Boeing touts strategy as rival Airbus basks in big jet deal

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Boeing touts strategy as rival Airbus basks in big jet deal

LE BOURGET, France (AP) =97 As its European rival basked in a record-setting=
=20
order for 41 planes, Boeing laid out its vision for retaking the lead in=20
the fiercely competitive aviation industry: the newly christened 7E7=20
Dreamliner. At the Paris Air Show, Boeing executives confidently predicted=
=20
the fuel-efficient 200-seat jet is what customers will really want once the=
=20
aviation gloom lifts. But it was Airbus' signing of a $12.5 billion order=20
for 41 jets =97 including the much-heralded superjumbo =97 from the=
 fast-rising=20
Gulf carrier Emirates that stole the limelight at the show. Airbus=20
officials hailed the deal as the largest purchase of widebody jets, both in=
=20
price and number of planes. It included 20 four-engine A340s and 21 A380=20
superjumbos =97 Airbus' planned rival to the Boeing 747. "This will be our=
=20
big order of the show," John Leahy, head of Airbus' commercial aircraft=20
division, told The Associated Press on the sidelines of a news conference=20
at the eight-day event. Including earlier deals, Dubai-based Emirates has=20
ordered 43 A380s =97 by far the largest of any airline customer =97 and=
 expects=20
to lease two more. The double-decker jet is to enter service by 2006.  With=
=20
the announcement, Emirates offered new hope for a downtrodden industry=20
following the Sept. 11 attacks, wars in Afghanistan and Iraq, the SARS=20
virus outbreak and global economic malaise. Airbus has received 116 firm=20
orders from eight customers for the A380.

The order was a new vote of confidence for Airbus' vision for the=20
superjumbo. Boeing executives, however, insist the aviation market cannot=20
absorb the hundreds of A380s Airbus hopes to deliver. "They'll want to=20
celebrate now while they can, before they start having to deliver them (the=
=20
A380s)," said Randy Baseler, vice president for marketing at Boeing's=20
commercial jets division. In its annual industry forecast released Monday,=
=20
Boeing predicted airlines will invest $1.9 trillion in new commercial jets=
=20
over the next 20 years, but only 26 percent will have two aisles or more.=20
Only 4 percent would be as large or bigger than the 747. The Chicago-based=
=20
company projected the worldwide fleet of planes would double to more than=20
34,000 jets by 2022. Boeing also presented its vision for the industry once=
=20
the economic picture brightens. In a challenge to Airbus' superjumbo focus,=
=20
Boeing executives insisted their planned 200-seat Dreamliner is what=20
airline customers will be looking for.

The 7E7, expected to begin operating in 2008, is the fuel-efficient heir to=
=20
the ill-fated Sonic Cruiser Boeing championed at the Paris show two years=20
ago as a speedy commercial jet. The project was shelved last year after=20
Boeing determined its customers wanted fuel efficiency more than speed.=20
"We've made great progress in our conversion from the Cruiser to the more=20
fuel-efficient version," said Mike Bair, who heads the 7E7 program. The=20
Dreamliner is designed to be made almost entirely with advanced composite=20
materials, which are lighter and more resistant to moisture than aluminum,=
=20
Bair said. It is expected to be about 20 percent more fuel efficient than=20
current jet models. Among other technological advances, the 7E7 is to have=
=20
wider seats, humidified air in the cabin, and an eye-catching fuselage=20
design, Bair said. Boeing unveiled the name on Sunday, based on the results=
=20
of an online poll. Boeing expects there is a market for between 2,000 and=20
3,000 7E7s over the next 20 years. The biannual air show, which has=20
traditionally been a major venue for dealmaking, first took place in 1909 =
=97=20
six years after the Wright Brothers' historic flight. The show ends Sunday.


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