Oops! Hint: When you are courting Boeing to stay in Washington State, it is always a good idea to use a photo of a Boeing aircraft (not Airbus)!
The Washington Aerospace Partnership through the Seattle Metropolitan Chamber of Commerce took out a full-page advertisement in the Wednesday Seattle Times. “The Future of Washington” ad made a pitch to keep the new 777X in Washington State (the machinist union recently voted down the proposed Boeing contract extension). Boeing is now actively looking at other lower-cost locations. There was only one problem with the ad created by an unspecified advertising agency: the ad featured an Airbus aircraft!
Read the full story (with a photo of the ad) from the Boeing Blog of The Seattle Times: CLICK HERE
Copyright Photo: Ken Petersen/AirlinersGallery.com. Note to the advertising agency: This is a Boeing 777, more specifically a 777-346 ER of Japan Airlines. Our worldwide team of photographers know quite well their aircraft and we always strive to get the best shots. We are always standing ready to help any advertising agency with the exact aircraft and the best, most dramatic shots. Contact us.
Meanwhile the issue continues. The machinists are fighting to preserve their pensions. Boeing under the 777X contract extension proposal wanted to freeze the pension benefits. Here is an opinion page article in the New York Times that presents the viewpoint of the Machinist rank and file members: CLICK HERE
Boeing knows in the new world order there is always someone ready to work for less, with less paid benefits and other cities and states (or countries) willing to welcome their lucrative and giant manufacturing program to their location with tax incentives. The cost of labor affects the final selling price. Every politician who wants to stay in office, fights for new jobs. Chicago-based Boeing is probably now factoring in the cost of moving, building new facilities and training new employees (like Airbus is doing in Mobile, Alabama) versus what it will take money-wise to get a new contract extension from the IAM. Although they are separate types of aircraft (wide body versus narrow body), the Seattle area machinists are really now competing against the Mobile area future aircraft assemblers for wages and benefits. They are also competing against future workers in Charleston in the right-to-work South Carolina should Boeing decide to expand that facility for the 777X. In reality, on a global scale, every worker today, doing the same type of work, is competing against a lower paid employee somewhere in the world. It is a global village.
There are tough decisions ahead for both sides.
Boeing (Chicago) yesterday (November 19) flew the third 787-9 Dreamliner, the first to be powered by General Electric GEnx engines. The third of three 787-9s dedicated to the test effort, ZB021 joined the fleet some two months from the inaugural flight of the first 787-9.
ZB021 took off from Paine Field in Everett, Washington, at 12:15 p.m. local time and landed 2 hours and 44 minutes later at Seattle’sBoeing Field. Boeing will use ZB021 to test engine performance as well as airplane handling characteristics such as low-speed performance and braking.
The 787-9 test program continues to make great progress. The fleet flies regularly, with the second airplane now in Florida for climatic testing, and has accumulated more than 180 flight hours and more than 60 flights. In addition to the three dedicated airplanes, Boeing also will conduct some testing on two production airplanes, the first of which is in final assembly in Everett. 787-10 development also is on plan.
Boeing is on track to deliver the 787-9 to launch customer Air New Zealand in mid-2014. 26 customers have ordered 396 787-9s, accounting for approximately 40 percent of all 787 orders.
Copyright Photo: Boeing.
Boeing launches the 777X today with orders from Lufthansa, Etihad Airways, Qatar Airways and Emirates
Boeing (Chicago) today formally launched the 777X program at the 2013 Dubai Airshow with a record-breaking number of customer orders and commitments for the newest member of its twin-aisle product family. Agreements for 259 airplanes from four customers across Europe and the Middle East provide a strong foundation to support development and production of the airplane.
Representing the largest product launch in commercial jetliner history by dollar value, 777X orders and commitments include Lufthansa with 34 airplanes; Etihad Airways with 25; Qatar Airways with 50 and Emirates with 150 airplanes. The combined value of the agreements is more than $95 billion at list prices.
The 777X builds on the passenger-preferred and market-leading 777, which today commands 55 percent of market share in its category in terms of backlog, and 71 percent of the in-service fleet worldwide. The 777X family includes the 777-8X and the 777-9X, both designed to respond to market needs and customer preferences.
The 777X builds on the best-in-class dispatch reliability from today’s 777, as well as offering more market coverage and revenue capability that surpasses the competition. The 777-8X competes directly with the A350-1000, while the 777-9X is in a class by itself.
Opening new growth opportunities for airlines, the 777-9X offers seating for more than 400 passengers, depending on an airline’s configuration choices. With a range of more than 8,200 nautical miles (15,185 km), the airplane will have the lowest operating cost per seat of any commercial airplane.
The second member of the family, the 777-8X, will be the most flexible jet in the world. The airplane will seat 350 passengers and offer an incredible range capability of more than 9,300 nautical miles (17,220 km). In addition, the airplane will have unmatched takeoff and payload capability compared to the competition.
The 777X introduces the latest technologies in multiple places, including the most advanced commercial engine ever – the GE9X by GE Aviation – and an all-new high-efficiency composite wing that has a longer span than today’s 777. The airplane’s folding, raked wingtip and optimized span deliver greater efficiency, significant fuel savings and complete airport gate compatibility.
Like the 787 Dreamliner which was launched as the 7E7, the 777X will be formally named at a later date. Design of the 777X is underway and suppliers will be named in the coming months. Production is set to begin in 2017, with first delivery targeted for 2020.
According to Reuters, Boeing will firm up the configuration of the aircraft in 2015 and plans to have a detailed design by 2016.
Production will begin in 2017, with the first test flight scheduled for 2019 and first delivery in 2020.
The Launch Customers:
The International Association of Machinists and Aerospace Workers (IAM), representing 31,000 Boeing workers in Washington State, as previously reported voted down the latest Boeing contract extension offer to build the proposed 777X in the Seattle area by a 2 to 1 margin. According to this interview and report by Reuters, IAM President R. Thomas Buffenbarger said it was up to Boeing to resubmit a new offer to the workers. The union chief voiced concern in the interview that work in the Seattle area will dwindle down after the current contract expires in 2016.
Several states are now putting together incentive packages to bring the 777X to their area. Boeing’s board had recently voted to speed up the the 777X. Boeing is likely to announce the formal launch of the new jet at Dubai Airshow with an order from Emirates.
Read the full report: CLICK HERE
Will the Boeing 777X be moved out of the Seattle area after the IAM members vote down a long-term contract extension?
Boeing’s (Chicago) machinists rejected an eight-year labor contract extension yesterday that would have let Boeing build the company’s newest jetliner in Washington State. The IAM members voted down the extension by 67 percent. The extension would have secured an estimated 20 years of work building the proposed 777X. This vote may now permanently alter the relationship between Boeing and the Seattle area. The vote will now open a new opportunities for non-union areas like Charleston, South Carolina and other areas to build the new jetliner.
The driving issue for the union was the preservation of their pensions.
Boeing Commercial Airplanes quickly issued a statement from President and CEO Ray Conner after a long-term contract extension was voted down by the International Association of Machinists & Aerospace Workers District 751.
“We are very disappointed in the outcome of the union vote. Our goal was two-fold: to enable the 777X and its new composite wing to be produced in Puget Sound and to create a competitive structure to ensure that we continue market-leading pay, health care and retirement benefits while preserving jobs and our industrial base here in the region. But without the terms of this contract extension, we’re left with no choice but to open the process competitively and pursue all options for the 777X.
I’d like to thank Governor Jay Inslee and the Washington state legislature for all their efforts in this process. We had hoped for a different outcome.”
Read the analysis by Reuters: CLICK HERE
Boeing warns it will move the 777X project away from the Seattle area if the tentative agreement is rejected
Boeing (Chicago) has warned it will open negotiations with other communities if the tentative agreement with the IAM is rejected by the members on November 13. According to this report by Reuters, senior members of the IAM union were voicing opposition to the proposed contract.
Read the full report: CLICK HERE
In other news, Boeing reported the second 787-9 Dreamliner completed a successful 4-hour, 18-minute first flight yesterday. The airplane, known as ZB002, departed Paine Field in Everett, Washington, at 8:06 a.m. and landed at 12:24 p.m. local time at Seattle’s Boeing Field.
As the only 787-9 test airplane to be fitted with elements of the passenger interior, ZB002 will test systems such as the environmental control system in addition to avionics and other aspects of airplane performance. Boeing has conducted a series of ground tests on the second 787-9 since its completion in late September.
With manufacturing of the 787-9 flight-test fleet complete, the first production 787-9 in final assembly and 137 flight-test hours to date, 787-9 development is on track. 787-10 development also is progressing as planned.
First delivery of the 787-9 to launch customer Air New Zealand is set for mid-2014. Twenty-six customers have ordered 396 787-9s, accounting for 40 percent of all 787 orders.
Copyright Photo: Boeing.
IAM members to vote on a Boeing proposal to build the 777X wings and fuselage in the Puget Sound area
Members of the International Association of Machinists and Aerospace Workers (IAM) District 751, District W-24 will vote on a proposal from the Boeing Company (Chicago) that, if approved, would guarantee the Boeing 777X wings and fuselage will be built by IAM members in the Puget Sound.
In exchange for the 777X guarantee, Boeing proposes a new eight-year labor agreement that will expire in September 2024, providing an unprecedented degree of labor stability in the volatile and competitive industry.
“Securing the Boeing 777X for the Puget Sound means much more than job security for thousands of IAM members,” said District 751 Directing Business Representative Tom Wroblewski. “It means decades of economic activity for the region and will anchor the next generation of wide-body aircraft production right here in its historic birthplace and will complement the 737MAX narrow body.”
According to estimates, the 777X could mean as many as 10,000 direct and 10,000 indirect jobs in the immediate vicinity, with the project also serving as a long-term hub for advanced technology in electronics, avionics and composite technology required by the 777X.
The proposal by Boeing includes additional modifications to the current labor agreement, including cessation of pension accruals for current employees and the establishment of an alternative company-funded retirement plan. Additionally, within 30 days of ratification, all members would be paid a $10,000 signing bonus.
Full details of all changes in the proposal will be provided directly by District 751 and W-24 to IAM members as soon as printing can be completed. A schedule of ratification voting is also being prepared and will be communicated directly to IAM members.
“Only a project as significant as the 777X and the jobs it will bring to this region warrants consideration of the terms contained in Boeing’s proposal,” said Wroblewski. “While not all will agree with the proposal’s merits, we believe this is a debate and a decision that ultimately belongs to the members themselves.”
The IAM represents more than 35,000 Boeing workers and is among the largest industrial trade unions in North America.
Boeing has issued this statement:
Boeing Commercial Airplanes (BA) has issued a statement from President and CEO Ray Conner in response to International Association of Machinists & Aerospace Workers District 751′s decision to proceed with its efforts to secure a historic long-term contract extension that would result in locating final assembly of the new 777X and fabrication and assembly of the airplane’s wing in Puget Sound.”
“I want to congratulate IAM District 751 Directing Business Representative Tom Wroblewski for his leadership, vision and determination to forge an agreement of historic proportion that, when ratified, will secure and extend thousands of high-wage, high-skilled aerospace jobs and expanded economic opportunity for residents of Puget Sound and Portland for many years to come,” said Conner. “Tom and his team pressed hard for an agreement that maintains market-leading pay and benefits for the members he represents, while also recognizing the critical importance of our efforts to achieve increasing competitiveness in order to win against a growing list of global competitors.
“This is important to everyone with a stake in Boeing – including our employees, the community and our customers – and we look forward to the ratification and a long successful future as the global leader in aerospace,” Conner said.
Boeing (Chicago) has announced the production on the 737 program will increase to 47 airplanes per month in 2017, the highest rate ever for the best-selling airliner in history. Once implemented, the 737 program will build more than 560 airplanes per year, and will have increased output by nearly 50 percent since 2010.
Boeing currently produces 38 airplanes per month from its Renton, Wash., factory and will increase the rate to 42 per month in the first half of 2014. First delivery of the 737 MAX is on track for third quarter of 2017.
Boeing (Chicago) according to this report by Reuters, has secured around 200 737 MAX orders from China from various carriers.
Read the full report: CLICK HERE
Boeing (Chicago) has just announced that it will adjust the production rate for the 747-8 program from 1.75 airplanes to 1.5 airplanes per month through 2015 because of lower market demand for large passenger and freighter airplanes.
The company expects long-term average growth in the air cargo market to begin returning in 2014, and forecasts global demand for 760 large airplanes (such as the 747-8) over the next 20 years, valued at $280 billion.
The 747-8 family provides airlines with double-digit improvements in fuel efficiency, operating costs and emissions, while being 30 percent quieter and adding more capacity. To date, the 747-8 has accumulated 107 orders for passenger and cargo versions, 56 of which have been delivered.
The first delivery at the new production rate is expected in early 2014. The production rate change is not expected to have a significant financial impact.
Copyright Photo: Nick Dean/AirlinersGallery.com. Boeing 747-8KZF N50217 (JA12KZ) (msn 36137) climbs away from the runway at Paine Field near Everett, WA.
JAL-Japan Airlines‘ (Tokyo) private corporate decision to order the Airbus A350 is sending shock waves through the Japanese aviation industry. According to report by Reuters, JAL informed the Japanese government it was switching to Airbus with a large order from Airbus for the A350 rather than the Boeing 777X with a simple e-mail at the time of the public announcement. Japanese companies and Boeing have a close business connection as Japanese companies are actively involved in Boeing projects. As a result, Boeing has always captured a large share of the Japanese market. This order has will undoubtedly change the dynamics between these Japanese companies and Boeing. ANA-All Nippon Airways (Tokyo) is fast approaching an order between Airbus and Boeing and is coming under political pressure to order Boeing long-haul aircraft. The Japanese government says it has a hands-off policy. Will Boeing lose again?
Meanwhile Boeing is revamping its marketing strategies (long overdue). Boeing has now lost a long list of airlines to Airbus. Boeing has only taken a few carriers away from Airbus. Embraer and to a lessor extent, Bombardier, are also taking a greater portion of the narrow body market.
Read the full article: CLICK HERE
The Boeing (Chicago) has issued the following statement:
The Boeing 787-9 Dreamliner took to the skies for the first time yesterday (September 17), beginning a comprehensive flight-test program leading to certification and delivery in mid-2014.
With its distinctive new Boeing livery, the newest member of the efficient 787 family completed a 5-hour, 16-minute flight, taking off from Paine Field in Everett, Washington, at 11:02 a.m. local time and landing at 4:18 p.m. at Seattle’s Boeing Field.
“Today’s first flight marks a significant milestone for our team, including our partners,” said Boeing Commercial Airplanes President and Chief Executive Officer Ray Conner. “We are tremendously proud to have our customers fly the 787-9 and look forward to delivery of the first airplane to Air New Zealand next year.”
During today’s flight, 787-9 Senior Project Pilot Mike Bryan and 787 Chief Pilot Randy Neville departed to the north, reaching an altitude of 20,400 feet (6,218 meters) and an airspeed of 250 knots, or about 288 miles (463 kilometers) per hour, customary for a first flight. While Capts. Bryan and Neville tested the airplane’s systems and structures, onboard equipment transmitted real-time data to a flight-test team on the ground in Seattle.
“We accomplished a lot in this flight, and it went really well,” said Bryan. “The 787-9 is a great jet and we wanted to just keep on flying.”
Powered by two Rolls-Royce Trent 1000 engines, the first 787-9 will be joined in flight test by two additional airplanes, one of which will feature General Electric GEnx engines. Those airplanes are in the final stages of assembly in Boeing’s Everett factory. Over the coming months, the fleet will be subjected to a variety of tests and conditions to demonstrate the safety and reliability of the airplane’s design.
The 787-9 will complement and extend the 787 family, offering airlines the ability to grow routes first opened with the 787-8. With the fuselage stretched by 20 feet (6 meters) over the 787-8, the 787-9 will carry 40 more passengers an additional 300 nautical miles (555 kilometers), with the same exceptional environmental performance — 20 percent less fuel use and 20 percent fewer emissions than similarly sized airplanes. The 787-9 leverages the visionary design of the 787-8, offering the features passengers prefer such as large, dimmable windows, large stow bins, modern LED lighting, higher humidity, a lower cabin altitude, cleaner air and a smoother ride.
Boeing is on track to deliver the 787-9 to launch customer Air New Zealand in mid-2014. Twenty-five customers from around the world have ordered 388 787-9s, accounting for 40 percent of all 787 orders.
Copyright Photo: Boeing.
Boeing (Chicago), China’s leading provider of passenger airplanes, projects a demand for 5,580 new airplanes in China over the next 20 years valued at $780 billion. The company’s annual China Current Market Outlook forecasts the country’s fleet to triple in size over the next two decades.
Tourism in China and intra-Asia travel will help spur a strong demand for single-aisle airplanes, with total deliveries in that segment reaching 3,900 through 2032. Tinseth said both the Next-Generation 737 and the new 737 MAX offer significant advantages in improved capabilities, fuel efficiency and maintenance costs, as well as enhanced environmental performance.
Long-haul international traffic to and from China is forecasted to grow at an annual rate of 7.2 percent. The international growth is primarily driven by anticipated passenger traffic between China and North America, Europe, the Middle East, Oceania and Africa. This growth in the long-haul segment is expected to result in demand for an additional 1,440 new fuel-efficient widebodies, such as the 787 Dreamliner, 777 and 747-8 Intercontinental.
New Airplane Deliveries to China: 2013-2032
|Airplane type||Seats||Total deliveries||Dollar value|
|Regional jets||90 and below||240||$10B|
|Large wide-body||400 and above||100||$30B|
(16% of world total)
(16% of world total)
Boeing projects investments of $4.8 trillion worldwide for more than 35,000 new commercial airplanes to be delivered during the next 20 years. The complete forecast is available at www.boeing.com/commercial/cmo/index.html. China accounts for approximately 16 percent of the total demand in terms of both new deliveries and market value.
Top and Bottom Copyright Photos: Ivan K. Nishimura/Blue Wave Group. China Southern Airlines‘ Boeing 737-71B B-5283 (msn 38919), the 4,000th Next Generation 737, passes through Honolulu on its long delivery flight to China.
Boeing (Chicago) yesterday (August 29) marked the launch of 787 customer training in Miami, site of the company’s largest commercial aviation training campus. AeroMexico (Mexico City) and LAN Airlines (Santiago) are the first two customers to train on the 787 suites at the Boeing Flight Services Miami campus.
Boeing has greatly enhanced its overall training capability in Florida following an announcement in March 2013 that the company would relocate training devices from Seattle to Miami. To better serve airlines and meet growing personnel training requirements, two 787 full-flight simulators are now located at the Miami campus as well as an additional Next-Generation 737 full-flight simulator and 717, 747 and 767 simulators. An additional 777 simulator will locate in Miami later this year. These seven devices will bring total capability in Miami to 17 full-flight simulators across airplane types, making the campus one of the largest commercial flight training facilities in the world.
According to Boeing, “the consolidation of Boeing flight training campuses in the Americas is designed to bring training closer to where customers operate, reducing travel times for airline crews and the costs of sending students for training. Miami is an international hub for commercial aviation training and provides geographic diversity within the framework of Boeing’s global commercial training network – and convenience that airlines prefer.”
Boeing Flight Services, a business unit of Commercial Aviation Services, operates a geographically diverse network of 20 flight and maintenance training campuses on six continents. In addition to Miami, Boeing offers 787 training in strategically located campuses in Singapore, Shanghai and London.
Top Copyright Photo: Boeing. At the opening event attended by Florida Governor Rick Scott as well as a number of other federal, state and local officials, community leaders and airline customers, Boeing also established Miami as its pro forma flight training campus for the Americas — the location where airline crews will receive the initial training provided to Boeing customers for new model airplane introductions. Florida Governor Rick Scott (left) and Sherry Carbary, vice president, Boeing Flight Services (right) are seen inside the 787 simulator at the Miami campus.
Bottom Copyright Photo: Boeing. Pictured here is the advanced 787 full-flight simulator at the Miami campus.
Boeing (Chicago) is asking all operators of around 1,200 Boeing aircraft to inspect the Honeywell ELT devices on board the aircraft. According to this report by Reuters, ”Boeing is asking specific operators of 717, Next-Generation 737, 747-400, 767 and 777s to inspect aircraft with the Honeywell fixed emergency locator transmitters,” a Boeing spokesman said in an emailed statement sent late yesterday. Airbus is also reviewing its ELTs made by Honeywell.
The action comes as a result of the findings of the fire in a Honeywell ELT on board a parked Ethiopian Airlines Boeing 787-8 at London’s Heathrow Airport.
Read the full report: CLICK HERE
Qatar Airways (Doha) stated yesterday (July 26) it had taken one of its Boeing 787-8 out of service for a “minor” technical issue according to this report by Reuters. New pressure is mounting on Boeing over possible new electrical problems.
The airline and Boeing declined to give further details but industry sources said they were treating seriously reports that the aircraft had been grounded for days after smoke was seen near an electrical panel according to the report.
Read the full report: CLICK HERE
Copyright Photo: Nick Dean/AirlinersGallery.com. Newly-manufactured Boeing 787-8 A7-BCE (msn 38323) is pictured leaving Paine Field near Everett, WA yesterday (July 26) on delivery.
Boeing (Chicago) continues to make progress on the first 787-9 Dreamliner, which also has become the first 787 to don the new Boeing Commercial Airplanes livery. The airplane has just rolled out of the paint hangar.
This refreshed look for the Boeing family began with the 747-8 and evolved with the 737 MAX. The new livery retains many of the features of the original 787-8 livery, adding a prominent number on the tail to help distinguish among models within the same product family.
The 787-9 will complement and extend the 787 family, offering airlines the ability to grow routes opened with the 787-8. With the fuselage stretched by 20 feet (6 meters), the 787-9 will carry 40 more passengers an additional 300 nautical miles (555 kilometers), with 20 percent less fuel use and 20 percent fewer emissions than similarly sized airplanes. The 787-9 leverages the visionary design of the 787-8, offering the features passengers prefer such as large, dimmable windows, large stow bins, modern LED lighting, higher humidity, a lower cabin altitude, cleaner air and a smoother ride.
Boeing is on track to roll out and fly the 787-9, currently in final production, in late summer. First delivery to launch customer Air New Zealand is set for mid-2014.
Copyright Photo: Boeing.
The Boeing Company (Chicago) reported second-quarter core earnings per share (non-GAAP) increased 13 percent* to $1.67, driven by strong performance across the company’s businesses (Table 1). Second-quarter core operating earnings (non-GAAP) also increased 13 percent* to $2.0 billion from the same period of the prior year. Second-quarter revenue was $21.8 billion, GAAP earnings from operations was $1.7 billion and earnings per share was $1.41. Core earnings per share guidance increased to between $6.20 and $6.40 and GAAP earnings per share guidance increased to between $5.10 and $5.30, reflecting the strong performance. The company also increased its revenue guidance to between $83 and $86 billion on higher Defense, Space & Security revenues, and reaffirmed its 2013 operating cash flow outlook.
Second Quarter Financial Results:
- Core EPS (non-GAAP)* rose 13 percent to $1.67 on strong operating performance; GAAP EPS of $1.41
- Revenue increased 9 percent to $21.8 billion reflecting higher deliveries on the 787 and 737 programs
- Backlog grew to a record $410 billion, including $40 billion of net orders during the quarter
- Operating cash flow before pension contributions* more than doubled to $3.5 billion
- 2013 Core EPS guidance increased to between $6.20 and $6.40; GAAP EPS to between $5.10 and $5.30
* Non-GAAP measures (core operating earnings, core operating margin and core earnings per share) exclude certain components of pension and post retirement benefit expense that the company believes are not reflective of underlying business performance. Complete definitions of Boeing’s non-GAAP measures begin on page 6, “Non-GAAP Measures Disclosures.”
Boeing (Chicago) has completed the firm configuration of the 737 MAX 8. This milestone marks completion of the major trade studies that define the capabilities of the 737 MAX family.
As detailed designs are completed and released, production can begin. Final assembly of the 737 MAX 8 is scheduled to begin in 2015 with first delivery scheduled for the third quarter of 2017.
The 737 MAX will be 13 percent more fuel-efficient than today’s most efficient single-aisle airplanes and 8 percent more fuel-efficient per seat than tomorrow’s competition. The configuration includes new LEAP-1B engines from CFM International that are optimized for the 737 MAX, a redesigned tail cone and the Boeing designed Advanced Technology Winglet to reduce fuel use. Other changes incorporated include upgrades to the flight deck displays, an electronic bleed air system and fly-by-wire spoiler flight controls.
The 737 MAX family includes the 737 MAX 7, 737 MAX 8 and 737 MAX 9 and will serve the 100- to over 200-seat market. The 737 MAX will extend the Next-Generation 737 range advantage with the capability to fly more than 3,500 nautical miles (6,482 km), an increase of 400-540 nmi (741-1,000 km) over the Next-Generation 737. First delivery of the 737 MAX 9 is planned for 2018 followed by first delivery of the MAX 7 in 2019.
To date, the 737 MAX has accumulated orders for 1,495 airplanes.
Boeing (Chicago) has rolled out the first Boeing 787-9. The 787-8 Dreamliner can carry 210 – 250 passengers on routes of 7,650 to 8,200 nautical miles (14,200 to 15,200 km), while the longer 787-9 Dreamliner will carry 250 – 290 passengers on routes of 8,000 to 8,500 nautical miles (14,800 to 15,750 km).
According to Wikipedia, the 787-9 will be the first variant of the 787 with a “stretched” or lengthened fuselage that is 206 feet (63 m) long. This variant differs from the 787-8 in several ways, including structural strengthening, a lengthened fuselage, a higher fuel capacity, a higher maximum take-off weight (MTOW), but with the same wingspan as the 787-8. When launched, the 787-9 had the same fuel capacity as the 787-8. The design differences meant higher weight and resulted in a slightly shorter range than the 787-8. After further consultation with airlines, design changes were incorporated to add a forward tank to increase its fuel capacity, so it has a longer range and a higher MTOW than the 787-8. Air New Zealand is the launch customer for the 787-9.
The 2013 50th International Paris Air Show at Le Bourget Airport is winding down for the manufacturers. We have been reporting this week on all of the order announcements.
There were several airliner flight demonstrations. Here is a sample:
Boeing demonstrated an Air India 787-8 Dreamliner at Paris:
Airbus demonstrated an A380 bound for British Airways at Paris:
Copyright Photo: Marcelo F. De Biasi/AirlinersGallery.com. Airbus A380-841 F-WWDD (msn 004) “Own the sky” also performed at the show.
Boeing (Chicago) announced today that first delivery of the 737 MAX 8 to launch customer Southwest Airlines (Dallas) will be a quarter earlier than originally scheduled – in the third quarter of 2017 instead of fourth quarter.
“Through our disciplined development on the 737 MAX program, the team has retired key technology risks,” said Scott Fancher, vice president and general manager, Airplane Development, Boeing Commercial Airplanes, during a briefing at the 2013 Paris Air Show. “We have informed our customers and they are pleased they will be able to put these more fuel-efficient airplanes in their fleets sooner than planned.”
Since launch in August 2011, the 737 MAX team has worked to define the final configuration of the airplane including new LEAP-1B engines from CFM International, a redesigned tail cone and the Advanced Technology winglet. Testing in the wind tunnel and data analysis prove that the 737 MAX configuration, set to be final in July, will give customers a 13 percent fuel-burn improvement over today’s most fuel efficient single-aisle airplanes.
The work done by Boeing has enabled the program to accelerate the 737 MAX schedule. “We continue to follow our knowledge points through the development process and we have an executable plan. Testing, improvement workshops, and solid early data have allowed us to validate the airplane’s performance and move the schedule forward,” said Fancher.
Image: Boeing. The Boeing 737 MAX will feature new large-format flight deck displays supplied by Rockwell Collins. The new displays will deliver enhanced visuals, improved reliability, lower spares and maintenance costs, lower weight and lower upgrade costs over the life of the airplane. The flight deck layout will maintain operational commonality with the Next-Generation 737 on entry-into-service of the 737 MAX while preparing the airplane for future flight deck capabilities.
Pictured here is an artist’s rendering of the 737 MAX flight deck with the four new large format displays.
Boeing launches the 787-10, ALC, GECAS, IAG-British Airways, Singapore Airlines and United Airlines place orders
Boeing (Chicago) announced today at the 2013 Paris Airshow that it has launched the 787-10 Dreamliner, the third member of the super-efficient 787 family. Commitments for 102 airplanes from five customers across Europe, Asia and North America provide a strong foundation to support development and production of the newest Dreamliner.
Customer launch commitments for the 787-10 include Air Lease Corporation, with 30 airplanes; GE Capital Aviation Services, with 10; International Airlines Group / British Airways, with 12 subject to shareholder approval; Singapore Airlines, with 30 and United Airlines, with 20 airplanes.
The new 787-10 will fly up to 7,000 nautical miles (12,964 km) — covering more than 90 percent of the world’s twin-aisle routes — with seating for 300-330 passengers, depending on an airline’s configuration choices. The second member of the family, the 787-9, is in final assembly in Everett, Wash., and is set to make its first flight later this year.
“The 787-10 Dreamliner will be the most-efficient jetliner in history. The airplane’s operating economics are unmatched and it has all the incredible passenger-pleasing features that set the 787 family apart as truly special,” said Boeing Commercial Airplanes President and CEO Ray Conner. “The 787-10 is 25 percent more efficient than airplanes of its size today and more than 10 percent better than anything being offered by the competition for the future.”
Design of the 787-10 has already started at Boeing, and international partners will be involved in detailed design in the months ahead. Final assembly and flight test of the 787-10 are set to begin in 2017, with first delivery targeted for 2018.
“Our ongoing investment in the 787 family is well-founded,” said Conner. “With the 787-10, we’ve designed an exceptional airplane supported by an efficient and integrated production system that can meet increasing demands and create new opportunities for us. Our team and our customers are excited about growing the product line and expanding our presence with this family of airplanes.”
The 787 family’s unique interior offers passengers technologies that make their flights more enjoyable, including large, dimmable windows; cleaner air; higher humidity; lower cabin altitude; bigger stowage bins; soothing LED lighting and a smoother ride. The 787-10 will share a common type rating not only with the 787-8 and 787-9 but also with the popular Boeing 777, giving airlines additional flexibility in scheduling and training flight crews.
United Airlines issued this statement:
United Airlines today increased its 787 Dreamliner order to 65 aircraft (including six previously delivered aircraft) with an order for 20 787-10s.United is the North American launch customer for the 787-10 and it expects delivery of its first aircraft in 2018. United ordered 10 incremental 787-10 aircraft and will convert 10 existing 787s on order to 787-10s, enabling the airline to further modernize its international widebody fleet by replacing older, less efficient aircraft. The advanced technology and composite construction of the 787 reduce fuel burn and carbon emissions, while providing a superior customer experience.
United is currently the only U.S. airline to operate the 787. United has six new 787-8 aircraft in service and had previous orders for an additional 49 Dreamliners consisting of both the -8 and -9 variants. The 787-10 is a stretched version of the 787-9 and will offer the lowest fuel burn per seat of any aircraft in its size category. The 787 offers up to 20 percent better fuel efficiency per seat than similarly sized aircraft, due in part to the more than 50 percent composite makeup of its structure. The 787 also boasts an enhanced inflight experience including larger windows, larger overhead bins and lower cabin altitude with enhanced ventilation systems that reduce the effects of jet lag.
The 787-10 order is the latest in United’s commitment to improve the efficiency of its fleet. In July of last year, United announced a narrowbody order for 100 Boeing 737 MAX 9 aircraft and 50 Boeing 737-900ER aircraft. In addition, United has an order for 25 Airbus A350 aircraft. The airline is also modernizing its United Express fleet by adding 70 76-seat Embraer aircraft that will be operated by United Express regional partners.
Boeing (Chicago) and GE Capital Aviation Services (GECAS) (Stamford), the commercial aircraft leasing and financing arm of General Electric (GE), announced today at the 2013 Paris Air Show a commitment to order 10 787-10X Dreamliners equipped with state-of-art GEnx engines, subject to the 787-10 program launch.
Boeing looks forward to working with GECAS to finalize the details of the agreement, at which time the airplanes will be posted to the Boeing Orders & Deliveries website as a firm order.
“We have studied the capabilities Boeing is developing for the 787-10X and anticipate strong demand from our airline customers for this airplane,” said GECAS President and CEO Norman C.T. Liu. “The 787-10X will be a perfect complement to our broad portfolio of modern, fuel-efficient aircraft offering the lowest operating costs in the market.”
Boeing has been working closely with airline and leasing customers to define the key capabilities and features of 787-10X, which would be the third and largest member of the 787 family. The 787-10X under consideration would add approximately 15 percent passenger capacity over the 787-9 with superior fuel efficiency to serve medium and long-haul markets.
Once finalized, these 787s will bring the total number of airplanes GECAS has ordered from Boeing to 598 since 1995, including 737s, 747s, 757s, 767s and 777s. To date, GECAS has taken delivery of 444 of the airplanes.
Boeing (Chicago) will reportedly formally launch a new 323-seat version of the 787, dubbed the 787-10, next week at the Paris Airshow according to this report by Reuters. Boeing did not have a comment.
Read the full report: CLICK HERE
Boeing (Chicago) projects a demand for more than 35,000 new airplanes over the next 20 years, valued at $4.8 trillion. The company released its annual Current Market Outlook (CMO) today in Paris, forecasting the world fleet to double over the next two decades. Both passenger traffic and cargo traffic are expected to grow 5 percent annually.
“This forecast gives us confidence as we increase our production rates and invest in new products like the 777X and 787-10X,” saidRandy Tinseth, vice president of Marketing, Boeing Commercial Airplanes. “Airlines are demanding more efficiency and that is exactly what we’ll be giving them.”
The single-aisle market, served by Boeing’s Next-Generation 737 and the future 737 MAX, is the main driver of the forecast and continues to show strength. 24,670 new airplanes will be needed in this segment due to the growth of low-cost carriers and airlines from emerging markets.
Widebodies, such as Boeing’s 747-8, 777 and 787 Dreamliner, also make up a large part of the forecast. 8,590 new airplanes will be needed in this segment, fueled in part by airlines replacing their older fleet with new, more fuel-efficient airplanes.
|New Airplane Deliveries: 2013-2032|
|Airplane type||Seats||Total deliveries||Dollar value|
|Regional jets||90 and below||2,020||$80B|
|Single-aisle||90 – 230||24,670||$2,290B|
|Small wide-body||200 – 300||4,530||$1,100B|
|Medium wide-body||300 – 400||3,300||$1,090B|
|Large wide-body||400 and above||760||$280B|
The market for new airplanes will continue to become more geographically balanced over the next two decades. Asia-Pacific, including China, will lead the way in total airplane deliveries.
|New Airplane Deliveries: 2013-2032|
After facing high and volatile fuel prices and a highly competitive environment, airlines have been forced to change the way they manage their business.
“Our customers are focused on growing their networks, managing their capacity and investing in new fleets,” said Tinseth. “These trends will shape market demand for airplanes that have highly efficiency, low operating costs, environmentally progressive technologies and a great passenger experience. We believe Boeing’s current and future products are perfectly aligned to meet those needs.”
About the Boeing Current Market Outlook
Since the beginning of the jet age, Boeing has produced a long-term market outlook which was first shared publicly in the early 1960s. The CMO is the longest running complete worldwide jet forecastand is regarded as the most respected and comprehensive analysis of the aviation industry.
The report and a feature, which provides an interactive database of forecast numbers, can be found at www.boeing.com/cmo.
Boeing (Chicago) has begun final assembly of the first 787-9 Dreamliner. The newest member of the 787 family began taking shape on schedule on May 30 in Everett, Washington, when Boeing started joining large sections of the super-efficient jet.
Boeing will build the first three 787-9s on its Temporary Surge Line in Everett to allow for smoother integration of the 787-9 into the production system while continuing to ramp up production across the 787 program.
The 787-9 will complement and extend the 787 family, offering airlines the ability to grow routes opened with the 787-8. With the fuselage stretched by 20 feet (6 meters), the 787-9 will carry 40 more passengers an additional 300 nautical miles (555 kilometers) while using 20 percent less fuel than similarly sized airplanes. The 787-9 leverages the visionary design of the 787-8, offering the features passengers prefer such as large, dimmable windows, large stow bins, modern LED lighting, higher humidity, a lower cabin altitude, cleaner air and a smoother ride.
The vertical stabilizer on this 787-9 reflects the new Boeing Commercial Airplanes livery, a refreshed look for the Boeing family of airplanes that started with the 747-8 and evolved with the 737 MAX. Many features of the livery on the original 787 are reflected in the new design. The prominent number designator on the tail helps distinguish various models within the same product family.
First flight of the 787-9 is scheduled for the second half of 2013, with first delivery to launch customer Air New Zealand set for early 2014. 20 customers around the world have ordered 355 787-9s, accounting for 40 percent of all 787 orders.
Copyright Photo: Boeing.
Boeing (Chicago) yesterday (May 29) celebrated the 50th delivery of a 747-800. Lufthansa (Frankfurt), the launch customer of the passenger version, took delivery of the milestone aircraft almost one year after the first revenue flight of the 747-800 Intercontinental. It is the airline’s seventh 747-8 and its 82nd 747.
Boeing delivered the first 747-800 Intercontinental to Lufthansa in April 2012. The airplane entered service on June 1, 2012 with a flight from Frankfurt, Germany to Washington (Dulles), D.C. Cargolux Airlines took delivery of the first 747-800 Freighter in October 2011. To date, 35 Freighters and 15 Intercontinentals, including eight of the Boeing Business Jet version, have been delivered.
Top Copyright Photo: Boeing. Pictured at a soggy Paine Field, Boeing 747-830 D-ABYI (msn 37833) was handed over to the carrier on May 29.
Bottom Copyright Photo: Joe G. Walker/AirlinersGallery.com. Another view of D-ABYI arriving at Paine Field on May 18.
Boeing (Chicago) and Southwest Airlines (Dallas) announced today the launch of the 737 MAX 7, the third member of the 737 MAX family. The carrier and launch customer for the 737 MAX program became the first airline to order the 737 MAX 7, when it converted 30 existing orders for Next-Generation 737s into orders for the 737 MAX 7.
Southwest also exercised options to add five more Next-Generation 737-800s to its fleet. These airplanes, along with the 737 MAX 7s, are part of Southwest’s ongoing effort to improve fuel efficiency and profitability. The 737 MAX 7 supports Southwest’s expanding fleet modernization effort. Southwest is expected to take its first 737 MAX 7 delivery in 2019.
“We are thrilled to announce that Southwest Airlines and Boeing have entered into an agreement for Southwest to be the launch customer for the Boeing MAX 7 series, with deliveries beginning in 2019,” said Gary C. Kelly, Southwest Airlines Chairman of the Board, President, and CEO. “The 737 MAX 7 builds on the strengths of today’s Next-Generation 737-700, incorporating the latest CFM International LEAP-1B engines is expected to reduce fuel burn and CO2 emissions by an additional 12 percent over today’s most fuel-efficient single-aisle airplane.”
The 737 MAX 7 (below) brings the most advanced engine technologies to the world’s best-selling airplane, building on the strengths of today’s Next-Generation 737-700. The 110-ft long airplane incorporates the latest CFM International LEAP-1B engines to deliver improved efficiency with the most reliability and passenger comfort in the single-aisle market. The 737 MAX 7 also will extend the range over today’s 737-700 by approximately 400 nautical miles (741 km).
“Southwest has been a valued partner in the evolution of the 737 program,” said Boeing Commercial Airplanes President and CEO Ray Conner. “We have worked together to launch several models of the 737 including the 737 MAX family in 2011. We are excited to bring the 737 MAX 7 to market with Southwest.”
With the MAX 7 conversions and exercised options for 737-800s, Southwest’s unfilled orders consist of 180 737 MAX airplanes and 137 Next-Generation 737s. The 737 MAX now has orders for 1,315 airplanes.
In other news, Southwest Airlines’ Board of Directors, at its meeting held today, significantly increased the Company’s quarterly dividend to $.04 per share from $.01 per share. Annualized, this amounts to over $100 million. The increase in the quarterly dividend will begin with the 147th consecutive quarterly dividend declared today to Shareholders of record at the close of business on June 5, 2013 on all shares then issued and outstanding. The dividend will be paid on June 26, 2013. The Board also increased the Company’s existing $1 billion share repurchase authorization to $1.5 billion. Of the remaining share repurchase authorization, an initial $250 million of Southwest common stock will be repurchased under an accelerated stock repurchase program.
Gary C. Kelly, Chairman of the Board, President, and CEO, stated: “Over the past 24 months, we have returned over 20 percent of our operating cash flows, or approximately $770 million, to Shareholders through share repurchases and dividends. I am pleased to announce several actions taken today by our Board that follow through with our commitment to deploy free cash flow1 to our Shareholders. The Board authorized an increase in our quarterly dividend payment to $.04 per share from $.01 per share. Based on yesterday’s closing stock price of $13.98, this would provide an approximate one percent annual dividend yield to our Shareholders. The Board also increased our existing $1 billion share repurchase authorization to $1.5 billion. To date, $725 million in share repurchases of the $1.5 billion authorization have been completed since August 2011. This means we have the authority to repurchase an additional $775 million of our common stock. We intend to execute an agreement today to repurchase $250 million of our shares under an accelerated stock repurchase program, which, upon implementation, will immediately bring shares back into the Company.
Top Copyright Photo: Brian McDonough/AirlinersGallery.com. With this announcement, Southwest exercised options to add five more Next-Generation 737-800s to its growing fleet. Boeing 737-8H4 WL N8308K (msn 36682) arrives at Washington (Reagan National).