Farnborough Air Show Preview

July 3rd, 2008

The buzzword for 2008 circles endlessly like vultures over every single airline in today’s marketplace.

Oil just isn’t the blood, life and soul of aviation, the impact the of rising prices has already forced numerous airlines to collapse and the threat of more seeing writing on the wall is all but a given outcome.

For that reason alone, the biggest air show this year will see a much subdued atmosphere.

Image courtesy of Farnborough.com

Alternating between the Paris Air Show at Le Bourget every year, the Farnborough Air Show will still make headlines like it always does, not least because it also celebrates its sixtieth anniversary.

Its no secret the event does not have the glamour of the Dubai Air Show, nor does it allure of the French ensemble, but you can’t argue or compete against the quintessential “Britishness” of the show itself.

Against a backdrop of environmental and efficiency concerns, Boeing will be making the issue a centrepiece of its air show exhibit.

Equally, it is a poorly kept secret that the greenback value of the show will be very subdued in contrast to the success seen in 2006, however, some key deals will whet enough appetites.

Two of the biggest deals pertain to Etihad Airways and Asiana Airlines.

Speculation has been rife that Etihad is poised to announce a major A320 order, as well as reveal whether it will become a customer for the 747-8I too. Boeing booked 35 787’s for a new [787] customer early on in 2008 - again, Etihad and its Dubai neighbour, Emirates have both been linked to being the parties behind the order.

Image courtesy of Etihad Airways

Asiana Airlines may make an announcement on selection between the A350/787 and A380/747-8. Of course, we’ll likely see Emirates order something or other and you can bet your English pound (or be “quids in“) that Qatar Airways will not be far behind either.

British Airways is another big name that could make a purchase of 777-300ER’s in the wake of the 787 delays and its recent decision to ground and phase out a variety of airplanes over the coming months. The airline also takes delivery of the first of four 777-200ER’s in early 2009.

Airbus will likely finalise the deal with DAE (Dubai Aerospace Enterprise) for 70 A320’s and 30 A350XWB’s that was previously announced at the Dubai Air Show late last year. DAE completed its deal for a plethora of Boeing jets earlier this year.

As is “ritual” at events like these, both Airbus and Boeing will almost certainly reveal the identities of customers for their A320 and 737 models - these will comprise a mix of potential new orders or customers announcing a purchase already listed as unidentified.

ILFC will be certain to capitalise at the show as pressurised airlines defer or even cancel orders.

“There’s going to be some good values on deferred or canceled orders,” says Teal Groups VP, Richard Aboulafia.

“Production slots will open for planes getting built and you’ll see great deals on those planes.”

It’ll be interesting to see whether GECAS makes a splash at the show - perhaps 777’s for Emirates?

Or a long awaited 787 order?

Who knows, we’ll see in just a couple of weeks time.

Previous shows at this prestige location have seldom disappointed. This summers show will be no different.

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