Yes, very likely, according to the Seatlle PI. Here's the excerpt from Tuesday Seattle Post-Intelligencer:
LONDON -- The Boeing Co.'s top airplane salesman said rival Airbus has sliced prices on its planes so much to win market share that Boeing has lost some key sales rather than match the hefty and unreasonable discounts during the industry's worstslump.
Toby Bright, leader of Boeing's commercial airplane sales, said Boeing could lose the year's biggest airplane order from low-fare carrier EasyJet for more than 100 planes if it comes down to price alone.
Boeing already has lost at least one key sales campaign this year because of pricing, Bright said.
Airbus won the recent hard-fought competition to supply new jets to Air New Zealand, previously an all-Boeing customer, because it went further on pricing than Boeing was willing to go, he said. But we went as far as we could.
Click here for the full article: http://seattlepi.nwsource.com/business/79606_airshow23.shtml
I just want to know what Boeing means by "it (i.e. Airbus) went further on pricing than Boeing was willing to go...". I think emphasizing price as the sole issue way to simplistic.
But on the other hand, read this...
Deutsche Lufthansa AG is on the verge of placing a major order for 10 A330-200 jets. Based on the list price, the order will be worth $1.35 billion. But because of the slump in demand on the global aviation market after Sept. 11, industry observes believe that Airbus will offer a generous discount that is likely to reduce the purchase price to around $1 billion.
$0.35 billion or 26% discount on an order of $1.35 Billion? Not bad, but I think 25-30% is not out of the line for today's economy. I don't know how much discount Boeing gave to KLM for its 777 order, but it must also have been quite substantial. Anybody knows?
I guess all is fair in Love & selling airplanes.
Please no Airbus or Boeing bashing.