Monday, July 17, 2006

Losses imperil Boeing, Airbus orders

India's airlines, Asia's biggest customers for Airbus SAS and Boeing Co last year, may slow or even cancel orders as they face difficulty raising funds amid mounting losses.
Jet Airways (India) Ltd, Kingfisher Airlines Ltd and other Indian airlines will have a combined loss of US$250 million both this year and next as they cut fares to meet rising competition, according to the Center for Asia Pacific Aviation.
Investors have shunned share and debt offerings as they await a shakeout in the industry, according to Bloomberg News.
The carriers need to fund the purchase of more than 200 planes valued at US$32 billion ordered from Airbus and Boeing.
After being the biggest customers at the Paris and Dubai air shows last year, the airlines likely won't make large orders at the Farnborough Air Show this week.
17/07/06 Anand Krishnamoorthy/Shanghai Daily, China
To Read the News in full at Source, Click the Headline


Post a Comment