Mar-13-2007 Boeing collects more 787 orders, sells freighters in Russia(topic overview)CONTENTS:
REFERENCES  NEW YORK - Boeing Co. chalked up more than $4.5 billion in commercial plane orders on Monday as Continental Airlines Inc. upped an existing order and operators from Russia and Kuwait agreed to buy more planes. The orders underline airlines' excitement about the U.S. planemaker's new 787 Dreamliner -- set for test flights this summer -- and keep the pressure on European rival Airbus, which has seen its share of the lucrative wide-body and freight markets slide dramatically. [1] The Chicago-based Boeing said Continental ordered five 787s, worth about $900 million, increasing its orders for the new plane to 25. The No. 4 U.S. airline is the largest U.S. buyer of Boeing's new carbon and titanium jet, which will be able to service fast-growing routes between the United States, Asia and Europe, promising big fuel savings due to its lower weight.[2] At list prices, the five new planes are worth about 916 million dollars. Continental says it's the first airline in the Americas to ordering the 787-9, which will carry more passengers and fly further than the 787-8. Continental also says it's converting 12 previously ordered 787-8s into 787-9s to support the airline's strategy for continued international growth. This is the third order announced today for Boeing.[3] The plane has been a hit with airlines around the world, racking up 464 orders as of last week, after launching in 2004. Earlier on Monday, Boeing said it had signed an agreement to sell 12 787s to Kuwait's Aviation Lease and Finance, along with six smaller 737-800s, for a total of $2.26 billion at list prices.[4] Russian air cargo company Volga-Dnepr also signed a $1.4 billion deal for five new 747-8 Freighter planes, with an option to buy five more, in what the president of Volga-Dnepr called the biggest ever deal in Russian civil aviation. Combined, the orders will help Boeing in its battle for customers with Airbus, owned by European aerospace group EADS.[2] Boeing Co. Chief Executive Jim McNerney said development of the planemaker's new 787 model was on track and the company did not expect the U.S. government to cancel a $15 billion helicopter deal it had won.[1]  Continental Airlines has ordered five 787-9 models and upgraded an earlier order for 12 aircraft of the 787-8 models into 12 of the somewhat larger 787-9 type, Boeing and Continental said. [5] The five new orders are for the 787-9, which can fly farther and carry more passengers than other versions of the Dreamliner. Continental also says it's converting 12 previously ordered 787-8s to the larger model, which can seat from 250 to 290 passengers.[6] SEATTLE — Boeing Co. on Monday added nearly a dozen orders for its new 787 Dreamliner, the fuel-efficient passenger jet scheduled to make its first flight later this year. [7] Boeing's 787 Dreamliner is designed to use 20 percent less fuel than comparable airplanes. The plane's first flight is scheduled for this year, and it will enter into commercial service in 2008.[6] The Boeing 787 Dreamliner, scheduled for launch in 2008, provides passengers with a better flying experience and operators with a more efficient commercial jetliner.[8] Thirty-seven airlines have logged 470 orders worth more than $70 billion at current list prices since the 787 launch in April 2004, making the Dreamliner the most successful commercial airplane launch in history.[8] A Kuwait leasing company ordered 12 Boeing 7-87s and six 7-37s, worth two-point-three billion dollars at list prices.[9] The Seattle jet maker has started negotiations with global airlines over the future design of the Boeing 737 as it seeks to dominate the $1,000 billion market for the workhorse of the skies in future decades. Jim McNerney, Boeing's chairman and chief executive, confirmed last week that talks are taking place with airline customers on what they want from a revamped 737.[10] Thomas Lifson While Airbus remains mired in difficulties created by its A380 super jumbo jet production difficulties and the need to develop a competitor for Boeing's next generation airliner, the 787 Dreamliner, Boeing is letting the world know it is pressing ahead. Boeing is trying to push its advantage over Airbus, its ailing rival, with an all-new design for the biggest sector in the world's aircraft industry.[10] Instead of the 787-8, Continental will get 12 of Boeing's 787-9s, which can fly up to 8,900 nautical miles. Continental said its 787 orders allow it to replace less-efficient planes, seek more long-haul markets, and sell more seats on international routes. [11] Continental said it was the first airline in the Americas to order the 787-9. Continental wants to add longer-range planes to serve more international cities from its hubs in Newark and Houston.[12] Continental now has 25 firm 787s on order and the first U.S. airline to order the 787-9. Last Friday the airline's top managers indicated that they could conceivably require 50-60 787s. Continental has pushed the 777-200ER to the edge of its performance envelope on many routes, a new plane is required and the 777LR is not it.[13] Continental's mainline fleet is the youngest among all network airlines based in the U.S., with an average aircraft age of less than 10 years.[14] Of the aircraft ordered, Continental said it switched 12 of the planes ordered from 787-8s to 787-9s, which carry more passengers and fly further.[15] The 787s will also give Continental the ability to offer more capacity on international routes that need larger aircraft to support traffic growth.[14] Continental, which already made an order for 20 787-8s, said it would buy five more of the larger 787-9 models, and would also convert 12 of the original order for 787-8s into 787-9s. That means Continental now has a total of 17 787-9s on order and eight 787-8s.[16] In addition to the 25 787s, Continental has 60 737s and two 777s on order, plus options for 82 additional 737 and 787 aircraft.[17] "Since we placed our initial 787 order in December 2004, we have become even more impressed with the 787 and its capabilities," said Larry Kellner, chairman and CEO. "The increased size and range of the 787-9 will allow us to serve more cities with the lowest operating seat cost of any aircraft in our fleet. This is the second time we have increased our 787 order, and demonstrates our continued confidence in Boeing and the 787."[14] Boeing called the large list of orders the most successful launch of a new plane model in aerospace history.[5] At the end of February, Boeing had 64 plane orders, the same number as it did at the same time last year, when it emerged as the best-selling planemaker for the first time since 2000. Airbus had orders for 97 planes on its books at the end of February. Boeing's big orders come shortly after its commercial plane marketing chief announced his retirement.[18] American and United are being cagey. When these airlines make their moves we expect to see Boeing's order book overflow. The problem is that delays invariably push these orders closer to the next downturn and airline business cycles are brutal.[13] Alafco's Dreamliner order brings to 464 the number of definite orders - from 37 airlines - for the Dreamliner, slated to begin service in mid 2008.[5] While it is prudent not to splurge on a new planes yet, the legacy airlines have, by and large, missed the latest order cycle.[13] The plane has been a hit with airlines around the world, racking up 464 orders as of last week, after launching in 2004.[19] The airline also said it upgraded a previous order for a dozen 787s to a longer-range version of the jet.[20] The airline also has contracted to convert 12 previously ordered 787-8 jetliners to the larger 787-9s. [21] ALAFCO ordered six 787-8s Monday and was identified as the buyer of six previously listed orders for the planes.[20] Boeing has been angling to strike a multibillion deal with Russian state-controlled flagship carrier Aeroflot in recent months, but talks have been put on hold and tense relations between Russia and the United States are suspected as the cause. Aeroflot management last year asked the Russian government, the company's controlling shareholder, to approve a deal to upgrade its long-range fleet by buying 22 Boeing 787s and an equal number of Airbus A350s. [22] The deal is a bright spot for Boeing in Russia, where the U.S. jet manufacturer's efforts to increase sales have been stymied by politics.[22] Cross-industry rankings placed Continental in the top ten companies in four categories, quality of products, people management, globalness and quality of management. "My co-workers around the world work hard every day to deliver an outstanding product and I'm proud that their efforts have been recognized," Chairman and CEO Larry Kellner said. "We are honored to have topped both America's Most Admired and Most Admired Global Companies airline industry lists." [23] Continental decreased fuel consumption for each revenue passenger mile by 34 percent in the past decade.[12] REFERENCES 1. Continental, others buy Boeing jets worth $4.5 bln 2. Boeing rings up $4.5B in sales in one day - Mar. 12, 2007 3. KNDO/KNDU Tri-Cities, Yakima, WA | WA Boeing Continental 4. Reuters - News - MSNBC.com 5. Flood Of Orders For Boeing: Kuwait, Continental, Volga-Dnepr - Biz News - Playfuls.com - Business & World 6. KSWO, Lawton, OK- Wichita Falls, TX: News, Weather, Sports. ABC, 24/7, Telemundo - Continental orders 5 long-range 787 Dreamliners 7. Boeing Collects More 787 Orders | Chron.com - Houston Chronicle 8. Boeing and Continental Announce Deal for More 787s, Including the 787-9 Launch Order for the Americas 9. Continental orders five Boeing 787s 10. American Thinker Blog: Boeing presses its advantage 11. Boeing collects more 787 orders, sells freighters in Russia - North County Times - North San Diego and Southwest Riverside County News - NCTimes.com - Californian.com 12. Continental adding to Dreamliner order | Chron.com - Houston Chronicle 13. IAG - Aviation and Travel - News, Information and Services 14. Continental Airlines Increases Its Commitment to the Long-Range, Fuel- Efficient Boeing 787 Dreamliner 15. Continental increases Boeing 787 order 16. SignOnSanDiego.com > News > Business -- Continental buys five more 787s, worth $900 million 17. Continental ordering five more Boeing 787s - Houston Business Journal: 18. Continental and others in huge Boeing deal - 13 Mar 2007 - NZ Herald: New Zealand Business and Personal Finance News 19. Continental, others buy Boeing jets worth $4.5 bln | Transportation | Reuters 20. Boeing gets more orders for new 787 21. Briefing.com Business News: Market Report -- In Play (BA) - MSN Money 22. KOMO-TV - Seattle, Washington - Boeing - Continental orders long-range 787 Dreamliners 23. Continental Airlines Again Ranked No. 1 Most Admired Global Airline By Fortune Magazine |