Aircraft is EADS/BAE answer to the Boeing 7E7, to enter service in 2010

The EADS group and BAE on Friday gave Airbus the green light to develop the A350, the company's answer to Boeing's 7E7. The decision taken in a meeting in Amsterdam realigns the European airliner company's strategy to directly compete with Boeing's fuel efficient jet, which has already received several important orders.

The A350 is expected to be a long range version of the A330, updated to use more efficient engines and the latest technology in construction materials. Two models of the aircraft are expected to enter initial production. The A350-800 will have 245 seats and a range of 8,600 miles. The A350-900 will carry 40 more pax, for a total of 285, but will pay for that added seating capacity with a shorter range of 7,500 miles.

"Airbus has presented a strong business case for the launch of this very significant new aircraft," said Mike Turner, chief executive of BAE Systems to the Associated Press. "The A350 will contribute strongly to the Airbus family."

The market for the type of aircraft that Boeing and Airbus expect to produce is estimated to be worth some $400 billion over two decades of production.

FMI: www.airbus.com