buy 10 of these jetliners?
C'mon... they're *only* $130 million each...
Ethiopia has an airline? Who knew?
More importantly, they have an airline that flies JETS? I figured Ethiopian Airways would have a couple of old DC-3s and one war-surplus B-24!
}:-)4
Wonder what the in-flight meals are like, or if there are any...
It's for Rastafarian tourists.
Regards, Ivan
The nation of Ethiopia is not the same as Ethiopian Airlines. Even if Ethiopian Airlines is state-owned, it has a mandate to provide transporation links to the capital, and this will enable it to carry out its mission.
What are they going to do with them? Run flights connecting Addis Ababa to the major cities of Europe to help make business connections possible and improve investment in a populous country.
I bet Boeing is giving the company a very generous financing deal in any event.
Ethiopia Airlines? Who knew?
Ethiopian cuisine is actually quite wonderful. Addis Red Sea in Boston is one of my favorite restaurants.
Zilzil Tibs...mmmm.
"Anybody know why a patheticly impoverished nation like Ethiopia would buy 10 of these jetliners?"
If you read the fine print I am sure you will find that the purchase was subsidized by US Aid to Ethopia. Basically you can be sure the taxpayer paid for much of this purchase.
But isn't this deal providing job for American's, Willie boy. Would you rather see them go to Airbus?
I don't know, but their inflight meals will consist of the vegetables I didn't eat as a kid.
Just make sure the check clears....
You hit the nail on the head. The financing terms are probably ridiculous. Another example of faux revenue. Looks good on the books, until you realize you are financing to a degree greater than your customer's net worth.
Hmm.. They can buy these planes but not feed their people? Huh??!!!???!!
(gets Foghorn Leghorn voice ready...)
"Ah say, that's a joke, son. Don't ya get it?"
World Bank.
How many starving Ethiopians can you get on a 787? I don't know but I'll bet Herb Kelliher wishes he could pack em that tight on SWA.
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