AIR.PA - Airbus SE
| Previous close | 131.78 |
| Open | 131.24 |
| Bid | 0.00 x 0 |
| Ask | 0.00 x 0 |
| Day's range | 129.60 - 132.20 |
| 52-week range | 109.30 - 139.40 |
| Volume | 1,237,311 |
| Avg. volume | 1,149,676 |
| Market cap | 102.358B |
| Beta (5Y monthly) | 1.15 |
| PE ratio (TTM) | N/A |
| EPS (TTM) | -1.75 |
| Earnings date | 29 Apr 2020 |
| Forward dividend & yield | 1.80 (1.37%) |
| Ex-dividend date | 20 Apr 2020 |
| 1y target est | 120.82 |
- Reuters
Airbus investing up to €1 billion in A220 passenger jet programme this year
Airbus SE plans to invest between 500 million euros and 1 billion euros (£837 million) this year on its A220 passenger jet programme, Chief Executive Guillaume Faury said on Thursday at the company's A220 factory in Mirabel, just outside Montreal. Earlier in February, Airbus raised its stake in the A220 programme - known as Airbus Canada - to 75% from 50.1% after teaming up with the government of the Canadian province of Quebec to buy Bombardier's 33.5% stake. With the deal, Bombardier exited the civil aviation industry and bolstered the European planemaker's position in its ongoing competition with U.S. rival Boeing Co .
- Reuters
Airbus investing up to 1 billion euros in A220 passenger jet program this year
Airbus SE plans to invest between 500 million euros and 1 billion euros ($539 million-$1.08 billion) this year on its A220 passenger jet program, Chief Executive Guillaume Faury said on Thursday at the company's A220 factory in Mirabel, just outside Montreal. Earlier in February, Airbus raised its stake in the A220 program - known as Airbus Canada - to 75% from 50.1% after teaming up with the government of the Canadian province of Quebec to buy Bombardier's 33.5% stake. With the deal, Bombardier exited the civil aviation industry and bolstered the European planemaker's position in its ongoing competition with U.S. rival Boeing Co .
- Reuters
China's HNA emerges as recent buyer of A330neo jets amid revamp: sources
Debt-laden HNA Group has restructured jet orders with Europe's Airbus in a compromise deal that includes an order for dozens of A330neo jets, two people familiar with the matter said, amid reports of a wider shake-up at the Chinese conglomerate. Airbus last month announced a surprise order for 40 of its A330neo wide-body aircraft, worth $12 billion at list prices, but the buyer's identity was kept under wraps. The sources said the order, dated Dec. 23, came from HNA Group airlines and reflected efforts already in place to carry out a restructuring of fleet plans that would see some previously unfulfilled jet orders fall by the wayside.
- Reuters
Airbus defense division plans to cut more than 2,300 jobs
The aircraft maker said its Airbus Defense and Space division had entered consultation with the company's European works council on the planned cutbacks. The group has also taken a 1.2 billion euro ($1.3 billion) charge on the worsening sales outlook, with a German ban on defense exports to Saudi Arabia causing Airbus Defense and Space to lose a promising potential customer, Dirk Hoke said. Airbus Defense and Space, formed in 2014 as part of a broader restructuring, employs 34,000 staff - 13,000 of them in Germany - and contributes around a fifth of revenues to parent group Airbus.
- Reuters
Airbus defence division plans to cut more than 2,300 jobs
The aircraft maker said its Airbus Defence and Space division had entered consultation with the company's European works council on the planned cutbacks. The head of the defence business said on Saturday that talks were about to start with labour representatives as the German-based group retrenches following setbacks with its A400M military transporter. The group has also taken a 1.2 billion euro (1 billion pounds) charge on the worsening sales outlook, with a German ban on defence exports to Saudi Arabia causing Airbus Defence and Space to lose a promising potential customer, Dirk Hoke said.
- Zacks
TriMas Aerospace Wins Airbus Deals, Boosts Fastener Solutions
TriMas' (TRS) alliance with Airbus supports its growth strategy to boost global customer base in commercial and defense aerospace applications.
- Reuters
Kuwaiti parliament to investigate Airbus aircraft orders
Kuwaiti lawmakers agreed on Wednesday to set up a committee to look into whether Airbus's aircraft orders from the Gulf Arab state involved alleged corruption, the state news agency reported. Governments and airlines around the world have launched their own investigations after Airbus on Jan. 31 reached a record $4 billion settlement with prosecutors in Britain, France and United States over alleged bribery and corruption stretching back more than a decade. In Kuwait, a three-member parliamentary committee has been tasked with reviewing Airbus orders and is to submit a report of its findings to the National Assembly within three months, KUNA reported.
- Zacks
Air Lease's (AL) Earnings Beat Estimates in Q4, Down Y/Y
Higher revenues from rental of flight equipment drive Air Lease's (AL) fourth-quarter 2019 results. However,increase in operating costs is a concern.
- Bloomberg
Trump Administration Raises Duties on EU Aircraft to 15%
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world threatened by trade wars. Sign up here. The U.S. said Friday it will increase the tariff rate imposed on aircraft imported from the European Union to 15% from 10% on March 18.The move is part of a long-running spat in which the U.S. has sought to penalize the EU for offering illegal subsidies to Airbus SE that harmed American aircraft maker Boeing Co.The U.S. Trade Representative said in the statement Friday that it is leaving duties on certain other European goods such as Scotch and French wine at 25% and will make minor changes to the previously released product list.The U.S. is deploying a trade tactic known as carousel retaliation, whereby governments periodically shift duties and tariff rates on different groups of goods in order to increase pain and uncertainty for exporters. On Oct. 18, Washington imposed the original 10% duties on Airbus aircraft and 25% tariffs on a range of European consumer exports, like cheeses and Spanish olives.The U.S. list continued to spare an Alabama Airbus plant that assembles single-aisle aircraft like the A320 by not hitting airplane parts. But the higher tariffs will hit wide body Airbus models not assembled in the U.S. and mean higher prices for those models for U.S. airlines that have orders on the books.Both Boeing and Airbus have pushed U.S. and EU officials to try and reach a negotiated settlement.The European Commission, the EU’s executive arm, said that is what it was aiming for as well.“In our view the focus now should be on finding a negotiated solution to the aircraft disputes on the basis of the concrete EU proposals for existing subsidies and future disciplines in this sector,” spokesman Daniel Rosario said in an emailed statement.Fifteen years ago, the U.S. filed a dispute against the EU’s subsidies for Airbus, and the EU filed a counter-suit shortly thereafter. The WTO has subsequently ruled that both the U.S. and EU were guilty.The dispute came to a head last fall when the WTO said the U.S. could legally impose tariffs on $7.5 billion of European exports in retaliation for illegal government aid to Airbus. The award was the largest in WTO history -- almost twice as large as the previous record of $4.04 billion set in 2002.At the time the U.S. held off on penalizing certain luxury goods like cognac and handbags, with administration officials saying their goal in imposing the duties was to persuade the EU to negotiate a settlement.But a transatlantic trade peace has proved elusive and U.S. officials say the EU’s overtures have been unacceptable.The U.S. Trade Representative subsequently launched a review of its tariffs and sought input on whether it should remove some products from the October list of tariffs; increase duties on certain goods on that list up to 100%; or impose levies on additional products not included in the October list.“The longer these disputes are unresolved, the greater the threat of even more tariffs on our industry,” the Distilled Spirits Council of the United States said in a statement Friday. “The EU has stated it may impose retaliatory tariffs this spring on U.S. rum, vodka, and brandy in its parallel case at the WTO concerning Boeing.”(Updates with EU reaction from seventh paragraph.)\--With assistance from Kim Chipman and Aoife White.To contact the reporters on this story: Bryce Baschuk in Geneva at bbaschuk2@bloomberg.net;Jenny Leonard in Washington at jleonard67@bloomberg.net;Shawn Donnan in Washington at sdonnan@bloomberg.netTo contact the editors responsible for this story: Brendan Murray at brmurray@bloomberg.net, Ana Monteiro, Margaret CollinsFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Reuters
Airbus regrets U.S. tariffs, hopes for change when WTO authorises EU retaliation
European aerospace group Airbus said on Saturday it deeply regretted the U.S. decision to increase tariffs on aircraft imported from the European Union and said it would hurt U.S. airlines and their customers. Airbus also said it hoped Washington would change position once the World Trade Organization authorises the EU to impose tariffs on Boeing aircraft, including the 737 MAX, 787 and 777 aircraft in May or June.
- Reuters
Airbus defence division to start talks on job cuts
The head of the defence business of Airbus said he would start talks with labour representatives next week on job cuts, as the German-based group retrenches following setbacks with its A400M military transporter. "We will enter the first talks soon with the European works council," Airbus Defence and Space chief Dirk Hoke told Reuters in an interview cleared for publication on Saturday, adding that negotiations would then take place at national level. The group has also taken a 1.2 billion euro (1 billion pounds) charge on the worsening sales outlook, with a German ban on defence exports to Saudi Arabia causing Airbus Defence and Space to lose a promising potential customer, said Hoke.
- Reuters
Airbus defense division to start talks on job cuts
The head of the defense business of Airbus said he would start talks with labor representatives next week on job cuts, as the German-based group retrenches following setbacks with its A400M military transporter. "We will enter the first talks soon with the European works council," Airbus Defence and Space chief Dirk Hoke told Reuters in an interview cleared for publication on Saturday, adding that negotiations would then take place at national level. The group has also taken a 1.2 billion euro ($1.3 billion) charge on the worsening sales outlook, with a German ban on defense exports to Saudi Arabia causing Airbus Defence and Space to lose a promising potential customer, said Hoke.
- Reuters
Airbus regrets U.S. tariffs, hopes for change when WTO authorizes EU retaliation
European aerospace group Airbus said on Saturday it deeply regretted the U.S. decision to increase tariffs on aircraft imported from the European Union and said it would hurt U.S. airlines and their customers. Airbus also said it hoped Washington would change position once the World Trade Organization authorizes the EU to impose tariffs on Boeing aircraft, including the 737 MAX, 787 and 777 aircraft in May or June.
- Reuters
Airbus says higher U.S. tariffs on EU planes will harm U.S. airlines, consumers
The U.S. government's decision to raise tariffs on European-built aircraft will hit U.S. airlines already facing a shortage of aircraft and complicate efforts to reach a negotiated settlement with the European Union, Airbus said. The European planemaker said it would continue discussions with its U.S. customers to "mitigate effects of tariffs insofar as possible" and hoped the U.S. Trade Representative's office would change its position. "USTR's decision ignores the many submissions made by U.S. airlines, highlighting the fact that they – and the U.S. flying public – ultimately have to pay these tariffs," the company said in a statement.
- Reuters
Exclusive: Jet buyers back Boeing-Embraer deal as Airbus expands reach
Some of the world's biggest aircraft buyers are urging the European Union to clear Boeing's tie-up with Embraer, fearing Embraer's commercial aviation business would struggle on its own now Airbus has swallowed its main competitor in regional jets. Airbus, Europe's biggest planemaker, on Thursday increased its controlling stake in the A220 regional jet programme - Embraer's main rival - as Canada's Bombardier sold out of the project it had set up.
- Bloomberg
Bombardier Speeds Dismemberment with A220 Deal, Other Talks
(Bloomberg) -- Bombardier Inc., which once made everything from snowmobiles to commercial jets, is poised to become a shadow of its former self as the Canadian manufacturer accelerates asset sales to reduce debt.The company is completing its exit from commercial aerospace with the sale of its stake in the Airbus SE A220 program, once known as the C Series, to the European planemaker. Bombardier said in a statement it is also pursuing other “strategic options to accelerate deleveraging.” The company is near a deal to sell its rail-equipment unit to Alstom SA, Bloomberg News reported.“The C Series was a cash drain,” Bombardier Chief Executive Officer Alain Bellemare, said in a call with analysts Thursday. “The strategy was always to exit commercial aircraft while protecting jobs. We’ve done that in a very responsible matter. We are now with two very strong businesses and we are continuing to look at our options to see if we can continue deleveraging.”The dismembering positions Montreal-based Bombardier to retain only its private-jet division -- while giving it a path to taming a $10 billion debt load. The company’s 7.85% bonds due 2027 climbed 3.8 cents to 103.3 cents on the dollar, yielding 7.3%, according to Trace data. Shares rose 0.6% to C$1.58 in Toronto at 2:39 p.m.But for all its financial soundness, Bombardier’s exit from its marquee project marks the end of ambitious plans that once were a source of pride in the largely francophone province. The A220 won praise for fuel-efficient engines, composite wings and an airy cabin featuring large windows. But the plane ran more than two years late and about $2 billion over budget, and had trouble attracting buyers in an industry dominated by Airbus and Boeing Co.And there’s likely more divestitures to come. Alstom and Bombardier could reach an agreement as early as this week, though talks could still be delayed or fall apart, according to people familiar with the matter. Alstom could pay about 7 billion euros ($7.6 billion) for the rail business, Handelsblatt reported earlier, without saying where it got the information. Bombardier is also exploring the sale of its corporate-jet operation to Textron Inc., maker of Cessna planes, the Wall Street Journal reported Feb. 4.The Montreal-based company sold its turboprop-plane business to Longview Aviation Capital Corp. last year, and has agreements in place to offload its regional-jet operation and a wing plant in Northern Ireland. Those deals are on track to close in the first half of 2020, the company said in a statement Thursday as it reported a loss in line with expectations.Show MeAirbus is paying $591 million to Bombardier to raise its stake to 75%. That, combined with the other aerospace divestitures, will bring in more than $1.6 billion in cash and eliminate almost $2 billion in liabilities, according to the statement.Bombardier is seeking to reduce its debt to about $4 billion by the end of this year, chief financial officer John Di Bert said on the conference call.With positive free cash flow and the A220 divestiture, there are some positive elements for this “show me” story, Stephen Trent and Brian Roberts, analysts at Citigroup Global Markets, said.“Assuming that this smaller company now generates cash, it remains to be seen whether Bombardier further monetizes its remaining businesses, a potential positive catalyst – and a $52.1 billion firm order book might be a good place to start the conversation,” the analysts said.Cash NeedsThe deal keeps about 3,300 Airbus jobs in Quebec while boosting the provincial government’s share in the A220 to 25% from 16% for no cash. Economy Minister Pierre Fitzgibbon told reporters the government kept its promise not to add to the $1 billion the previous administration had poured into the plane less than four years ago and is under no obligation to add more money into the program.Quebec will however, book a charge of about C$600 million ($452 million) from its books to reflect the declining value of its investment and will reassess it yearly until it sells the stake in 2026, a new date that was part of the deal. It hopes to recoup it then.“Everybody likes the plane, orders are higher than ever,” Fitzgibbon said in an interview. “It’s not being utopian, on the contrary, to believe we’ll get our money back.”For now though, the A220 faces upcoming cash needs of up to $1.5 billion in the next three to four years, according to the minister. The venture will need to borrow and Airbus will be the sole guarantor if necessary, he said.Caisse Holding“We are incredibly proud of the many achievements and tremendous impact Bombardier had on the commercial aviation industry,” Bellemare said in the statement. “We are equally proud of the responsible way in which we have exited commercial aerospace, preserving jobs and reinforcing the aerospace cluster in Quebec and Canada.Any rail deal will also get Quebec involved as the Caisse de Depot et Placement du Quebec, the province’s influential pension fund manager, owns part of the Berlin-based train business. It spent $1.5 billion in 2016 for the 30% stake. That’s now grown into a 32.5% holding after the unit’s results failed to reach the targets underlying Caisse’s investment, Bombardier said Thursday.Bombardier reported an adjusted loss of 10 cents. Sales fell 2.3% to $4.21 billion. Analysts had expected $4.23 billion.(Updates with Quebec charge, minister interview starting in 13th paragraph.)\--With assistance from Divya Balji.To contact the reporters on this story: Sandrine Rastello in Montreal at srastello@bloomberg.net;Paula Sambo in Toronto at psambo@bloomberg.netTo contact the editors responsible for this story: Brendan Case at bcase4@bloomberg.net, Jacqueline ThorpeFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Reuters
Avianca 'victim' in Airbus scandal, chief executive says
Colombian airline Avianca is a "victim" in the global scandal surrounding years of alleged bribes paid by manufacturer Airbus to bolster sales of its planes, Avianca's chief executive said on Thursday. The airline is conducting an internal investigation and is the subject of a probe by Colombian authorities related to a $4 billion (£3 billion) settlement between Airbus and prosecutors in the United States and Europe over bribery and corruption stretching back at least 15 years. French prosecutors have said Airbus documents show multi-million dollar commissions paid to an agent for jet sales to Avianca, including some meant for a high-ranking executive at parent company Avianca Holdings SA .
- Reuters
Jet market oracle Tinseth bows out with Boeing at crossroads
Years ago, when Randy Tinseth was still running Boeing's sales account for United Airlines, the plane company's designers pulled him aside. "They called me in and said we want to show United this interesting product and we can't tell you about it until we get there," Tinseth recalled. Out came the model of a futuristic, high-speed airliner called Sonic Cruiser.
- Bloomberg
Airbus Presses Boeing Rivalry With Jet Deal, Production Ramp-Up
(Bloomberg) -- Airbus SE pledged to churn out more aircraft than ever and consolidated its ownership of the A220 jetliner, pressing home its advantage over Boeing Co. and its grounded 737 Max in the growing narrow-body market.The European planemaker said Thursday that it expects to hand over about 880 jets in 2020, building on record output last year. Deliveries of the A320-family workhorse, a direct competitor to the Max, will rise to as many as 67 a month by 2023, while the smaller A220 will also see volumes accelerate.Together, the moves are meant to draw a line under a tumultuous 2019 after production shortcomings prevented Airbus from fully exploiting the Max crisis at its U.S. rival. The Toulouse, France-based planemaker also ran into trouble with its military transport plane, the A400M, canceled the ambitious A380 super-jumbo and settled a longstanding bribery probe for 3.6 billion euros ($3.9 billion), driving annual results to a loss.“We’ve put a lot behind us in 2019 and are now looking at 2020 to set the foundations of sustainable growth,” Chief Executive Officer Guillaume Faury told reporters. “We want to continue to gain contracts, to maintain the visibility we have today.”Airbus is paying $591 million to the A220’s developer, Bombardier Inc., to boost its stake in the program to 75%, expanding its bet on a plane that seats 100 to 150 people and complements the larger A320.The promise of the new plane was underscored on Thursday when Airbus announced an outline agreement to sell 50 to Nigeria’s Green Africa Airways. It’s a coup for the A220, after the startup originally ordered the Boeing Max, which has been idled since last March.“We have opportunities with the A220,” Faury said. “We see it can be a solution for some of the needs of the market.”For Montreal-based Bombardier, exiting the A220 program closes the book on more than $6 billion of investment that was meant to challenge the two top planemakers, but instead left it saddled with debt that has forced the company into a breakup. Originally named the C Series, the A220 won praise for fuel-efficient engines, composite wings and an airy cabin featuring large windows. But the plane ran more than two years late and about $2 billion over budget, and had trouble attracting buyers in an industry dominated by Airbus and Boeing.After U.S. President Donald Trump’s administration imposed tariffs of about 300% on the jet, Bombardier agreed to sell about half the program to Airbus. Still, the Canadian company was left with hundreds of millions of dollars of funding obligations. Those are now gone, and with Thursday’s deal the government of Quebec lifted its share in the A220 program to 25%.After also selling its turboprop-plane business, its regional jet arm and a wing plant in Belfast, Bombardier is in advanced talks to sell its rail business to French rival Alstom SA, people familiar with the matter said Thursday. The embattled manufacturer is mulling the disposal of its corporate-jet operation to Textron Inc., maker of Cessna planes, the Wall Street Journal has said.Shares of Airbus fell 1.6% as of 12:34 p.m. in Paris, after announcing full-year results that were blighted by one-time charges.Earnings Highlights:Airbus slumped to a net loss after a 3.6 billion-euro penalty for a bribery settlement and a 1.2 billion-euro hit against lower export prospects for the A400M airlifter.The corruption settlement will hurt cash flow this year, as will the A400M, says Jefferies analyst Sandy Morris.Company needs to maximize “financial firepower” until full repercussions of Max crisis are known: Morris.Analysts said they were underwhelmed by Airbus’s production goals, citing estimates in the range of 900. The company is seeing some softness in the wide-body market where it sells the twin-aisle A330 and A350 models, Faury said in a Bloomberg Television interview.Narrow-Body BreadthAirbus has managed to broaden out its A320 family to address different customer demands, from the stout A319 to the A321 XLR that can perform some long-range missions. Still, its struggle to build custom cabin configurations has held back its ability to run away from the Max.The Boeing plane was grounded worldwide after two crashes within a five-month span that killed 346 people. Boeing has said it expects the Max to return to the skies mid-year at the earliest.Coming out with an all-new narrow-body probably won’t happen for another decade at a minimum, because technological advances don’t justify the expense at this point, Faury said.But he reiterated Airbus’s intention to build a so-called stretch version of the A220, which would give the European company another weapon against the Max.Asked if Airbus would consider stretching the model into a higher-capacity version, Faury said “not in the short term,” though it’s something the company is considering for the future.(Updates to recast with Boeing rivalry, adds comment from Airbus CEO)\--With assistance from Christopher Jasper, David Scanlan, Guy Johnson and Benedikt Kammel.To contact the reporter on this story: Charlotte Ryan in London at cryan147@bloomberg.netTo contact the editors responsible for this story: Anthony Palazzo at apalazzo@bloomberg.net, ;Brendan Case at bcase4@bloomberg.net, Christopher JasperFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Bloomberg
Airbus and Boeing Have Both Forgotten How to Make Money
(Bloomberg Opinion) -- Bombardier Inc. has given up trying to compete in the commercial aerospace market by selling its remaining stake in the 100-150 seat A220 program to its joint venture partner Airbus SE. The 1.4 billion-euro ($1.5 billion) full-year net loss that Airbus announced on Thursday, alongside that deal, is a painful reminder of why Bombardier’s own large jet ambitions always looked doomed. In theory, building commercial jets is a fantastic business. There aren’t many competitors — Airbus and Boeing Co essentially have a duopoly in large aircraft — and demand is booming. As people in emerging markets get richer they want to travel more and climate worries haven’t dissuaded most people from flying yet.The trouble is that designing and launching a new commercial airliner consumes massive amounts of capital; and that’s if all goes to plan. Typically it doesn’t.The delayed A220, then known as the C-Series, ended up costing Bombardier at least $6 billion to develop and caused its debts to balloon to an unsustainable level. Airbus came to the rescue in 2017 by taking a majority stake in the program. But even now, long after the plane entered service, it is a burden on Airbus’s cash flow. Another reason why Bombardier sought Airbus’s help back in 2017 was that Boeing persuaded the U.S. to impose punitive import tariffs, thereby hurting the Canadian manufacturer.Trade and tariff threats are multiplying in the era of Donald Trump and Brexit. The better capitalized Airbus is more able to withstand these problems than Bombardier, but it’s not immune. Because of its World Trade Organization dispute with Boeing, the Americans have also imposed tariffs on the planes Airbus exports from Europe to the U.S.Unlike Bombardier, Airbus and Boeing both have large defense business whose cash flows help fund their massive development costs. Even that’s no guarantee of success. Pension costs (a function of the large workforces needed to build big planes) are a challenge — Airbus’s pension deficit has swelled to about 8 billion euros because of low interest rates. And then there’s stuff that just seems to come out of the blue. Airbus disclosed an astonishing 5.6 billion euros of negative adjustments to its annual results.Much of that relates to the fines Airbus must pay to settle bribery charges brought by various international authorities. But the company also suffered yet another 1.2 billion-euro charge on the troubled A400m military transporter program, more than 200 million euros of costs related to defense export restrictions, plus various other one-off costs.For a while it seemed as though Boeing had cracked the financial alchemy of commercial aerospace. Soaring cash flows were returned to shareholders via a massive share buyback program. After two fatal crashes involving its 737 Max, we now know that success came at the cost of squeezing suppliers, browbeating regulators and neglecting safety. In 2019 Boeing reported its first yearly loss in two decades.Following the disappointments of the A380 superjumbo program — a seemingly bottomless money pit — and various production difficulties involving new narrow-body aircraft, Airbus shareholders were hopeful that it too would start converting its massive order book into cash that could be returned to them. Airbus’s performance has certainly improved, yet that windfall never seems to arrive. Airbus’s 2020 production and profit guidance was weaker than expected. It should generate 4 billion euros of free cash flow this year, but once the corruption fines and several hundred million euros of tax and legal costs are paid, there will be precious little left. The coronavirus could yet cause unexpected setbacks; struggling airlines might have to cancel orders and there could be an impact on the supply chain. While Airbus is raising the dividend by 9%, share buybacks will have to wait.Bombardier’s withdraw from commercial aerospace is a sad acknowledgement of how hard it is to make money selling big aircraft. Even Airbus and Boeing struggle.To contact the author of this story: Chris Bryant at cbryant32@bloomberg.netTo contact the editor responsible for this story: James Boxell at jboxell@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
- Reuters
Qantas raises the stakes in pilot pay dispute
Australia's Qantas Airways has urged its pilots to reach agreement on a pay deal for the world's longest commercial flights or face being replaced for those routes. The airline selected the Airbus SE A350-1000 as the preferred plane for the new routes to cities including London and New York in the first half of 2023, but it said that an order for up to 12 jets was contingent on reaching a deal with pilots by March. In an internal memo seen by Reuters, Qantas International head Tino La Spina said the end of March deadline for a pilot vote on the deal was firm.
