UPDATE: Boeing Co. To Build New 777 Cargo Plane >BA

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I love to see the tanker version......................


UPDATE: Boeing Co. To Build New 777 Cargo Plane >BA



Monday November 15, 5:52 PM EST


CHICAGO (Dow Jones)--Citing the improving world economy, Boeing Co. (BA) on Monday said it would build a cargo version of its 777 commercial airplane.

Boeing executives said they have customers interested in the new twin-engine air freighter, which would have a longer range than other cargo planes, and carry more cargo than other twin-engine craft.

The company didn't say who its potential customers might be, but said it expects demand to be especially strong in Asia.

The first 777 aircraft was launched 14 years ago, and other models followed. Boeing plans to deliver a new, longer passenger version, the 777-200LR, early in 2006.

The cargo version of the 777-200LR, which would be ready for delivery late in 2008, will carry 222,000 pounds of freight and travel as far as 6,400 miles.



Paul Nisbet, president of JSA Research, said Boeing could do well with the 777 cargo plane, if it gets a large order such as the two 50-plane orders rival Airbus got from FedEx Corp. (FDX). But, he said, it remains to be seen who Boeing's customers will be.

As well, Nisbet said, Boeing could use the 777 body for a military refueling tanker. Boeing's multibillion-dollar proposal for supplying the U.S. Air Force with refueling tankers using its 767 plane has been put on hold until later this year.

Modifications to make a 777 cargo plane would take a big step toward transforming the 777 into a tanker, Nisbet said. "Boeing has done a lot of work on the 767 tanker," he said. But, "the 777 is a generation younger than the 767, and if Boeing could make a case that it's cheaper, it might make sense."

Currently, Boeing planes comprise more than 90% of worldwide freight-carrying capacity, with the 747 making up more than half of that, the company said.


Roger
EWROPS

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