1/27/2016

B777 Classic / B777X gap

Scott Hamilton has a new projection regarding the production gap of the B777 Classis (see here and here).
Looking at my own model I come to similar conclusions. According to my information, which might not be the newest and most accurate any more, but should not be too far off the current planning at Boeing, the complete production rollover from the current B777 Classic to the B777X should be done by  early 2023, as is shown in Scotts picture.
According to my math and including the six aircraft which were booked in January I get a gap of 249 aircraft which needs to be sold to keep the production rate at 7.33 until the B777X takes over full production in 2023. I started the 7.33 rate in Q2 2019 here, when the  B777X "feathers in" the production (using "Boeing tech talk" here).




If we go down to a rate of 7 aircraft a month in early 2018 we would end up with 214 open production positions.


I think this clearly shows the need of a rate cut for the B777 Classic and that this rate cut has to come soon. We will see how hard analysts will question Boeing today on that. But meanwhile it seems that Boeing acknowledged that need...


UPDATE: Boeing just announced to cut production to 7 aircraft per month in 2017. When I put that into my model, Boeing is still 198 oders short. This first production cut of the B777 Classic might not have been the last one.

11/24/2015

A320neo with PW1127G-JM certified!


Two important milestones for the A320neo program in one week: last week the LEAP-1A and the identical -1C) got it’s certification, both from the FAA and the EASA.  Today, the A320neo got it’s Type Certificate with the PW1100G-JM. The road to EIS is now free and we can expect that the first aircraft will be delivered until the end of the year, almost exactly 5 years after Airbus announced the A320neo on Dec. 1st, 2010.

The A320neo has about 4500 firm orders today, enough backlog for 7-8 years of production.

Now the suppliers, first and foremost the engine suppliers have to show that they can meet the ramp up. This will be no easy Task!

In my last post I wrote that there is a significant downturn in flying time of the two A320neo equipped with the LEAP-1A. Since then it even got worse. In the last week, there was only one flight from the D-AVVB, the 2nd LEAP-1A prototype. The week before also saw less

11/13/2015

A320neo flight test program


After Airbus launched the A320neo program on Dec. 1st, 2010 we are now close to entry into service, with Qatar Airways as the first customer. After several - say - hick-ups in the test program it now looks as the PW1100G powered version is successfully completing the last steps in the certification program. The third aircraft with the GTF engines, an aircraft that will be delivered to Indigo later, joined the test fleet and is doing Function and Reliability testing. There were two hick-ups there two, one in Thessaloniki, were the aircraft was on ground for several days and another in Kiruna, were the aircraft flew back two days later.

9/16/2015

A320neo and B737MAX market shares

Boeing had a press release yesterday announcing the first B737MAX is now in the final assembly. First flight is expected in early 2016. Bjorn Fehrm writes here about the timing of EIS of the new or reengined narrowbodies and regionals (he is not right on one thing though: the first flight of the A320neo was NOT late by 6 months).What becomes clear (well, as of now...) is that the B737MAX will enter Airline Service earlier than previously thought. This is also backed from Alaska Airlines, which expects the first B737MAX-8 now in late 2017 rather in early 2018.

There is always a lot of "discussion" between Airbus and Boeing about the market share of the A320neo vs. the B737MAX. Airbus maintains to argue that the A320neo has a market share of 60% where Boeing also consistently says that in the long run market shares will be

9/11/2015

Widebody Order Gap Update Septermber 2015


Another update of the „bridge situation” for both the A330ceo/neo and the B777/B777X:



There has been some moves regarding the A330. In August Airbus announced some more orders, 22 of them from undisclosed customers. Whether these orders are part of the 45 aircraft order from China is not clear (yet), so there is some uncertainty around it.
On the other side AirAsia X canceled most of their outstanding A330ceo orders, as I suspected back in March this year. But the cancellation is not yet in the orderbook, so we have to keep in mind that the “real” number of open orders is 12 less than in the O&D Excel Sheet. Plus 15 less for Kingfisher of course. Some other risks remain as I mentioned before.
On the other hand the announced purchases of four aircraft from EVA and four by South