JAPAN/FILE: Airbus clinches landmark order for 31 jets with Japan Airlines

Record ID: 467499

  • Title: JAPAN/FILE: Airbus clinches landmark order for 31 jets with Japan Airlines
  • Date: 7th October 2013
  • Summary: TOKYO, JAPAN (OCTOBER 7, 2013) (REUTERS) ***CONTAINS FLASH PHOTOGRAPHY*** JAPAN AIRLINES (JAL) PRESIDENT, YOSHIHARU UEKI, AND AIRBUS PRESIDENT AND CEO, FABRICE BREGIER, HOLDING PURCHASE AGREEMENT UEKI AND BREGIER HOLDING PURCHASE AGREEMENT MODEL OF JAPAN AIRLINES PLANE PURCHASE AGREEMENT BEING HELD UP UEKI AND BREGIER SITTING DOWN (SOUNDBITE) (Japanese) JAPAN AIRLINES PRESIDENT YOSHIHARU UEKI, SAYING: "As an airline company, it's an equipment upgrade that is necessary to continue our actual business and is a necessary investment." NEWS CONFERENCE IN PROGRESS (SOUNDBITE) (Japanese) JAPAN AIRLINES PRESIDENT, YOSHIHARU UEKI, SAYING: "By buying the A350 we hope to continue our safe operations while also looking to become number one in terms of customer satisfaction. We also will look to use this in order to build a financial base that allows us to respond to changes that we can't control." NEWS CONFERENCE IN PROGRESS (SOUNDBITE) (English) AIRBUS PRESIDENT AND CEO, FABRICE BREGIER, SAYING: "This is also the Airbus largest order for the A350 so far this year, and this is the largest ever order we ever received from a Japanese customer. underlining our strategic partnership moving forward." NEWS CONFERENCE IN PROGRESS AIRPLANE MODEL NEWS CONFERENCE IN PROGRESS UEKI AND BREGIER SHAKING HANDS UEKI AND BREGIER POSING FOR PHOTOGRAPHERS TOKYO STOCK EXCHANGE ELECTRONIC STOCK BOARD ELECTRONIC STOCK BOARD SHOWING JAL STOCKS AT 5,810 UP 170
  • Embargoed: 22nd October 2013 13:00
  • Keywords:
  • Location: Japan
  • Country: Japan
  • Topics: Business,Industry,Transport
  • Reuters ID: LVABT3LNOEXARLSEQ1T46X6B4FM8
  • Story Text: Japan's flagship carrier Japan Airlines on Monday (October 7) said that it would order more than 30 A350 jets from Airbus worth $9.5 billion at list prices, weakening Boeing's grip on a strategic market.
    The agreement includes options for another 25 of the A350s, bringing the potential size to 56 aircraft.
    For decades, U.S. planemaker Boeing has seen off attempts by Airbus to secure an order with JAL, benefiting from links with Japanese suppliers and deep political ties between Tokyo and Washington to maintain a market share of more than 80 percent.
    Japan's flagship carrier will buy the Airbus A350 wide-body aircraft following an intense battle between the planemakers as Japan's two top carriers seek dozens of new long-haul jets over the next decade.
    "As an airline company, it's an equipment upgrade that is necessary to continue our actual business and is a necessary investment," Japan Airlines President Yoshiharu Ueki.
    Delays to its 787 Dreamliner and its subsequent grounding after its batteries overheated have, however, tarnished its image and cast doubt on Boeing's ability to deliver aircraft on time, industry experts said.
    "By buying the A350 we hope to continue our safe operations while also looking to become number one in terms of customer satisfaction. We also will look to use this in order to build a financial base that allows us to respond to changes that we can't control," Ueki said.
    Both JAL and its domestic rival ANA Holdings Inc are major Dreamliner buyers.
    U.S. planemaker Boeing has long seen off attempts by Airbus to secure an order with JAL, benefiting from links with Japanese suppliers and deep political ties between Tokyo and Washington to maintain a market share of more than 80 percent.
    Airbus President and CEO Fabrice Bregier said JAL's order was the biggest so far for 2013.
    "This is also the Airbus largest order for the A350 so far this year. And this is the largest order we have ever received from a Japanese customer. underlining our strategic partnership moving forward," he said.
    JAL's shares rose as much as 3.4 percent in early trade to 5,830 yen, compared with a flat Tokyo benchmark Nikkei average. Market sources attributed the rise to the carrier digging in its heels with a call on Friday (October 4) for the government to revise its allocation of landing slots at Haneda Airport.
    JAL's new Airbus aircraft will begin entering into service in 2019, the companies said.
    The battle between the two aircraft makers will now shift to ANA, which is also looking for around 25 new jets to replace its ageing fleet of long-haul Boeing 777s from 2020.
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2013. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register