Double decker A380 super jumbo to break even this year as Airbus Group reports rise in profits

By GavinThompson  |  Posted: February 27, 2015

  • What the A400M means for Bristol

  • An A380 super jumbo lands at Filton, back before the airfield closed

  • What the A400M means for Bristol

  • An A380 super jumbo lands at Filton, back before the airfield closed

    The A380 double-decker super jumbo will finally break even in 2015.

That’s according to results published today by Airbus Group, the parent company of plane-maker Airbus which employs 4,000 people in Filton on the edge of Bristol.

The company, which also includes helicopter, defence and space divisions as well as making passenger planes, also revealed it will increase production of its smaller single aisle A320 aircraft to 50 every month in 2017. At the same time it will cut the number of A330 planes it makes to just six per month.

It also said it was “closely monitoring” the A400M military transport plane programme after delays and set backs in production. The plane is important locally because the wings are made at Filton, before being shipped to Spain for final assembly. The RAF’s recently took delivery of its first A400M, which it named City of Bristol.

The firm delivered 30 of the A380 super jumbos last year and the plane has a list price of $428 million (£278 million), which gives some idea of the level of investment involved.

Overall, Airbus Group enjoyed a record year in 2014. Group revenues increased five percent to a record € 60.7 billion (£44.2 billion), up from  € 57.6 billion (£42 billion) in 2013.

Earnings before tax increased 54 percent to € 4 billion (£2.9 billion) up from € 2.6 billion (£1.9 billion).

Commercial Aircraft revenues rose seven percent, driven by the overall increase in deliveries to a record 629 aircraft (FY 2013: 626 deliveries) and a more favourable delivery mix including 30 A380s compared to 25 in 2013. In the fourth quarter, the first A350 XWB was delivered to Qatar Airways

And it has a backlog order book of 6,386 aircraft, providing solid platform for growth.

“We achieved a significant improvement in profitability and cash generation in 2014 thanks to a record order book and strong operational performance in most areas,” said Tom Enders, Airbus Group chief executive. “We delivered more commercial aircraft than ever before, including the first A350, and our net orders were, once again, more than twice the number of deliveries. Due to strong demand for single aisle aircraft we have decided to increase production of our A320 family to 50 aircraft per month from 2017 onwards.

“At the same time, we have decided to temporarily reduce A330 production to six aircraft per month in 2016. Most importantly, we confirm the A380 break-even for 2015. We are focused on tackling our various operational challenges, including the A350 and A400M ramp-up and costs, first A320neo deliveries, boosting helicopter sales, and continuing the reshaping of our defence and space portfolio.”

Looking ahead, the group expects its earning to grow slightly this year, delivering more commercial aircraft as global air traffic continues to rise.

Sourced from The Bristol Post


Airbus to invest £100m at Broughton and Filton factories

Plane maker Airbus is investing £100m in research, development and training in a deal with UK and Welsh governments.

The announcement came at an investment conference in Newport designed to create jobs and growth for the UK.

Airbus employs about 6,000 at Broughton in Flintshire and over 4,000 at Filton.

First Minister Carwyn Jones has also pledged £8.1m to support training in Broughton.

That brings the total investment in the plant to £56m, including £48m being provided jointly by Airbus and the UK government to develop new systems and technologies for building the wings for the company’s aircrafts.

The UK Investment Summit Wales conference is being held at the Celtic Manor Resort, bringing together industry leaders, investors and politicians, including Prime Minister David Cameron.

Last year, an extra £100m was spent on research and development in Wales, latest figures show.

On Friday, Airbus also announced that US company Delta Air Lines had placed a firm order for 50 new aircraft.

The research and development elements of the projects will be carried out with the Aerospace Technology Institute (ATI), a £2 billion joint investment between industry and government aimed at developing activity necessary for the UK to win work on future aerospace programmes.

‘Backing business’

An Airbus A350-900 test plane Wings for the new Airbus A350 plane are all made at the Broughton factory

Announcing the ATI funding, Mr Cameron said: “Aerospace is a real cornerstone of British business, supporting over 100,000 jobs across the UK and is worth over £27bn to our economy every year.

“With today’s investment we are backing our aerospace sector so that it continues to thrive, as key part of our long-term economic plan to back business, create jobs and secure a brighter future for Britain.”

First Minister Carwyn Jones said: “The aerospace industry is so important to Wales and we need to make sure that the skills of our workforce move at the pace of technological development in this field.”

Welsh Secretary Stephen Crabb added: “Today’s announcement means the company can now manufacture more of the world’s most technologically advanced aircraft wings right here in Wales.”

Paul McKinlay, head of Airbus’s Broughton plant said: “Airbus places great importance on training its workforce and this funding will support development of skills and expertise and ensure Wales is ready to take on the challenges the next generation of technology will bring.”

A total of £48m is being invested in a project at the Broughton plant to develop new systems and technologies for building aircraft wings.

Airbus’s Filton and Broughton plants are responsible for designing, testing and manufacturing the wings for the whole family of Airbus commercial airliners.

Horizontal line

Analysis by Brian Meechan, BBC Wales business correspondent

Airbus is one of the biggest employers in Wales with 6,000 people at the Broughton site manufacturing the wings for its aircrafts.

The UK aerospace industry is in a strong state. It grew by almost 10% last year.

It is a key industry in Wales providing highly skilled and well paid jobs not just at Airbus but also GE Aviation, General Dynamics and British Airways.

Aerospace employs around 23,000 people in Wales.

The money will be used on research and development at the Broughton site.

The Welsh government is also providing a further £8m to the company for staff training over the next five years which is a continuation of financial support it has given Airbus since 2009.

Speaking to some people from small businesses today, they asked why a multi-national company should need taxpayers’ money to train their staff.

It is understandable when budgets are tight in the fields of education, training and apprenticeships.

The argument would be that training workers does not just provide a benefit to the company but to the wider economy by creating a more skilled workforce in Wales which helps us compete internationally.

The Welsh government also offers financial support to attract companies into Wales which often includes money to help train staff.

So if it can be offered to new companies to establish themselves in Wales, why not to businesses that have shown a long-term commitment to the country and its workforce.

Sourced by BBC News


Commercial flights plan for Hawarden airport dropped

Hawarden Airport runway (pic by Samslipknot)
The operators of Hawarden invested £1m in a new terminal building

Plans to operate commercial flights to major UK cities from Hawarden airport in Flintshire have been dropped, the BBC understands.

The company had invested £1m in a new terminal building last year.

The airport shares a runway with the Airbus wing-making plant, which is working on a new taxiway.

North Wales AM Antoinette Sandbach said flights would have helped to boost the local economy as the airport is close to the Deeside Enterprise Zone.

Owner Aviation Park Group has been asked to comment.

The Conservative AM said: “I think it’s a loss for the region. It had a lot of support from the local businesses around Hawarden particularly with the potential for the enterprise zone.

“It would have been a fantastic way of linking for example north Wales to Scotland and other areas, which would have hopefully encouraged tourism into north Wales, so I think it’s a loss in terms of business potential and tourism potential.

“It’s not as if we were talking about a massive planes that were coming in.

“These were going to be small city hopper type planes and I think it would have brought huge benefits in terms of employment to the area including staffing of the terminal and those possibilities have been lost now, it seems

 

Sourced from BBC Wales News


Airbus wins £10bn order from China

Airbus wins £10bn order from China

Airbus has secured a deal to supply 70 aircraft, worth more than $10 billion, to China’s state-owned purchasing agency.

The order had been on hold due to a row between the EU and outside countries over carbon emissions tax on flights.

The breakthrough came during a state visit to France by Chinese president Xi Jinping.

The order includes 27 long-haul Airbus A330s and 43 A320s.

China also signed a new 10-year agreement allowing Airbus to continue building aircraft in the northern city of Tianjin until 2025.

A fifth of Airbus’s global production takes place on the Chinese mainland.

French president Francois Hollande told his Chinese counterpart that he wanted to “re-balance trade between our two countries,” thr BBC reported.

Aerospace already accounts for 29% of French exports to China.

Sourced from Travel Weekly


Tigerair to order up to 50 A320neo

Press Release by Airbus

Singapore’s Tigerair has signed a Memorandum of Understanding (MOU) with Airbus for the purchase of up to 50 A320neo aircraft for future fleet renewal and growth. The deal covers 37 firm orders plus 13 options. The aircraft will be powered by Pratt & Whitney PW1100 engines and will be operated by the airline across its Asia-Pacific route network.

“We are delighted to conclude this agreement, which will allow us to introduce the latest single-aisle aircraft into our fleet,” said Mr Koay Peng Yen, Tigerair’s Group CEO, “This agreement also underscores Tigerair’s commitment to continue building on our leadership position in the budget travel sector at a measured pace.”

“We are pleased that Tigerair has reaffirmed its commitment to the A320 Family with this important new order,” said John Leahy, Airbus Chief Operating Officer, Customers. “This order once again highlights the unbeatable operating economics offered by our single aisle product line for airlines from both the low cost and full service markets.”

Tigerair, established in 2004, comprises three airlines – Tigerair Singapore, Tigerair Mandala (Indonesia) and Tigerair Australia. Collectively, the Group’s network extends to over 50 destinations across 14 countries in the Asia-Pacific region. The Group currently operates an all-Airbus fleet of 48 A320-family aircraft, averaging less than three years of age.

The A320 Family is the world’s best-selling single aisle product line with more than 10,200 orders to date and over 6,000 aircraft delivered. The latest version A320neo will enter service in 2015 and incorporates new engines and “Sharklet” wing tip devices which together deliver up to 15 percent in fuel savings. As at the end of February 2014, firm orders for the NEO already stood at 2,667 from 50 customers around the globe.


Chester Hawarden Airport object to wind turbine plans by University of Liverpool

Wind turbines are always controversialBy Linda Foo Guest

Two airports have objected to plans for wind turbines to be built close to a historic walking route, saying it will cause serious safety issues.

Liverpool John Lennon Airport and Hawarden Aerodrome in Chester are objecting against the controversial planning application, submitted in September, for the Wirral Way.

d next to Cuckoo Lane bridle path.The University of Liverpool has applied to install two turbines on land between Cuckoo Lane and Woodfall Lane in Little Neston.

Both airports say the tall structures will interfere with radar systems, compromising safety when aeroplanes take off and land.

A Liverpool John Lennon Airport spokesman said: “It is a known fact that wind turbines located close to airports can impact on the airport’s radar equipment used to assist aircraft navigation, their take-off and landing.

“Due to the location of this particular wind turbine, this will impact on the radar equipment and the safe operation at Liverpool John Lennon Airport.

“As a consequence, the airport has objected to this planning application.

“There are some viable, proven ways to mitigate these issues. However, to date, none have been put forward by the developer.”

Both structures would be sited at the university’s veterinary surgery, Leahurst.

The Wirral Way stretches from West Kirby to Hooton.

The proposal has prompted objections from many locals, who are worried the turbines would be too close to houses and Woodfall Primary School, as well as being an intrusion on green belt land, destroying wildlife and disrupting local bird populations.

Burton Residents’ Association said the turbines would have an impact on the landscape.

Woodfall Primary has also objected.

The university withdrew a previous application 12 months ago to carry out further surveys requested by Cheshire West and Chester Council.

It had over 300 objections at the time.

Little Neston resident John Norton is calling for the plan to  be scrapped now that the two  airports have raised concerns.

He added: “Speaking to my neighbours, parents at the local school and others, there is almost unanimous opposition to the university’s wind turbines plan.

A University of Liverpool spokeswoman said: “We expect to receive an impact assessment report regarding this issue soon, which will be included in our planning submission for the development, along with a review of any measures that can be taken to mitigate potential problems.”

Sourced by Liverpool Echo


A350 MSN2 rolls out of paint hangar with special ‘Carbon’ livery

Press Release by Airbus

On Thursday 2nd January 2014 Airbus rolled-out its third A350 XWB flight-test aircraft, MSN2, from the paint shop in Toulouse, marking yet another successful milestone on the path to entry-into-service in Q4 2014. As well as featuring a distinctive “Carbon” signature livery to reflect its primary construction from advanced materials, this aircraft is also the first of two A350 flight test aircraft to be equipped with a full passenger cabin interior.

MSN2 will join the A350 XWB flight test fleet in the coming weeks and will be the first A350 to transport passengers when it undertakes the Early Long Flights (ELF) later in the year.

Composite materials in Airbus aircraft have seen a step-by-step introduction that started with the A310 which was first rolled-out in February 1982. Benefiting from over 30 years of composite material experience, 53% of the A350 XWB’s airframe is made-up of carbon-fibre reinforced polymer (CFRP) including Airbus’ first carbon-fibre fuselage.


Zhejiang Loong Airlines firms up order for 20 A320 Family aircraft

Press Release by Airbus

Zhejiang Loong Airlines, based in Hangzhou, capital city of Zhejiang province in Eastern China, has signed its first purchase agreement with Airbus, for 20 A320 Family aircraft, including 11 A320ceo and nine A320neo, becoming the lastest Airbus customer. The agreement follows the Memorandum of Understanding (MoU) signed in September at the Beijing Airshow.

In addition Zhejiang Loong Airlines has also become the latest Airbus operator in mainland China, having completed its maiden commercial flight with a leased A320.

“Today is a special day for Zhejiang Loong Airlines as we start passenger operation and order 20 Airbus A320 Family aircraft, which demonstrates our ambition to contribute to the economic and social development of Zhejiang province by providing efficient transportation,” said Liu Qihong, Chairman of Zhejiang Loong Airlines. “We are making efforts to play a more important role in building the four-hour transportation circle around Hangzhou, which is advocated by the Zhejiang Government. The Airbus A320 Family aircraft is ideal for us to achieve our goals with advantages in operational reliability, economics, cabin space and its commonality between different types of Airbus aircraft.”

“We congratulate Zhejiang Loong Airlines on becoming a new customer and operator of the best-selling Airbus A320 Family” said John Leahy, Airbus Chief Operating Officer – Customers. “The A320 is the most eco-efficient single-aisle aircraft family and a world-class customer support network will provide Zhejiang Loong Airlines with an excellent platform to benefit from the economic growth in the region.”

The A320neo is offered as an option for the A320 Family and incorporates new more efficient engines and large “Sharklet” wing tip devices, which together will deliver up to 15 percent in fuel savings. At the end of November 2013, firm orders for the NEO stood at 2,523 from 45 customers, making it the fastest selling commercial airliner ever and underlining its market leadership position.

The A320 Family is the world’s best-selling and most modern single aisle aircraft Family. To date, more than to 10,000 A320 Family aircraft have been ordered and some 5,850 delivered to around 395 customers and operators worldwide.


Emirates Airline firms up order for 50 additional A380s

Press Release by Airbus

Emirates Airline and Airbus have completed discussions and signed the firm contract for 50 additional A380s originally announced at the Dubai Airshow on 17th November 2013. The contract documents were finalised by Tim Clark, Emirates Airline President, during a visit to Airbus’ Headquarters in Toulouse, France.

Tim Clark, President Emirates Airline said on the occasion: “The A380 is our flagship aircraft. It is popular with our customers and delivers results for us in terms of operational performance. That is why we have ordered these additional 50 aircraft, to add to our A380 fleet.”

“This order is a major vote of confidence in the A380. Since delivery of their first aircraft in July 2008, Emirates’ A380 fleet has grown to be the largest in the world with 44 A380s in operation. We congratulate Emirates on this impressive achievement and thank the airline for their continued support of our flagship aircraft. As Tim Clark has often said, “The A380 really is a game-changing aircraft.” commented John Leahy, Airbus Chief Operating Officer, Customers.

Since first entering service in 2007, to date 122 A380s have been delivered, to ten world class carriers. The aircraft flies 8,500 nautical miles or 15,700 kilometres non-stop, carrying more people at lower cost and with less impact on the environment. The spacious, quiet cabin and smooth ride have made the A380 a firm favourite with both airlines and passengers, resulting in higher load factors wherever it flies.


Air Caraïbes commits to six A350XWBs

Press Release by Airbus

Air Caraibes has signed a firm contract with Airbus for three A350-1000s, the largest member of Airbus’ new generation A350XWB Family. The airline will also lease three new A350-900s from ILFC. The aircraft will enter into service between 2016 and 2022.

The Air Caraïbes’ A350-1000s will seat 439 passengers in three classes, and the -900 will seat 387 passengers. The aircraft will be operated on the airline’s routes from Paris to Guadeloupe, Martinique, Saint-Marteen, Haïti, Saint-Domingue and French Guyana which are currently flown by five A330s.

“We are delighted with our decision to buy A350-1000s”, said Jean-Paul Dubreuil, President of the Supervisory Board of Air Caraïbes.  “We already benefit from the excellent performance and economics of our fleet of five A330s, and this new order for A350s will allow us to add capacity and give us an unrivalled economic advantage in a very competitive market”.

“Having Air Caraïbes come back with this new, incremental order for the A350 XWB is great news and a strong signal that this aircraft is the industry’s new benchmark in the long-haul segment,” said John Leahy, Airbus Chief Operating Officer, Customers. “We are convinced that the A350 XWB’s unbeatable economics and superior passenger comfort will be key contributors to Air Caraïbes” continued success.”

The A350 XWB (Xtra Wide-Body) is an all-new mid-size long range product line comprising three versions and seating between 270 and 350 passengers in typical three-class layouts and up to 440 in eco-efficient leisure cabin. The new Family will bring a step change in efficiency compared with existing aircraft in this size category, using 25 per cent less fuel and providing an equivalent reduction in CO2 emissions. Including this new firm order from Air Caraïbes, the A350 XWB has already won 817 firm orders from 37 customers worldwide.