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Airbus A380 Freighter's future hinges on UPS decision
Flight International Online ^ | 18 December 2006 | Max Kingsley-Jones

Posted on 12/19/2006 8:58:23 AM PST by lowbuck

Airbus is waiting to hear whether United Parcel Service (UPS) wants to continue with its order for 10 A380 Freighters before deciding whether to pursue early development of the all-cargo variant.

The express package carrier is now the sole remaining A380F customer, following International Lease Finance's (ILFC) decision to switch its five orders to the passenger variant under a renegotiated deal that has seen all its A380 deliveries pushed back to 2013 and beyond.

Airbus says that, under the revised A380 production plan, certification of the A380F is scheduled for the fourth quarter of 2009, in line with UPS's original delivery plan for the aircraft.

UPS has held talks with Airbus about the order but, according to industry sources, is also evaluating the Boeing 747-8F and 777F - the latter being the aircraft to which FedEx Express recently switched after cancelling its A380 order.

Should UPS cancel its order, Airbus may opt to shelve A380F development

Should UPS decide to cancel its order - and, according to Airbus chief operating officer John Leahy, A380 customers have that right - it will leave Airbus with no orders for the freighter. This could prompt it to shelve development of the aircraft to focus on more pressing issues, such as sorting out the passenger programme.

Leahy says the airframer has told UPS: "If you want the A380F, we'll build it for you." UPS tells Flight International: "At this point, we are still planning to purchase the aircraft."

Leahy confirmed the ILFC freighter revamp earlier this month as part of the delivery deferral. "ILFC had the right to switch its five freighters to the passenger version and it has exercised that right."

Before the original production delays last year, ILFC's A380s were scheduled for delivery from 2007. The lessor had announced the placement of two passenger A380s to Emirates, and Leahy says Airbus is now in talks with the airline about it taking those two A380s directly.

Production of the first A380F structural components, such as fuselage panels, wing and centre wing box, has begun, and 50% of the required structural design drawings have been released. At its peak, Airbus had accumulated 27 orders for the A380F from Emirates (two), FedEx (10), ILFC (five) and UPS (10).


TOPICS: Business/Economy
KEYWORDS: a380; aerospace; airbus; boeing; eads
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Tick, tock. . . tick, tock . . . is the clock ticking down for the A380 freighter?
1 posted on 12/19/2006 8:58:26 AM PST by lowbuck
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To: lowbuck

Man is Airbus desperate. Creating a whole variant just to sell 10 airframes? Unless they know they can move more later, this is a colossal waste....

Oh wait... I forgot who we were talking about...


2 posted on 12/19/2006 9:01:19 AM PST by eraser2005
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To: lowbuck

I think the entire A380 program is going to die.

They still haven't figured out who is going to pay to reconfigure numerous terminals around the world to support access for the plane.


3 posted on 12/19/2006 9:01:39 AM PST by EQAndyBuzz ("Give me four years to teach the children and the seed I have sown will never be uprooted." Lenin)
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To: lowbuck

Mssage to UPS: If you choose Airbus, I will close my account and move to Federal Express. Now, if only about 100 million other people follow me...


4 posted on 12/19/2006 9:03:20 AM PST by TommyDale (Iran President Ahmadinejad is shorter than Tom Daschle!)
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To: TommyDale

I have joined you. Note to U.P.S: Buy Boeing!


5 posted on 12/19/2006 9:05:00 AM PST by Minutemen ("It's a Religion of Peace")
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To: Minutemen

Airbus repair kit:

Photobucket - Video and Image Hosting

6 posted on 12/19/2006 9:06:03 AM PST by TommyDale (Iran President Ahmadinejad is shorter than Tom Daschle!)
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To: lowbuck

C'mon UPS, you know you want a Boeing. Pull the trigger on the A380 and put it out of its misery.


7 posted on 12/19/2006 9:08:07 AM PST by Unmarked Package
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To: Unmarked Package

Perhaps Airbus will give the airplane to UPS for free in order to keep the jobs program alive.


8 posted on 12/19/2006 9:13:59 AM PST by longtermmemmory (VOTE! http://www.senate.gov and http://www.house.gov)
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To: TommyDale
Mssage to UPS: If you choose Airbus, I will close my account and move to Federal Express. Now, if only about 100 million other people follow me..

Both UPS and FedEx have Airbus A300 freighters.

9 posted on 12/19/2006 9:20:02 AM PST by Paleo Conservative (Karl Rove isn't magnificent.)
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To: lowbuck

Let them eat crow.


10 posted on 12/19/2006 9:22:48 AM PST by chit*chat
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To: Paleo Conservative

Yes, but they can help keep the A380 from succeeding by not ordering any.


11 posted on 12/19/2006 9:23:18 AM PST by TommyDale (Iran President Ahmadinejad is shorter than Tom Daschle!)
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To: Paleo Conservative

Real headline should be UPS is looking for an additional 35-50% discount as a premium to preserve European/French/German pride.


12 posted on 12/19/2006 9:24:21 AM PST by appeal2
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To: Paleo Conservative

[chuckle] Here's my note to UPS: buy the best freighter you can for the money you have. Merry Christmas.


13 posted on 12/19/2006 9:25:29 AM PST by 1rudeboy
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To: lowbuck
Airbus A380: The BIG PIG
14 posted on 12/19/2006 9:27:46 AM PST by sionnsar (?trad-anglican.faithweb.com?|Iran Azadi| 5yst3m 0wn3d - it's N0t Y0ur5 (SONY) | UN: Useless Nations)
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To: lowbuck

How stooopid, delivering the packages by airBUS!
Consider Boeing airTRUCK!


15 posted on 12/19/2006 9:32:54 AM PST by Leo Carpathian (ffffFReeeePeee!)
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To: eraser2005
Most of the design team for the A380F is also working on the A380 stretch version. Most of the beefing up of the wing and airframe directly translates to both versions. And, given that Airbus is not designing a freighter with a nose loading door, the A380F is limited to only side loading doors and containerized cargo.

When you do that, it's no big deal to convert a passenger airframe to a cargo airframe, and no big deal to drop it.

16 posted on 12/19/2006 9:39:58 AM PST by Yo-Yo (USAF, TAC, 12th AF, 366 TFW, 366 MG, 366 CRS, Mtn Home AFB, 1978-81)
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To: EQAndyBuzz
I think the entire A380 program is going to die. They still haven't figured out who is going to pay to reconfigure numerous terminals around the world to support access for the plane.

Socialist programs never die, they just linger on and on. Now would be the time to get a job on the A380 production line. Guaranteed job and no work.

17 posted on 12/19/2006 9:41:01 AM PST by SampleMan (Islamic tolerance is practiced by killing you last.)
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To: EQAndyBuzz
[ I think the entire A380 program is going to die. ]

But does UPS know?...

18 posted on 12/19/2006 9:44:41 AM PST by hosepipe (CAUTION: This propaganda is laced with hyperbole)
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To: TommyDale

Au contraire, If UPS keeps its order active it will require Airbust to keep diverting resources to the "F" (how appropriate) version. UPS just needs to negotiate an out in about three years.


19 posted on 12/19/2006 9:52:34 AM PST by lafroste (gravity is not a force. See my profile to read my novel absolutely free (I know, beyond shameless))
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To: lowbuck

My future business dealings with UPS, also depends on their decision.....

I'm just looking for another justification to switch to FedEx or the USPS....

Semper Fi


20 posted on 12/19/2006 11:18:42 AM PST by river rat (You may turn the other cheek, but I prefer to look into my enemy's vacant dead eyes.)
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