Thu, Jan 22, 2009
Airlines Are Skeptical Of Delivery Targets
Officials at Bombardier are looking to wedge their way into the
market for airliners of 110-to-130 seats, and have a promising
development program started for their CSeries jet. But company
execs say they're finding it difficult to have their projected 2013
start of deliveries taken seriously by the airlines after widely
publicized delays in new projects at Boeing and Airbus.
Boeing has announced four delays totalling over two years -- so
far -- for its composite 787 Dreamliner. Airbus not only started
delivering its A380 superjumbo more than two years late, but has
admitted production rates will not reach original projections.
Customers and industry pundits also look at delivery
projections for the upcoming A350 XWB with skeptical eyes.
Bloomberg reports Benjamin Boehm, Bombardier's VP for commercial
aircraft programs, told attendees at a conference in Dublin this
week, "That unfortunately destroys airlines' faith in seeing new
products. The question is: how do we restore market faith in new
aircraft development programs?"
Bombardier said last summer it had a "letter of interest"
from Lufthansa for the purchase of 30 planes and
another 30 options, but Lufthansa spokesman Peter Scheckenleitner
has since gone on record saying, "...there is no deadline and no
firm orders."
One thing's for sure -- The Teal Group, a prominent consulting
firm, isn't helping Bombardier build confidence. The company now
considers the Bombardier CSeries such a long-shot, it's taken the
plane completely off its annual 10-year forecast for 2009.
Teal analyst Richard Aboulafia puts it bluntly. "Technological
risk, weak airline traffic and low fuel prices all work against new
aircraft programs Those are three great reasons not to be in a new
jetliner program today. We just don't see it happening."
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