brace for turbulence
23 October 2006
I’ve been busy again, but some things take priority around here, like catching up with my flying schedule (I fell behind thanks to an ear infection… ugh). Anyway, in the past few weeks there have been a couple of interesting developments. BAE Systems sold their 20% share in Airbus – finally – after six months or so of wavering. The industry is going through some interesting times, and it could be a rough ride for a while.
The Airbus problems that have been cropping up are getting worse, with EADS admitting announcing that the A380 program now has to sell over 400 airframes to break even. The previous estimate was 270, and as of last week 159 firm orders had been placed. Not everything about this is bad, as Airbus and Boeing agree that the market for 747-and-larger aircraft is at least 600 airframes over the next few decades, but it’s going to rob Airbus of the capital they desperately need to get the A350 program off the ground.
Boeing’s 787 sales have continued at an absurd pace, outpacing any other widebody aircraft in history. This has the potential to be a curse as well as a blessing, as any delays will have long-term effects. Still, its popularity is providing Boeing with the funds to get the new 747-8 going. Over 40 orders have been placed for the freighter, with recent changes to the passenger ‘Intercontinental’ model stretching it to match the freighter. It’ll be interesting to see if any airliner sales happen in the next year; British Airways has remained noticeably quiet on the 747-400 replacement issue.
The efficiency increases in aircraft like the 787, 747-8, A380, and A350 are very impressive, and while they’re driven by rising fuel costs, the benefits are seen in our environment as well. So, with that in mind, it’s interesting to consider some of the ‘carbon neutral’ programs cropping up around the world. TerraPass has a system for frequent travelers that effectively counters the carbon dioxide emissions produced by their flights through the principle of carbon offsetting. Interesting stuff, and certainly not a very big investment. I might pick up the $30 ‘TerraPass Intercontinental’ at some point… every little bit helps.