First 747-8 Intercontinental Assembly Gets Underway
Rollout & First Flight Penned For Q1 2011
Hunt For Future Orders Ongoing
Large Airplane Market Continues To Shrink
As Boeing got started this past weekend on initial assembly of the first 747-8 Intercontinental (destined for a Kuwaiti VIP launch customer), the first four months of the year has seen Airbus and Boeing rack up some 91 orders between them for A330′s, A350XWB’s, 777s and 787′s.
Missing of course is the presence of the troubled A380, the late 747-8F and 747-8 Intercontinental on the order books.
With flight testing still underway on the 747-8F, Jim McNerney’s comments earlier this year that Boeing had forsaked potential 747-8 orders in 2009 will have to be something the company needs to address.
Image courtesy of Boeing
Like the Airbus A380, the 747-8 program sits in a forward loss position - recouping losses here will be far easier than the vast sums sunk into the A380, however, that potential sales are being “lost” due to valuation differences further damage the prospect of the 747-8 Intercontinental in particular from getting future business.
That hasn’t stopped Lufthansa’s enthusiasm in becoming the first passenger operator with its London spokesman stating that the airline is “looking forward to receiving the first aircraft in 2011″ and will decide on exercising its purchase rights soon too.
The 747-8F stands much better chances of orders given that it has no direct rival – and with around ten percent of the 747-400 world fleet being stood down, virtually none are being earmarked for freight conversion given the high costs involved and their inefficiency vis a vis existing, more attractive freighters like the Airbus A330-200F, 777F and 747-8F.
Having announced a production increase on the 747 as well, the push for future orders may indeed come at a price – one that the company would prefer not to sell at – that however, is something which has not yet been done on the 747-8 Intercontinental.
With almost 2,000 units of the A330, A350, 777 and 787 on Airbus and Boeing’s order books, the economics of these long range twins has undermined, stifled and decimated the large airplane market – comments last week by EADS’ CEO Louis Gallois that A380 sales would be few and far between for the next couple of years further underscore the shift away from quads to twins.
But if Boeing is going to maintain the higher production rate for its biggest jetliner, further orders will be needed to solidify the backlog. In four and a half years, it has notched up a respectable backlog, but certification, delivery and addressing the loss position by way of future business and efficient construction throughout the supply operation will be integral if it is to become profitable.
Rollout and first flight of the 747-8 Intercontinental is tentatively poised for the first quarter of 2011.
