Boeing and Airbus to share pounds 5bn BA order
Monday 10 August 1998
The four-nation Airbus consortium is favourite to win a pounds 3bn order for up to 100 short-haul jets to enter service on BA's regional European routes.
As a consolation, the airline looks like selecting the twin-engined Boeing 777 for a long-haul jet order worth up to pounds 2bn. The purchase could also bring in engine orders worth up to pounds 500m for Rolls-Royce.
BA may confirm the giant orders at the Farnborough Air Show next month, but airline sources indicated yesterday that there might be an earlier announcement.
BA is expected to order about 60 aircraft from the Airbus A320 range both for the main airline and its European subsidiaries, Deutsche BA and Air Liberte. Options are likely on a further 60 aircraft.
This would be the first time BA has bought direct from Airbus and a major coup for the consortium in which British Aerospace has a 20 per cent stake. The aircraft will be powered by either V2500 engines from the International Aero Engines consortium, in which Rolls has a 30 per cent stake, or by the CFM56 of General Electric and Snecma.
The order for 777s could involve up to 30 aircraft. If Rolls is selected as the engine supplier, it would be a double bonus. BA's existing fleet of 777s are powered by GE90 engines. It has 18 in service and a further 11 on order.
When the order was placed seven years ago, Lord King, then BA chairman, controversially decided to opt for an American-powered aircraft to meet its future wide-bodied needs rather than a British-powered Airbus, the A330.
As a result BA is one of the few leading airlines which has no Rolls- Royce Trent engines in service. Selecting Rolls would mean that BA's fleet of 777s would be powered by two different engines.
Industry sources said BA could still justify this on economic grounds since the latest versions of the Trent have greater power and thrust than competing engines, extending the range and payload of the new 777s.
- 1 Jennifer Lawrence scores first UK top 40 single with Hunger Games track 'The Hanging Tree'
- 2 Shia LaBeouf claims he was raped during #IAMSORRY art installation performance
- 3 'You should come to my house and eat cheeses with me': 4-year-old sends adorable love letter to girl at school
- 4 Scientists predict green energy revolution after incredible new graphene discoveries
- 5 Michael Buerk wishes he killed Jimmy Savile when he had the chance - by pushing him overboard a cruise ship
Kim Jong-un 'in dire need of allies' within his own government as younger sister appointed to senior role
Black Friday UK: The shops hit by chaos and violence as shopping frenzy sweeps country
Scientists predict green energy revolution after incredible new graphene discoveries
Russell Brand: 'Katy Perry? I don’t know who that is'
Michael Buerk wishes he killed Jimmy Savile when he had the chance - by pushing him overboard a cruise ship
Obama: The only people with the right to object to immigration are Native Americans
Ukip says babies born to immigrants in the UK should be classed as migrants – which would include Nigel Farage’s own children
The young are the new poor: Sharp increase in number of under-25s living in poverty, while over-65s are better off than ever
Ukip mocked after mistaking Westminster Cathedral – for a mosque
Tamir Rice: 12-year-old boy playing with fake gun dies after being shot by Ohio police
David Cameron sets out immigration reforms: We should distrust Ukip and their 'snake-oil of simple solutions'
iJobs Money & Business
Excellent Package: Austen Lloyd: EAST ANGLIA - SENIOR SOLICITOR LEVEL ROLE** -...
£Attractive Package: Citifocus Ltd: Prestigious asset management house seeks a...
£Negotiable: Citifocus Ltd: This is a varied role focusing on the firm's mutua...
£90000 - £140000 per annum + benefits: h2 Recruit Ltd: Are you a high achievin...