Boeing 747X market shrinks
LONDON - Boeing's chief financial officer said yesterday that the
market for a proposed bigger version of the 747 jumbo jet is
becoming increasingly limited as rival Airbus Industrie gets airlines
to buy its new A380 superjumbo.
However, CFO Michael Sears said Boeing still sees a viable
market for both the proposed longer-range 747X and the
high-capacity 747X Stretch, neither of which has won orders yet.
But he agreed that since Boeing forecast a very limited market for
superjumbo airliners, Airbus' capture of seven customers for the
555-seat A380 did not leave much for the 747X Stretch.
While Airbus already has announced intended orders for 60
A380s, most of which would be delivered this decade, Boeing says
airlines will need only 87 planes of that size before 2010.
The 522-seat 747X Stretch is not Boeing's main thrust in the
market for very large aircraft, however. The Seattle company's
major focus is the 747X, which would carry about 430 passengers
over a greater range than the 747-400.
The 747X Stretch would be a high-capacity, shorter-range spinoff
of the 747X that would not cost Boeing much more to develop.
Sears said that since the Boeing and Airbus planes were different
sizes, an Airbus sale of A380s to an airline would not preclude a
later order for 747Xs from the same carrier.
On the military side of Boeing's business, Sears said a cancellation
of the Pentagon's enormous Joint Strike Fighter (JSF) program
would have no effect on the jet maker's stock-market value.
The Bush administration is rethinking the program, which is intended
to replace most of the ground-attack aircraft in the U.S. and British
armed forces and could be worth $500 billion over decades of
production and operational service.
But Sears said that if the Joint Strike Fighter program were
canceled, Boeing could generate profits from whatever defense
spending replaced it, providing the overall U.S. military budget was
Just an FYI of an article I found.