Jet Wars, Episode ‘06 — Chapter I: No Summer Picnic

Published 9:00 pm Tuesday, May 23, 2006

Lest we forget, this report from the Daily Post in Liverpool reminds us http://icliverpool.icnetwork.co.uk/business/news/tm_objectid=17122121&method=full&siteid=50061&headline=decision-soon-on-aid-for-airbus-name_page.html there’s liable to be loud angry exchanges this summer over the issue of A350 launch aid.

Airbus will make a pitch for increases in government loans to officials of Spain, France, Germany and the United Kingdom prior to the Farnborough air show, the paper reports.

Key Quote: “The A350 twin-engine jet is intended to compete in the long haul market with Boeing’s new 787 Dreamliner but is being redesigned by the company after customer criticism. That could double development costs to about £6bn.”

That’s about $11.3 billion. Under previous trade agreements with the United States, Airbus could turn to the four governments for government loans to cover a third of the total, but as all of us airplane geeks now, both the United States and European Union are fighting over aerospace subsidies before the World Trade Organization.