Boeing gears up to deliver its first 747-8 passenger version

Boeing will make first delivery of the passenger version of its upgraded and overdue 747-8 on February 28 to an unidentified VIP customer, the world's second-largest planemaker said on Tuesday. The company said in an email that it will mark the delivery of the airplane dubbed the Intercontinental with an event near Seattle featuring program leaders and test pilots. The first airline set to receive an Intercontinental is Germany's Lufthansa, which has ordered 20.

The freighter version of the 747-8 was first delivered in October, capping a development delay of about two years. Boeing, which competes with Airbus for sales, has 36 orders for the passenger plane on its books with nine attributed to unidentified VIPs. The Intercontinental can seat 467 passengers and lists at more than $330 million.

Arik Air orders 2 Boeing 747-8 Intercontinental

Boeing and Nigeria's Arik Air today announced a deal for two 747-8 Intercontinental airplanes. The order is valued at $635 million at list prices and was previously attributed to an unidentified customer on Boeing's website. The order was announced during a signing ceremony at the Corporate Council for Africa's 8th Biennial U.S.-Africa Business Summit in Washington, D.C. "Air travel within the region continues to grow at a rapid pace and we must prepare our fleet to accommodate that growth," said Sir JIA Arumemi-Johnson, owner and chairman of Arik Air. "Boeing's new 747-8 fits perfectly into our long-term planning. It brings the best operating economics for its size, which is important with the increase in fuel prices."

Arik Air is Nigeria's fastest-growing privately owned airline operating a large fleet of Boeing Next-Generation 737s and serves more than 22 domestic, six regional and three long-haul routes. The airline plans to use the 747-8 on its key long-haul routes. "Arik Air is growing to become a leader in aviation in Africa and Boeing is happy Arik will use the 747-8 as a cornerstone of their future growth," said Van Rex Gallard, vice president of Sales for Africa, Latin America, and Caribbean, Boeing Commercial Airplanes. "With its unmatched operating costs and economics, the 747-8 is the right airplane to help Arik Air meet growing demand." The new 747-8 Intercontinental features a new wing design and an upgraded flight deck. The airplane interior incorporates features from the 787 Dreamliner including a new curved, upswept architecture that will give passengers a greater sense of space and comfort.

Using General Electric's GEnx-2B engines, the airplane will be quieter, produce lower emissions and achieve better fuel economy than any competing jetliner. It also increases cargo volume by 26 percent. "As we look into the future, the 747-8 Intercontinental is a must have for Arik Air," said Sir Arumemi-Johnson. "Our airline strives to bring the best, most efficient and most modern products to our customers and that is exactly what this airplane is."

Dreamliner becomes a reality

Boeing delivered its first 787 jet on Sunday. It's been a long time coming. The new jet, which was supposed to be flying passengers three years ago, has been delayed by production and design problems. But now it's here, and airlines expect it to offer travelers much more comfort, open up new routes and provide significant fuel savings. The first one goes to Japan's All Nippon Airways, which has been printing the 787 logo and "We Fly 1st" on its business cards for years. Airlines love the jet, which Boeing calls the Dreamliner. They've ordered more than 800, well above levels for previous new jets. "A lot of carriers are betting that this is going to be a winner," says George Hamlin, president of Hamlin Transportation Consulting in Fairfax, Va.

Instead of the usual aluminum skin, most of the 787 is covered in carbon fiber, basically a high-tech plastic that is strong but lightweight. Military planes and portions of other jetliners have used that material for years, but this is the first time so much has been used on an airliner. The new material brings improvements that passengers should notice. Its strength allows windows to be bigger and higher, so passengers don't have to hunch over to see the horizon. Electronic dimming replaces pull-down shades. That should mean you'll no longer be blinded when the guy next to you falls asleep with the shade up. Finally, the cabin is pressurized to the equivalent of 6,000 feet, instead of the usual 8,000 feet. That means air pressure will be closer to what passengers are used to on the ground. And without corrosion-prone aluminum skin, the humidity can be kept higher. Those two changes should reduce dry noses and throats.

All Nippon plans to begin flying the 787 from Tokyo to Okayama-Hiroshima on Nov. 11. The first international route will be Tokyo to Frankfurt starting in January. The first US customer is United Continental Holdings Inc., which will get its first 787s next year and plans to fly them between Houston and Auckland, New Zealand, and Houston and Lagos, Nigeria. Those are good examples of "thin routes" that airlines say the 787 will be good for - routes for which there is regular demand that won't fill a larger plane. The 787's size, fuel efficiency and long range should allow airlines to turn a profit on those routes. The jet will be as much as 20 percent more fuel-efficient than planes it replaces. Its efficiency was a nice perk when Boeing first proposed the 787 in its current form in 2003. Now it's essential for airlines dealing with high fuel costs.

Building an all-new plane like the 787 is a massive undertaking. Delays stacked up. Boeing was hit with an eight-week strike in 2008. It had to reinforce the spot where the 787's wings meet the fuselage. In November, the company had to delay the plane further after an electrical fire forced a landing during a test flight. Boeing expects to deliver a combined 25 to 30 of the 787s and new 747-8 this year. To meet the high demand. Boeing has set an ambitious goal of building 10 per month by the end of 2013. No one has ever made a large plane that fast. Richard Aboulafia, an aerospace analyst at the Teal Group, thinks Boeing will miss that goal because the company hasn't smoothed out its production process fully. It's also not clear when the 787 will make money. Boeing already took a $2.5 billion charge in 2009 on the program, and it owes additional money to customers for the late deliveries. Boeing executives have said they will announce when the jet will be profitable after the first one is delivered.

The 787 list price runs between $185 million and $218 million. Discounts on new jets are common, though. Aboulafia says it's not clear how steep the discounts offered by Boeing were to lock in all the orders. Boeing rival Airbus hopes to soon launch its new A350, also made with a significant amount of carbon composites. A successful 787 will put pressure on Airbus to meet its fuel-efficiency goals, and to deliver the plane on time.

Paris air show aircraft orders' list

The orders confirmed by Airbus and Boeing as it stands at Paris air show.

Company Firm Value Provisional Value

Airbus 312 $30.2 bln 318 $29.5 bln

Boeing 47 $7.5 bln 94 $14.9 bln



Last year at Farnborough Airshow, Airbus unveiled net new orders for 130 planes worth over $13 billion, and Boeing 103 new orders worth over $10 billion.

Between them, they racked up a combined 176 provisional orders worth over $19 billion



AIRBUS ORDERS BY CUSTOMER:
FIRM ORDERS

Company No of aircraft Type Value

LAN 20 A320neo $1.8 bln

IndiGo 30 A320 $2.5 bln

IndiGo 150 A320neo $13.7 bln

TransAsia 6 A321neo $0.6 bln

Air Lease Corp 11 A330 $2.4 bln

Air Lease Corp 1 A321 $0.1 bln

SAS 30 A320neo $2.7 bln

GECAS 60 A320neo $5.5 bln

Saudi Arabian 4 A330 $0.9 bln



PROVISIONAL ORDERS

Company No of aircraft Type Value

Alafco 30 A320neo $2.7 bln

Republic 40 A320neo $3.6 bln

Republic 40 A319neo $3.4 bln

Avianca 18 A320 $1.5 bln

Avianca 33 A320neo $3.0 bln

Alafco 6 A350-900 $1.6 bln

Garuda 15 A320 $1.3 bln

Garuda 10 A320neo $0.9 bln

JetBlue 40 A320neo $3.6 bln

CIT 50 A320neo $4.6 bln

Air Lease Corp 36 A320neo $3.3 bln



BOEING ORDERS BY CUSTOMER:

FIRM ORDERS

Company No of aircraft Type Value

*Malaysian 10 737-800 $0.8 bln

*Aeroflot 8 777-300ER $2.3 bln

Norwegian 3 787 $0.6 bln

Norwegian 15 737-800 $1.2 bln

Mongolian 1 767-300ER $0.16bln

Mongolian 2 737-800 $0.16bln

Unidentified 2 747-8 $0.6 bln

*Qatar Airways 6 777-300ER $1.7 bln * - orders were previously in Boeing order book but customer was unidentified



PROVISIONAL ORDERS

Company No of aircraft Type Value

UTair Aviation 7 737-900ER $0.6 bln

UTair Aviation 33 737-800 $2.7 bln

GECAS 8 777-300ER $2.3 bln

GECAS 2 747-8F $0.6 bln

Unidentified 15 747-8 $4.8 bln

Air Lease Corp 20 737 $1.6 bln

Air Lease Corp 5 777 $1.4 bln

Air Lease Corp 4 787-9 $0.9 bln

Paris air show - orders soar

Airbus faced the unexpected and daunting task on Monday of delivering a marketing blow to rival Boeing and maintaining momentum for a revamped jet with its two flagship planes grounded at the Paris Air Show. The European planemaker has targeted an order surge worth tens of billions of dollars, but was left reeling as the world's largest aviation event was jinxed by a series of mishaps including a taxiway collision involving the A380 superjumbo. The right-hand wing-tip of a test plane for the world's largest jetliner, with a wingspan of almost 80 meters (yards), scraped a building at Le Bourget airport on Sunday and was withdrawn from the air show's traditional flying displays.

A second aircraft, the delayed European A400M airlifter, was also withdrawn from air display after a gearbox problem but will be allowed to perform in a flypast when French President Nicolas Sarkozy inaugurates the biennial event on Monday. The A380 collision caused dismay hours after the arrival of its new rival Boeing's elongated 747-8 superjumbo which is showing its distinctive silhouette abroad for the first time. The latest version of the legendary 747 jumbo touched down in orange and red "sunrise" livery symbolizing the importance of Asia, whose economic growth is set to dominate aviation in coming years starting with this week's air show. Industry sources expect some sales of both the A380 and 747-8 during the June 20-26 event but the main joust for market share concerns narrow-body, medium-haul 150-seat planes.

The air show could bring two record deals on successive days as Airbus tries to woo buyers for a revamped A320neo with more efficient engines, saving airlines 15 percent in fuel costs. "We clearly believe in the business case and the orders you are going to see at the show are going to be astounding," said David Hess, chief executive of engine maker Pratt & Whitney. Buyers are already camped out in Paris hotels to negotiate the final details of major deals but are aware that Airbus has staked a lot on winning a slew of orders for the A320neo at the Paris show, and some are said to be digging in their heels. A $16 billion provisional deal from IndiGo to buy 180 A320neo passenger jets, first announced in January, was mired in further negotiations that could spill beyond the air show. The deal if finalized would set a record for the number of planes in one transaction. But sources say if all goes to plan it is set to be eclipsed by a 200-plane order being fine-tuned between Airbus and Malaysia's AirAsia.

Demand for aircraft is on a sharp rebound driven by demand from Asia's rapidly growing airports and the Middle East. "Those two markets will enjoy at least one-third if not more of the demand increase for global air traffic in the next decade," said Philip Toy, a managing director at Alix Partners. The Airbus A320neo has also benefited from airline concerns about fuel costs. Boeing said on Sunday it would decide by end-year whether to upgrade its 737 with new engines from about 2016, as Airbus has done, or build an all-new jet in 2019. "They will sell hundreds but it is hard to tell what is gross and what is net, what is a conversion from an earlier order. There are myriad complications," said Teal Group analyst Richard Aboulafia said of the A320neo.

Orders are likely to include a confirmation of an $8 billion 100-plane order from leasing giant ILFC and another plane order for both Airbus and Boeing planes another big lessor, GECAS. But it could be Boeing that grabs attention on day one of the show with a sale of 777 wide-body airplanes to Qatar Airways -- a reminder that the two planemakers are battling for market share on a second front after Airbus revamped its A350. Russia and China will flex their muscles as potential rivals to Airbus and Boeing, especially during a Tuesday visit by Russian Prime Minister Vladimir Putin and some analysts expect surprise sales. But Western planemakers say it will be some time before newcomers mount a serious challenge in civil aerospace.

Boeing 747-8 debut at Paris air show

Boeing Co's 747-8 Intercontinental, the new elongated passenger version of its legendary jumbo jet, made its international debut on Sunday, showing its distinctive silhouette abroad for the first time. The high-profile landing of Boeing's new 747 at the Paris Air Show -- three months after its first flight -- marks a show of engineering strength by the world's second-largest plane maker in a competition for control of the wide-body market. "We've seen a great deal of interest in the last six to eight months as the market has gotten better," Randy Tinseth, Boeing's vice president of marketing at Boeing's commercial division, told Reuters.

In Boeing's standard layout, the new 747-8 will have 467 seats, 51 more than its predecessor, but fewer than the 525 of its main competitor, the A380 made by EADS unit Airbus. The actual seat number, however, will be determined by the airlines. Boeing has taken 33 orders for the 747-8 Intercontinental, which will be joined in Paris on Monday by the better-selling freighter version of the plane, which has received 76 orders. The new 747-8 -- in red and orange livery to symbolize the importance of the fast-growing Asian aircraft market -- flew to Paris without passengers but was stuffed with computers, test equipment and barrels of water to simulate passenger weight and to test balance.

The Paris Air Show is the venue of choice for aerospace and defense companies to strut their stuff, to the delight of aviation enthusiasts around the world. The new 747-8 is more than 18 feet longer than its predecessor, with the added length mainly noticeable by the extended hump. The upper deck in the hump traditionally houses the business class section. Plane spotters looking for other differences with the 747 will notice the jagged, clam-shell look of the 747-8's engine casing, which reduces noise. The 747-8 also lacks the upwards-curving winglets at the wingtip, but has raked wings that sweep slightly upwards. Boeing says the raked wings reduce wind resistance and enhance fuel efficiency.

The plane also features bigger windows and some design elements of the new 787 Dreamliner, such as interior lighting that changes colors to help passengers adjust more easily to time changes as the plane crosses time zones. The first 747 made its maiden flight 42 years ago. Since then, the jumbo jet, with its distinctive hump, has become the world's most recognizable plane. The 747 was the world's largest airplane until 2005, when Airbus unveiled its A380. The 747-8 Intercontinental, however, is more than 10 percent lighter per seat than the Airbus A380 and consumes 11 percent less fuel, Boeing says. The Intercontinental lists at $317.5 million. Germany's Lufthansa has ordered 20 of the planes, and is set to be the first airline to bring the new jumbo into service early next year. Boeing says a VIP customer will take first delivery of an Intercontinental in the fourth quarter of this year.

Production of the 747-8 has been delayed, as has the mid-sized 787 Dreamliner, a carbon-composite plane, which represents a bigger leap in technology than the revamped 747-8. Although the 747-8 and A380 will compete directly for years to come, analysts say airlines are mostly interested in lighter, wide-bodied planes in the 200- to 350-seat range, like the 787 and the future Airbus A350, which are designed to bypass crowded hubs and take passengers closer to their final destination.

Boeing's new 747-800 Intercontinental

Boeing unveiled its new B747-800 Intercontinental, the new high-capacity passenger airplane that offers airlines the lowest operating costs and best economics of any large passenger airplane while providing enhanced environmental performance. Approximately 10,000 guests, including customers, Boeing employees, government officials, partners and suppliers, gathered in the factory in Everett, Wash., to witness the premiere of the Intercontinental at an event themed "Incredible, Again." Boeing Commercial Airplanes President and Chief Executive Officer Jim Albaugh said the newest 747 incorporates technological advancements that make it an extremely productive airplane for customers.

"The new B747-800 Intercontinental features the latest in innovative technologies — applying many of the breakthroughs also found on the 787 Dreamliner," said Albaugh. "We think our customers will value the low operating costs and passengers will enjoy the comfort of the striking new interior."

"The B747-800 Intercontinental will be a great complement to our fleet, fitting nicely into the 400-seat category, improving our fleet's eco-efficiency even further," said Nico Buchholz, executive vice president, Lufthansa Group Fleet Management. "As launch customer, we are looking forward to welcoming this new aircraft to our fleet next year as it adds to our ongoing fleet modernization and environmental efforts." Korean Air and VIP customers have joined launch customer Lufthansa in ordering a total of 33 B747-800 Intercontinentals. First delivery of the B747-800 Intercontinental is scheduled for the fourth quarter.

"As the only airplane in the 400 to 500-seat market, the B747-800 Intercontinental will give operators an airplane perfectly suited for long, heavily traveled routes around the world," said Pat Shanahan, vice president and general manager, Airplane Programs, Boeing Commercial Airplanes. "The new B747-800 Intercontinental will set a new standard in economic and environmental performance, while providing a world-class passenger experience."
The B747-800 Intercontinental will have the lowest seat-mile cost of any large commercial jetliner, with 12 percent lower costs than its predecessor, the 747-400. The airplane provides 16 percent better fuel economy, 16 percent less carbon emissions per passenger and generates a 30 percent smaller noise footprint than the 747-400. The 747-8 Intercontinental applies interior features from the 787 Dreamliner that includes a new curved, upswept architecture giving passengers a greater feeling of space and comfort, while adding more room for personal belongings.

The airplane unveiled today is painted in a new Sunrise livery of red-orange that only will appear on the first B747-800 Intercontinental and is a significant departure from Boeing's standard blue. The new color palette honors many key Boeing customers whose cultures recognize these colors as symbols of prosperity and good luck.

Boeing reached 2010 delivery targert

Boeing recorded 462 commercial airplane deliveries in 2010, meeting company guidance during the year. Boeing posted 530 net commercial orders for the year as air carriers transition from economic recovery to expansion. Boeing Commercial Airplanes maintains a strong order base of 3,443 unfilled orders.With 376 deliveries in 2010, the Next-Generation 737 set a company delivery record for the second consecutive year. The 737 is the industry's most in-demand airplane with 486 net orders as carriers continue to rely on its superior economics, versatility and continuous performance enhancements.The 777 led Boeing's twin-aisle programs with 74 deliveries and 46 net orders in 2010 as the airplane continues to rank at the top of operator, investor and frequent traveler polls for its efficiency and passenger comfort.

During 2010, Boeing announced a series of production rate increases throughout its product line to meet increasing airplane demand from carriers worldwide. The Next-Generation 737 production rate will grow to 35 per month in early 2012 and 38 per month the second quarter of 2013. The 777 production rate will rise from five to seven per month in mid-2011 and grow to 8.3 per month in the first quarter of 2013. The 747-8 Freighter is slated for first delivery mid-year and first delivery of the 747-8 Intercontinental is planned for late 2011. The 787 Dreamliner continues in flight test. Boeing expects to provide 2011 commercial airplane delivery guidance when the company releases year-end earnings on January 26th.

Evergreen sues Boeing

Evergreen Airlines based out from McMinnville has sued Boeing. In 2005 Evergreen was awarded the contract to fly Boeing's Dreamlifter, the super jumbo freighter, 747's converted to freighters to carry large sections of jumbo aircraft. Evergreen expected to hold the contract for 25 years, with a review once in 5 years. Boeing recently axed out Evergreen and awarded the contract to Atlas Air based in New York.
Evergreen in its suit claims that Boeing owes' Atlas Air $1 billion for the late delivery of its 747-8's, as one of the reason for Boeing's move to award Atlas Air the contract. Evergreen expects to loose $175 million in profit with this contract coming to an end.