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In the strongest sign yet that Airbus could change the way it develops its commercial airliners, its chief executive said Friday that he could jettison direct aid in favor of other forms of support - similar to the kinds of aid the United States provides Boeing. He also said he would raise the level of participation by companies coming from outside the Airbus consortium. The executive, Gustav Humbert, said Airbus could build its next passenger jet, the A350, without any recourse to the kind of state aid contested by the United States, even as European leaders, including the German chancellor,...

Rolls-Royce is to develop a new engine, the Trent 1700, specifically for the Airbus A350 twin-jet, under a newly-sealed agreement with the European airframer. The agreement ends months of wrangling over when Rolls-Royce might be prepared to supply a competing powerplant for the A350 after the aircraft was initially offered to carriers with the rival General Electric GEnx engine. It will be made available for aircraft deliveries from mid-2011 – about a year after the A350 is due to enter service. Rolls-Royce will design the engine to be “fully optimised” for the A350. It will have a thrust rating of...

Airbus parent European Aeronautic Defence & Space Co. approved plans to build the new Airbus A350 plane, designed to rival Boeing Co.'s 787 Dreamliner.

PARIS (AFP) - Shareholders in European aircraft maker Airbus approved the launch of the A350, a mid-sized carrier to compete with Boeing's planned 787 Dreamliner, and said Airbus would temporarily forgo controversial government assistance to finance development costs. EADS, the European Aeronautic Defence and Space Company, which owns 80 percent of Airbus, said it had backed development of the A350, a decision also taken by minority British shareholder, BAE Systems. In a significant move in an on-going trade dispute between the European Union and United States, EADS said Airbus would not take immediate advantage of offers of government loans from...

European governments were moving late Wednesday to defuse one of the most serious trade fights between the European Union and the United States, examining moves to suspend state funding to the Airbus A350, a planned rival to Boeing's new 787 Dreamliner. But a French pledge to continue to commit money to the Airbus project drew a negative reaction from the United States, which said negotiations would become even more difficult going forward.

Gulf Air pits Boeing 787 against Airbus A350 Wed Aug 24, 2005 10:30 PM IST COLOGNE (Reuters) - Bahrain-based airline Gulf Air is pitting Boeing's fuel- and cost-efficient 787 against rival Airbus's planned competitor, the A350, as it negotiates with the world's largest aircraft makers to replace its fleet. Gulf Air wants to replace its 34 Boeing 767s and Airbus A320s, A330s and A340s with two plane types -- a wide-body aircraft for long-haul routes and a narrow-body one for shorter distances. Airbus is 80-percent owned by EADS, with the balance held by BAE Systems Plc. The regional carrier would...

TOULOUSE, France - Airbus SAS has struggled for 20 months to design an intercontinental jetliner to compete with Boeing Co.'s fuel-saving 787. In that time, oil prices have more than doubled and Boeing picked up 185 orders for its jet. Airbus, based in Toulouse, needed three redesigns to come up with a plane it says will cost 4 percent per seat less to fly than the 787. The world's biggest commercial aircraft maker, already spending more than $16.4 billion to develop three other planes, said it will need to invest an additional $5.4 billion to bring the A350 to market.

PARIS -- The A380, the superjumbo jet from Airbus SAS, was billed as "The Queen of the Paris Air Show" by the public address announcer as it promenaded down the tarmac en route to its slow-moving flyover of the Le Bourget airfield. But on the sales floor, the A380 was the prom queen that couldn't get a date.

PARIS, June 15 (AFP) - US aeronautic giant Boeing said Wednesday it had won a firm order for 18 of its 737-800 jets from Air Europa. The Spanish airline also took out an option on 12 more 737-800s, Boeing said. The catalogue price for 18 737-800s is 1.17 billion dollars (966.82 million euros). Separately, Air Europa said it intended to buy 10 Airbus A350s, the long-haul, midsize aircraft planned to respond to Boeing's new 787 Dreamliner. The list price of the A350 ranges between 160 and 180 million dollars, according to the version. The Spanish airline will use the new...

Airbus stakeholder BAE Systems said the 555 seat A380 plane was being delayed by problems with systems developed for the world's largest airliner and that stakeholders were loath to press on with the mooted A350 until the bigger plane's problems were resolved. Paris hosts the world's largest air show from Monday and the hefty A380 is expected to star. But delays in it have prompted complaints from airlines and added urgency to calls for EADS, which owns 80 percent of Airbus, to sort out internal debates holding up appointment of its new co-chief executives. "Some of the systems are not...

LE BOURGET, France (Reuters) - Qatar Airways plans to buy up to 60 of European planemaker Airbus's new A350 mid-size jets in a deal that could be worth $10.6 billion, the Middle Eastern airline said at the Paris Air Show on Monday. Doha-based Qatar also said it planned to buy at least 20 of Boeing Co's larger 777 plane for around $4.6 billion. The deal will give a big boost to Airbus as it tries to build up enough orders to proceed with its A350 project, a rival to Boeing's successful mid-size 787 plane. "The Airbus A350 will be the...

Boeing issued a new challenge to its arch-rival Airbus yesterday, saying it expected to regain its status as the world's biggest supplier of airliners by 2008 at the latest. Alan Mullaly, head of the American group's commercial planes division, delivered a series of damaging blows to its opponent on the eve of the biennial air show at Le Bourget, Paris, which was meant to be a showcase for the European company's A380 super-jumbo. First, he said Boeing was in talks with another 27 airlines over potentially 427 more orders for its new 787 Dreamliner - raising the prospect of nearly...

LE BOURGET, France - Aircraft of all descriptions are arriving for the Paris Air Show, but the global aerospace industry's biggest gathering looks certain to be dominated more than ever by its biggest rivalry: the Boeing-Airbus dogfight. Planes and helicopters have been flying in since early this week to take their places on the tarmac at Le Bourget, north of Paris, where they will go on display Monday alongside aeronautic and military hardware ranging from flight simulators to missiles. Among them, the Airbus A380 "superjumbo" is bound to get the most attention at its first air show appearance — even...

an Emirates spokesman now tells BusinessWeek that the carrier doesn't plan to announce any orders at the air show, which opens June 13. "Discussions are ongoing," he says -- not only with Airbus but also with Boeing, which is pitching the 787 as well a long-range version of its bigger 777 jet to Emirates. Airbus has been hungry for a big deal to regain traction against Boeing, which over the past year has booked 266 orders and commitments for the 787, a fuel-efficient 250-seater that's set to enter service in 2008. The Airbus A350, by contrast, has logged only one...

FRANKFURT Airbus was hoping to throw a lavish party next week on its home turf in France. But it may have to keep the balloons and bunting under wraps. At the Paris Air Show, which begins Monday, Airbus had sought to formally announce its new midsize plane, the A350, as well as a new management team. It also plans to show off its superjumbo, the A380. On Wednesday, the controlling shareholder of Airbus - European Aeronautic Defense & Space, or EADS - disclosed that it would not sign off on the A350 until the end of September. It made the...

Airbus is widely expected to win the prize for hoopla at this year's June 13-19 Paris Air Show, by parading its giant new A380 there, and also by launching its new A350 twinjet with an anticipated order from Emirates airline. But there's at least a chance that Boeing will grab headlines with a dramatic move of its own -- in the form of a launch order for the 747 Advanced, a new version of Boeing's largest and most venerable commercial aircraft. The reconfigured airliner would feature more powerful and more efficient engines derived from Boeing's new 787. But even if...

PARIS (AFP) - European planemaker Airbus hs ended one of the darker weeks in its history with its new head still not appointed, delays announced in the delivery of its superjumbo Airbus 380 and a looming battle with the United States over subsidies. A board meeting Wednesday of the European Aeronautic Defence and Space Company, which owns 80 percent of Airbus, that was to have installed a new Franco-German duo as chief executives and decide a CEO for Airbus, was delayed until this week. A source told AFP that "some points have yet to be settled" and that "the board...

TOKYO -- With the order count for Boeing's new 787 soaring, John Leahy of Airbus is heading for the Paris Air Show later this month ready to close the gap with his longtime foe. A series of design changes during the last three months to the A350 are nearly complete, and, after a slow start, Airbus finally has the plane that customers say they want, said Leahy, chief commercial officer at Airbus and its bulldog sales chief. Not only is he going after Boeing's 787 with one version of the A350, but he's prepared to take on Boeing's 777-200 with...

Emirates and Qatar Airways the two fast-growing Gulf-based carriers are set to announce a number of firm orders that could add up to somewhere between 100 to 120 aircraft, aviation officials said. The announcement will be made at the forthcoming Paris Air Show to be held from June 13 to 19, according to a Gulf News report from Tokyo. While Emirates is set to order a combination of A350s and Boeing's ultra-long range B777-200LRs, Qatar Airways is set to order as many as 50 to 60 B787s. Following Emirates' recent revelation, Qatar Airways is also set to sign a major...

ALEXANDRIA, Va. (Reuters) - A federal judge on Tuesday allowed bankrupt US Airways Group Inc. (OTC BB:UAIRQ.OB - news) to consider any investment bids that would rival its proposed merger with America West Holdings Corp. (NYSE:AWA - news) Judge Stephen Mitchell of the U.S. Bankruptcy Court for the Eastern District of Virginia approved procedures that would give qualified investors 30 days to submit alternative plans to help US Airways emerge from bankruptcy protection. "We want to shake the tree and see if there are any higher or better offers available," Brian Leitch, US Airways lead bankruptcy attorney, told the court....

WASHINGTON -- The Bush administration said Monday it would bring a trade case alleging the European Union is providing illegal subsidies to Airbus, the major competitor to U.S.-based Boeing Co. U.S. Trade Representative Rob Portman said the administration had decided to proceed with a case before the World Trade Organization in light of preparations by member states of the European Union to commit $1.7 billion in new launch aid to Airbus. "The EU's insistence on moving forward with new launch aid is forcing our hand," Portman said in a statement announcing the administration's decision. Launch aid is the support provided...

The United States says it will reactivate a World Trade Organization (WTO) case against European Union subsidies for aircraft maker Airbus. US trade officials said the decision followed the failure of latest efforts to reach a negotiated settlement. Earlier on Monday, Europe made a new offer to the US to cut state aid to help resolve the long-running row. Trade commissioner Peter Mandelson proposed that both sides cut part of their subsidies to Airbus and Boeing. Mr Mandelson suggested both sides then discuss further aid cuts later. According to one report, Brussels has offered to cut aid for the Airbus...

BRUSSELS (Reuters) - The United States accused the European Union on Monday of "spinning to the press" by making public a new proposal to end a dispute over subsidies enjoyed by aviation rivals Airbus (EAD.PA) and Boeing (NYSE:BA - news). "We had an agreement with the Europeans that each side would quietly reflect on the Friday call over the weekend," U.S. Trade Representative spokesman Rich Mills said in a statement sent to Reuters in Brussels. "We're extremely disappointed that they've begun spinning to the press -- this does not help our relations or the management of the U.S.-EU relationship." Earlier...

BRUSSELS (Reuters) - The European Union has offered to cut by 30 percent loans likely to be provided for Airbus's new A350 airliner in a bid to avert a huge legal battle with the United States, which is defending its aviation giant, Boeing. An EU official said on Monday the bloc's trade chief, Peter Mandelson, had also offered to discuss the terms of any "launch investment" loans made by European governments to satisfy Washington of their commercial basis. Mandelson's move is aimed at rescuing negotiations on how to eliminate subsidies enjoyed by the aircraft manufacturing rivals -- which collapsed amid...

Airbus is reported to have asked Britain for £379m worth of state aid for its A350 project. According to The Sunday Times, it has urged ministers to come up with the cash or see valuable work lost to Germany or Spain. The sum involved is far greater than that demanded of other member countries. But if, as expected, the Government accedes to the plane maker's request, it could trigger a Transatlantic trade war. Officials in Washington have warned that the approval of launch aid for the new aircraft would lead to immediate litigation. They said the issue would be taken...

The United States has warned that it is going to proceed “promptly” with a World Trade Organization (WTO) subsidy case against the European Union (EU) unless the Europeans change their position on aid for the development of new Airbus aircraft. Testifying May 25 before a House of Representatives Transportation and Infrastructure subcommittee, Deputy U.S. Trade Representative Peter Allgeier said that a negotiated agreement on ending so-called launch aid and other trade-distorting aircraft subsidies would be preferable to litigation. But he added that the Bush administration is “fully prepared” to move forward with the 2004 WTO case and believes it has...

AIRBUS is expected to launch orders for its brand new A350 aircraft, being developed to compete against rival Boeing's 7E7 Dreamliner. Airbus is confident more than 100 orders for the A350 twin-jet will be announced at the Paris Air Show next month. If announced, the orders will be a huge boost for Airbus's plant at Broughton where wings for all its jets are made. Head of commercial sales John Leahy said negotiations for the A350 are being conducted with several airlines. He said: "We are in final talks with several companies. We'll have more than 100 firm orders in the...

WARSAW (Reuters) - Poland's national airline LOT is likely to pick Boeing over rival Airbus in a $500 million-plus tender to lease long-haul jets, a source close to the tender said Thursday. "The final decision is not made yet, but until now the decision process was heading in this direction (picking Boeing)," the source told Reuters. Heavyweight Polish daily Rzeczpospolita reported LOT's supervisory board, due to announce the winner of its tender to lease six long-haul passenger jets next Friday, had opted for U.S. airliners because of lower maintenance costs. Boeing is offering its 787 Dreamliner and Airbus its A330-200...

DUBAI: Qatar Airways will announce a major order for new aircraft at the Paris Airshow next month. “We are talking to both Boeing and Airbus and hope to make an announcement in June,” Qatar Airways chief executive officer Akbar al-Baker told Gulf Times here yesterday on the sidelines of the Arabian Travel Market (ATM). The airline eyes both Airbus A350 and Boeing 787, he said. Asked how many aircraft Qatar Airways would order, al-Baker said that would be announced only during the next month’s Paris Airshow. However, he indicated that it would be a “huge order” for an airline of...

LONDON (AFX) - Airbus Industrie is edging ahead of Boeing Co in a race to secure a 6 bln usd (4.6 bln eur) order from Emirates airline for its A350 mid-range aircraft, according to The Business. The newspaper did not name its source, but said Airbus's A350 aircraft is ahead of Boeing's 787 model for an order for up to 50 mid-sized aircraft. Talks between Airbus and Emirates are taking place this weekend. The A350, an A330 derivative, is emerging as favourite because the Boeing flagship plane is too small for Emirates' requirements. Price will also determine the winner, the...

Emirates Airline continues to push Airbus to launch the stretch version of the A380, the proposed dash 900, President Tim Clark told ATWOnline in Dubai.Asked whether he expects Emirates' first A380 to arrive on schedule in October 2006, Clark responded, "I don't know of any aircraft that has been delivered on time to the customer." The most important thing, he said, is that the jet meets Emirates' demanding specifications: "The A380 has to deliver to us 18% lower seat-mile costs compared to our 777-300s." Emirates' A380s will seat 489 in a three-class long-haul configuration, with up to 644 seats in...

787's popularity adds to pressure on A350 FRANKFURT A funny thing happened while the United States was crying foul over Europe's subsidies to Airbus: Boeing, the embattled American manufacturer in need of Washington's helping hand, suddenly started booking orders for planes. A spate of orders, and expected orders, for Boeing's new 787 has given it fresh momentum. What seemed last year like a lopsided competition - with Airbus rolling up more orders and rolling out more new planes than Boeing - now seems like a genuine duel. On Sunday, Korean Air announced an order for 10 Boeing 787s, the midsize,...

PARIS (AFP) - The future Airbus A350 aircraft, designed to rival Boeing's 787 Dreamliner, could be the first victim of a lengthy dispute between the European Union and the United States over state aid to the aeronautics sector. Brussels and Washington failed to meet their self-imposed deadline Monday to achieve a negotiated agreement on subsidies to Boeing and Airbus. But both sides said they were willing to pursue talks. The United States has bitterly opposed European plans to subsidize the A350 and has threatened to seek arbitration by the World Trade Organization (WTO) if the EU allows aid to the...

ALLISON LINN Associated Press BELLEVUE, Wash. - Boeing Co. doesn't need money-losing airplane orders to compete with rival Airbus SAS, the company's new top commercial-jet salesman said Monday. "Our intention is not to do silly business," Scott Carson told reporters at an evening briefing in this Seattle suburb. Analysts speculate that Boeing may be unable to compete with Airbus on price because the French-based consortium is willing to take a loss to build market share. The European Aeronautic Defense and Space Co. holds a majority stake in Airbus. Carson, a longtime Boeing executive, was appointed to head commercial airplanes sales...

WASHINGTON — In the aftermath of a breakdown in talks aimed at settling the largest trade dispute in U.S. history, Boeing Co.'s chairman is pushing a hard line and warning that any new European government support to archrival Airbus would prompt a new trans-Atlantic trade war. Lewis E. Platt, who has taken a leading role at the aircraft maker since chief executive Harry Stonecipher was ousted in a sex scandal last month, accused Airbus of trying "to slide one more new plane under the door" by pushing for subsidies to launch the A350. "We reject that premise," he added. The...

PARIS (Reuters) - The president of European planemaker Airbus said on Saturday he hoped to win around 50 orders for the new wide-body jet A350 by next June. The four-billion-euro A350 -- a spin-off of the earlier A330 -- is Airbus's response to Boeing's first all-new plane of the 21st century, the efficient 7E7 which is due in the air in 2008. "I hope to get in some 50 orders for the A350 from now till the Salon du Bourget (plane fair), in June 2005," Noel Forgeard told Le Monde daily in an interview. Airbus, 80 percent owned by European...