Airbus clinches landmark jet order with Japan Airlines
(This October 7 story has been filed again to correct typographical spelling error of 'Rolls-Royce' in paragraph 24.)
By Tim Hepher and Tim Kelly
BARCELONA/TOKYO (Reuters) - Airbus EAD.PA clinched its first jet order from Japan Airlines (9201.T: Quote) on Monday, cracking a big national market long dominated by the European firm's main rival, Boeing (BA.N: Quote).
The U.S. planemaker acknowledged it had paid a penalty for the mechanically troubled debut of its 787 Dreamliner.
The landmark deal for 31 wide-body A350 jets with a combined $9.5 billion list price follows an intense battle between the two manufacturers as JAL and domestic rival ANA Holdings Inc (9202.T: Quote) seek dozens of new long-haul jets over the next decade.
The agreement, which is also likely to unsettle a Japanese aerospace industry that builds large portions of Boeing's jets, includes options for another 25 of the A350s.
"This is a huge win for Airbus and a big loss for Boeing," said aerospace analyst Scott Hamilton, managing director of Seattle-based Leeham Co.
"Airbus has been trying to break the wide-body monopoly of Boeing for decades and likewise Boeing has been wanting to keep Airbus out of JAL and ANA." Continued...