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Joni
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Airbus Raises A380 Price By Over 4%

Sun Jun 25, 2006 4:00 pm

The A380 price is breaking the USD300M barrier, in some configs:

http://yahoo.reuters.com/news/articl...28_L22312518&type=comktNews&rpc=44
 
frugalqxnwa
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RE: Airbus Raises A380 Price By Over 4%

Sun Jun 25, 2006 4:19 pm

A 4.7% increase is inline with inflation and is not a big deal. Both Airbus and Boeing are probably doing this same type of list price increase for their entire product lines.
 
Ruscoe
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RE: Airbus Raises A380 Price By Over 4%

Sun Jun 25, 2006 5:04 pm

I don't know what is in airlines purchase contracts but I would think there is a clause to raise the price in line with inflation, and probably only when the manufacturer raises the list price.
This might explain why they bother when nobody is paying list anyway.

Ruscoe
 
BCAL
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 3:05 am

How many airlines pay the 'list' price for a new aircraft, especially an A380 which has not seen any new orders for two years now (I think)?
MOL on SRB's latest attack at BA: "It's like a little Chihuahua barking at a dying Labrador. Nobody cares."
 
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Stitch
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 4:04 am

Raising the list price just makes the discount both manufacturers offer seem all the sweeter.  Smile
 
jacobin777
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 5:44 am

Quoting BCAL (Reply 3):
How many airlines pay the 'list' price for a new aircraft, especially an A380 which has not seen any new orders for two years now (I think)?

It's been only one year..they KingFisher ordered a few at Farnborough 2005..so it's been less than one year...
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steeler83
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 5:53 am

Besides SQ and FX, what other airlines have placed orders for the A380?
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DfwRevolution
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 5:59 am

Quoting Steeler83 (Reply 7):
Besides SQ and FX, what other airlines have placed orders for the A380?

Wikipedia has a correct list:

http://en.wikipedia.org/wiki/Airbus_A380

Quoting Jacobin777 (Reply 6):
It's been only one year..they KingFisher ordered a few at Farnborough 2005..so it's been less than one year...

I'm not aware when the firm contract was signed, but the order was announced on June 15, 2005. That would make it just about one year exact...
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RichardPrice
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 5:59 am

Quoting Steeler83 (Reply 7):
Besides SQ and FX, what other airlines have placed orders for the A380?

Air France
China Southern Airlines
Emirates
Etihad Airways
FedEx
ILFC
Kingfisher Airlines
Korean Air
Lufthansa
Malaysia Airlines
Qantas
Qatar Airways
Singapore Airlines
Thai Airways International
UPS
Virgin Atlantic

And Im surprised that noone has noticed that its not jsut the A380 getting the price increase, its a blanket increase across the entire range - nothing special about the A380 in this regard.
 
Cactus739
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 6:01 am

How much do they raise the price if you want it delivered on time?

 duck 
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EMBQA
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 6:16 am

Quoting Jacobin777 (Reply 5):
KingFisher ordered a few at Farnborough 2005..so it's been less than one year...

There have been only four orders placed since first flight back on April 27, 2005
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PAS810
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 6:29 am

All this means is that they will offer larger discounts.
 
boeingfever777
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 6:59 am

Quoting Joni (Thread starter):
The A380 price is breaking the USD300M barrier, in some configs:

Guess they have to cover all the penalties they incur from all their delays to SQ, EK, and QF.
Faire du ciel le plus bel endroit de la terre.
 
manni
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 2:08 pm

Quoting EMBQA (Reply 10):
There have been only four orders placed since first flight back on April 27, 2005

Make that five, as previously mentioned, Kinfisher ordered them just over a year ago. Additionally the UPS announcement was firmed last december.

Quoting BoeingFever777 (Reply 12):
Guess they have to cover all the penalties they incur from all their delays to SQ, EK, and QF.

You guessed wrong. Prices traditionally go up every year, this year is no exception, you'll find the same over at Boeing.

Quoting PAS810 (Reply 11):
All this means is that they will offer larger discounts.

20% of 300 million is 60 million, or 240 million after discount. And 20% of 315 million is 63 million, or 252 million after discount. One can argue that the discount given is greater, 63 million iso 63 million, but the final price to be paid will be greater aswell, 252 iso 240 million. (figures do not necessarily represent actual figures).
 
707lvr
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Joined: Mon Jun 28, 2004 3:41 am

RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 2:58 pm

From the meeting? - "So .. we're all agreed then? This would be a good time to raise our prices?"
 
JayinKitsap
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 3:25 pm

Who runs the PR department at Airbus? They just announced the 380 delays, they are rethinking the A350, BAE has the put option out, there are questions about insider trading, etc. So if it can possibly be helped, announce only Good News. Shelve the list price issue for a few months, toss it out just at the Air shown ends where it is publised by not noticed.

Nearly every politician or government agency airs their dirty laundry late on a Friday, preferable before a holiday weekend. Then it just fades by.

Yes, costs do go up and there pricing should be such that a customer that got a 30% discount before can expect a similar discount this time.

Just think of the airline execs that just heard their planes are delayed, but also the next planes will cost a lot more.
 
astuteman
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RE: Airbus Raises A380 Price By Over 4%

Mon Jun 26, 2006 4:13 pm

Quoting JayinKitsap (Reply 15):
Just think of the airline execs that just heard their planes are delayed, but also the next planes will cost a lot more.

They wouldn't be hearing anything they didn't already know, Jay - escalators are built into the contracts anyway.

Regards

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