Reuters - Video

EDITION: U.S. | U.K. | IN

Japan

Airbus Japan deal may hurt Boeing

Monday, October 07, 2013 - 01:47

Oct. 7 - Airbus has secured its first jet order from Japan Airlines, breaking open the last major aviation market dominated by rival Boeing. As Hayley Platt reports it comes after delays and the grounding of its 787 Dreamliner cast a shadow over Boeing's reliability as a supplier.

▲ Hide Transcript

View Transcript

A landmark deal for Airbus - it's clinched an order for 31 jets from Japan Airlines. The deal for A350s is worth $9 billion. But, more importantly, it's the first time JAL has chosen Airbus over its rival Boeing. The airline's shares rose more than 3 percent after the announcement by its President Yoshiharu Ueki. (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 will also look to use this in order to build a financial base that allows us to respond to outside changes." Boeing has enjoyed 80 percent of the Japanese aviation market for some years. But delays to its 787 Dreamliner caused by minor technical issues has raised doubts about its reliability as a supplier. It's thought that helped open the door to Airbus. Fabrice Bregier is Airbus's CEO. (SOUNDBITE) (English) AIRBUS PRESIDENT AND CEO, FABRICE BREGIER, SAYING: "This is also 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." The agreement includes options for a further 25 A350s and is likely to leave Boeing doing a little soul searching A third of the 787 Dreamliner is built in Japan and the country is their biggest market. But Boeing's rival to the A350 hasn't even been launched yet. JAL would have had to have been the 777X's launch customer. That honour may now go to Japan's other main airline ANA which is looking to buy 25 new jets to replace some if its older Boeings. The industry will be watching closely to see if it too favours Airbus.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Airbus Japan deal may hurt Boeing

Monday, October 07, 2013 - 01:47

Top News »

Investing 201 »

Arian Foster = BlackBerry? Arian Foster = BlackBerry?

Fri, Oct 25, 2013 - (3:16)

Don’t miss these red flags for IPOs Don’t miss these red flags for IPOs

Thu, Oct 10, 2013 - (2:34)

Copycat currency trading Copycat currency trading

Wed, Oct 02, 2013 - (2:28)

When to dump a winner When to dump a winner

Tue, Sep 24, 2013 - (1:55)

Where gold might again attract Jim Rogers Where gold might again attract Jim Rogers

Thu, Sep 19, 2013 - (2:05)

Why savings interest rates won't budge Why savings interest rates won't budge

Fri, Sep 13, 2013 - (2:09)

Buy local? ETFs try the trend Buy local? ETFs try the trend

Thu, Sep 05, 2013 - (2:42)

The better bond funds The better bond funds

Wed, Aug 07, 2013 - (2:40)

Best bargain in 40 years? European stocks Best bargain in 40 years? European stocks

Thu, Aug 01, 2013 - (2:24)

Invest like an activist Invest like an activist

Fri, Jul 26, 2013 - (2:49)

Money Clip »

3 things to do before disaster strikes 3 things to do before disaster strikes

Wed, Sep 18, 2013 - (1:39)

Your must-do money list Your must-do money list

Wed, Sep 11, 2013 - (1:24)

The worst "best" financial advice The worst "best" financial advice

Wed, Sep 04, 2013 - (1:42)

Forget gold: The case for REITs Forget gold: The case for REITs

Fri, Apr 26, 2013 - (1:19)

3 rules for buying a house now 3 rules for buying a house now

Thu, Apr 18, 2013 - (1:39)

“Stalking” your dream home - Money Clip “Stalking” your dream home - Money Clip

Wed, Mar 27, 2013 - (2:50)

3 hidden tax deductions - Money Clip 3 hidden tax deductions - Money Clip

Thu, Mar 21, 2013 - (1:33)

Moving Pictures »

Still missing – MH370 Still missing – MH370

Fri, Sep 05, 2014 - (2:05)

Images of August Images of August

Fri, Aug 29, 2014 - (1:00)

Burning Together Burning Together

Mon, Sep 01, 2014 - (2:23)

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, Aug 22, 2014 - (3:12)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Thu, Jul 03, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)