Posturing, negotiations affecting Boeing S.C.’s first delivery

Negotiations and posturing are affecting the delivery date of the first Lowcountry-built 787 as Air India tries to capitalize from the 787 program’s delays.
Jack Jones, vice president and general manager of Boeing South Carolina, said in April the aerospace giant planned to deliver the first 787 to Air India sometime in June. The Boeing Co. rolled the airplane from its final assembly factory in North Charleston to the flight line on April 27, and since then, Boeing has readied the 787 for delivery.
But Boeing has not announced when it will deliver the plane, and Adam Pilarski attributes the delay to Air India. Pilarski is the senior vice president of Avitas, an aviation consulting firm.
“The airline is kind of notorious for being mismanaged for decades,” Pilarski said, adding Air India is government-owned and “heavily influenced” by politics.
The airline is trying to use 787 program’s delay in deliveries as leverage, he said. Boeing’s 787 program is about three years behind.
“I am not privy to the details of the contract and the negotiation, but India or the government of India is trying to get as much out of Boeing as possible,” Pilarski said.
Some of Air India’s demands — like reports of a $1 billion payment from Boeing — are childish, he said.
“And I think that it’s action by government bureaucrats (who) do not realize how the real world works,” Pilarski said.
The Indian government wants cash, while Boeing may be willing to pay them in discounts for future airplanes, Pilarski said, reiterating he is not involved in the discussions.
02/07/12 Matt Tomsic/Charleston Regional Business Journal

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Categories: Air India Jul 2012, Foreign Jul 2012