Skip to comments.Dubai's Emirates Air Orders 150 Boeing 777X Planes Worth $76 Billion
Posted on 11/17/2013 11:14:19 AM PST by MinorityRepublican
DUBAIEmirates Airline on Sunday placed a $76 billion order with Boeing Co. BA +0.73% at the Dubai airshow for 150 of the manufacturer's new 777X aircraft, helping make the model the largest product launch in commercial jetliner history.
The Dubai-based carrier, which is the world's largest international airline by capacity, is the biggest scalp so far for Boeing as it is the largest operator of the manufacturer's current 777 fleet, with more than 120 in service.
Qatar Airways, meanwhile, placed an order for 50 Boeing 777X worth $19 billion, and Emirates said it had purchase rights for a further 50 777X.
Earlier on Sunday, Etihad Airways became the second customer to order the 777X, purchasing 25 aircraft in a bulk commitment after Lufthansa LHA.XE +1.71% first committed to buy the jet in September. The announcements meant Boeing received almost $100 billion in orders for the 777X, its best launch, according to Boeing Chief Executive James McNerney.
Boeing is expected to begin delivery of the revamped and more fuel-efficient version of the 777 aircraft before the end of the decade.
(Excerpt) Read more at online.wsj.com ...
And to be built in South Carolina. I hope those IAM union bosses are happy with themselves.
That still depends on how much the unions paid off the politicians. Washington state is supposed to be offering Boeing "incentives" to stay. I hope Boeing doesn't fall for it, SC could use the jobs.
Emirates is a great airline, leagues ahead in quality of service compared to any American airline. However, I don’t use them on (a perhaps flawed) principle that the airline belongs to a repressive Muslim regime.
I prefer Singapore Airlines instead, and they are a gold standard when it comes to flying.
Boeing Chairman James McNerney, left, shows United Arab Emirates' Prime Minister and Ruler of Dubai Sheikh Mohammed bin Rashid al-Maktoum, middle, a model of the new version of its 777 long-haul jet on Sunday.
Well can’t see it. Why would the unions after voting down the Boeing offer then turn to the politicians of the state to offer incentives for Boeing to stay. Secondly it’ll be the taxpayers in the end that would pay for it.
South Carolina builds 787s. The 777 line is still in Washington.
I wonder what the sales commission plan is like at Boeing...
It would take a couple of years and several billion dollars to expand the manufacturing in South Carolina to add the 777x and train a workforce to build it. That delay would probably cost Boeing hundreds of 777 orders. They'll wind up cutting a deal with the unions would be my guess.
Good to see some of our oil money being repatriated
Man is that true.
We send teams all over the world and they get to fly biz class for intercontinental flights > 6 hrs.
They all fly Singapore, even if it means going out of the way for the routing.
Or you could fly American Airlines and have the Senior Set crab at you.
Soon tp be built in a Right To Work State. SC is one RTWS of many.
Dubai is beyond what we buy
The issue of where to build this much bigger 777 is still up for grabs...
I don’t think for long. Boeing is looking at SC .... I had added “to be built in South Carolina” because Boeing already had a line there and the way the union rejected Boeing’s offer .... well ....
I still believe Long Beach has a shot. The C-17 line is closing about the time Boeing needs to start up the 777X. Will be interesting to watch.
“the way the union rejected Boeings offer .... well ....”
The union building in Seattle has several life-sized bronze statues of...union strikers with signs. I worked at a union company in the ‘80’s. If we were short on schedule we’d send work outside to non-union shops as the union attitude was so bad. They’d suck up all the charge number for a 2 hour project and charge another 5 hours. Nothing came in on time or on budget. When a machinist retired they’d sell his machine and move the wall. Presumably they’ve gotten rid of them all by now.
I’m doing the math. Is a 777 worth 500 million a copy?
In the beginning like turn of the century 1800/1900 unions were valuable in workers rights and dignity in their jobs. It’s sad that in the interim they’ve become gangsterish in their operations. Companies today know the value of their employees. They will make sure the employees enjoy a good working environment because the happier they are the better for the company. The unions are still in the dark ages.
All of my business travel is stateside (unfortunately); my choices usually run from bad to worse (Delta, United, US Air and American, in that order). However, I do take Southwest whenever I can and JetBlue along the east coast. Those two are about the only ones (domestically) with an extensive route network and some semblance of customer service. The U.S. mega-carriers now rival the old Aeroflot in terms of “service” and customer dissatisfaction.
I wonder if Boeing could sell or lease a few 747-8I in the interm to pick up the slack until the 777-X are ready ?
It is, if the 777X can deliver fuel savings along the lines of a 787. Providing 20-30% greater fuel efficiency on long-haul routes translates into millions of dollars per aircraft over a 30-year service life.
Boeing stands to make billions over its decision to go with the 777 and 787 while Airbus’s development of the A380 will be viewed as a colossal mistake. The market for four-engine wide-body jets is dissipating rapidly. Orders for the Boeing 747-8 have been disappointing, and carriers that have purchased/leased significant numbers of 380s are hedging their bets.
I read an article in an aviation publication the other day that predicted virtually no one will be operating 747s or A380s at the end of this decade. Why fly a four-engine jet with a few more seats (that may or may not be filled), and reduce your profit margins because the aircraft is less fuel efficient? On the other hand, you can easily fill every seat on a 777/787/A350 and your fuel costs are significantly lower.
In fact, the four-engine wide-body business is declining so rapidly that the next Air Force One will likely be a 777 or 787 by default. Many industry analysts believe the 747 production line will be shut down by the time the Air Force orders the next presidential jet.
Dubai Toothpaste is, by contrast, a lousy investment.
Well, I’m mostly with you there, but the truth is, unions in the US have ALWAYS been gangsterish, and typically begun and run by this or that single ethnic group in a given industry or plant.
Well put. There will always be certain longer routes that will be running the biggest ‘liners (the existing ones will fly for many years yet), but for the time being, fuel efficiency will be a big draw.
OTOH, Frank Borman bet long on better fuel efficiency at Eastern back in the 1970s, and between the bursting of the OPEC price bubble and his tangle with the head of the machinists’ union, the whole works came crashing down.
More planes means more crews, fuel savings means demands for higher compensation, which mitigates back toward more seats.
Heh. Ain't that the truth.
When I worked in the UK, I would book my flights on British Air -- loved it. But, occasionally, my boss would make the arrangements and book me on American [for his air miles, of course]. It was like flying on Gestapo Airways, "You vill stay in your seat! Und you will smile!"
Oh, I wouldn't put it past Fearless Leader to order a couple A-380's or maybe something Chinese -- just to make them like us. Heh.
What does China build in that class?
Nothing. Just funning. I occasionally do that.
Maybe by the time Baraq becomes UN President they will be mfg in his desired size class.
Heh. If the new Air Force Ones were to be ready while he was still in office, I suspect the A380 would be on the table as it would suit Michelle's tastes to a T.
Businesses are bailing on CA as well as WA.
They are NOT business friendly states.
Are you paying attention!?
Long Beach may have a shot, but it is a long shot.
This news must be really upsetting to Yahoo (news). They haven’t passed up a chance to bash Boeing since Boeing decided to open the plant in South Carolina.
The largest 777X will have the same capacity as a 747-400. The 747-8 was meant as a smaller alternative to the A380. It's more popular as a freighter version, though. Passenger aircraft with more than two engines are on their way out. The new 777 will be a big winner, as is the current 777-300ER. The best thing Boeing ever did was it started listening to its customers some years ago. If only we could get our federal government to do the same.