Airbus for relook at Boeing deal of A-I Express

The Economic Times ^ | June 1, 2005 | G GANAPATHY SUBRAMANIAM

[NASBWI]

NEW DELHI: In a new twist to the controversy over the purchase of aircraft by the Air-India at an estimated cost of over $7 billion, Europe-based aircraft manufacturer Airbus has sough fresh evaluation for the 18 189-seater planes that have been selected for Air-India Express, a fully-owned subsidiary of the national carrier.

In a letter to the airline, Airbus has said that selection of aircraft should be done on a typical low-cost configuration. A-I had evaluated the deal on a two-class configuration but finally chose to buy the 18 planes with an all-economy configuration.

The Maharajah has favoured purchase of 18 Boeing B737-800 for its low-cost subsidiary and the proposal is now under the consideration of the Centre.

Apart from reiterating its demand for evaluation of wide-bodied aircraft, the carefully-worded letter also seeks to respond to several issues raised by Air-India after the aircraft manufacturer criticised the airline’s decision to recommend purchase of 50 wide-bodied planes manufactured by Boeing.

Written by Airbus senior vice president Kiran Rao to A-I, the letter seeks to explain the reasons for the multinational company’s anguish over repeated rejection by the airline.

[NASBWI]

Airbus really needs to let this go. Talk about sour grapes!

[NASBWI]

ping.

[FlipWilson]

AI reacting to losing this bid is a clear illustration of how the entitlement culture of most of Europe has permeated every aspect of their being. It is the very reason the French rejected the EU Constitution. They can't, and don't want to, compete in the free market (or they don't want others to use the same dirty tricks they use to rig the freemarket). They want things as a matter of entitlement. Hence you have Air Bus saying, "you can't select Boeing over us, WE ARE ENTITLED TO WIN YOUR BID!!!"

[af_vet_1981]

Written by Airbus senior vice president Kiran Rao to A-I, the letter seeks to explain the reasons for the multinational company’s anguish over repeated rejection by the airline.

So this guy shows up at the wedding with a letter for the bride seeking to explain the reason for his anguish over her repeated rejection of his request for her hand in marriage ...

[Mike Darancette]

chose to buy the 18 planes with an all-economy configuration.

This configuration has more room for riding on top.

[andyk]

Airbus has said that selection of aircraft should be done on a typical low-cost configuration

Unbelievable arrogance. You're right, they really need to let this go!

[Chode]

can the airbus OPUS be far behind???

if you don't buy this airplane--- we will never sell you any more airplanes, ever, not in a million years, not if you begged us, not if you were the only airline left on earth, screw you guys... i'm going home!!!

[NASBWI]

I can only imagine. And with the deliveries of their A380 already pushed back another six months, you'd think they'd have bigger fish to fry (all pun intended).

[Righty_McRight]

The French are baaaaaaaack. They're are going to nag you to death if you don't buy their fighters.

[sukhoi-30mki]

That's the ideal situation for a customer as the bidders will dance to it's tune.If a single vendor system was followed(as was planned in 1999),that wouldn't have been the case.The South Korean F-x requirement was such an example where the ROKAF dictated terms.

[dervish]

On another front...The US is re-starting a WTO case against Airbus over subsidies. That hurts.