Paris 2011: $22 Billion More Business on Day Two of Le Bourget Salon
Another day, and plenty more dollars. The second day of the 2011 Paris Air Show saw yet more major orders for airliners and the engines that power them.
According to pricing analysis by AIN, the sales tally at Le Bourget on Tuesday reached almost $25 billion–not counting associated support contracts. This means that in the first two days of the show, the industry has already generated at least $60 billion in new business. By way of comparison, the 2008 Farnborough International airshow–the last major aerospace fair ahead of the global financial crisis–raised around $52 billion in a whole week.
Airbus feathered its nest with a string of commitments and orders worth around $10.8 billion. As widely predicted ahead of this week’s show, it was the burgeoning backlog for its new A320neo narrowbody that has dominated transactions at Le Bourget.
The CIT leasing group signed a memorandum of understanding for 50 A320neos in a deal worth up to $4.5 billion. JetBlue Airways inked a $3.6 billion MOU for up to 40 of the re-engined twinjets.
Garuda Indonesia sealed another MOU covering 10 A320neos and 15 of the existing A320 model, at a prospective combined value of some $2.1 billion. TransAsia Airways of Taiwan provided Airbus with its only firm contract covering six A321neos, valued at around $635 million.
Boeing landed its own crop of new business totaling some $7.1 billion. This was headed by a deal with leasing group GE Capital Aviation Services for a pair of the new 747-8 Freighters and eight 777-300ERs.
Russia’s Aeroflot placed an order for eight 777-300ERs worth some $2.2 billion. Norwegian Air Shuttle announced orders for 15 737-800s costing $1.2 billion, and Malaysian Airlines pitched in just over another $800 million with a deal for 10 of the same type.
Bombardier got yet more very welcome validation for its CSeries program, with letter of intent being signed with Korean Air for 10 options and 10 purchase rights for the CS300 model. If the deal is fully consummated its value could rise to just above $1.5 billion.
The Canadian airframer’s business aircraft division also got lucky. Europe-based operator VistaJet–arguably the best customer in its history with an estimated $2 billion backlog–signed a deal for 10 Global 8000 jets valued at $650 million.
Commercial support for the Russian Superjet grew with Indonesian carrier PT Sky Aviation signing a “heads of agreement” for a dozen of the SSJ100-95s. This pending deal is valued at just over $379 million and deliveries are due to begin next year.
But the jet makers didn’t have the show all too themselves yesterday. ATR is already having its best ever Paris salon and by the end of the week expects to have logged 78 firm orders here, plus 32 options. On Tuesday it was the turn of Brazil’s Azul Linhas Aereas to order 10 of the latest ATR72-600 model valued at approximately $224 million.
Rotary-winged business is picking up too. Sikorsky landed an order from China Southern Airlines subsidiary Zhuhai Helicopter Branch, which is to buy a pair of S-92s and an S-76C++ rotorcraft.
In the engine stakes, CFM International was once again a big winner. Leasing group ILFC placed a $950 million order for Leap engines to power its already-selected A320neos. Saudi Arabia’s National Air Services spent $620 million on CFM56-5B turbofans to power the 20 current-production A320s it is to receive. And Tibet Airlines gave the Safran-General Electric partnership a $60 million contract for the same engine type for three A319s.
Pratt & Whitney also got a significant share of powerplant business generated by the A320neo with CIT selecting the new PW1100G turbofan for its aircraft. The undisclosed “major network carrier” that on Monday placed an order for 10 of Bombardier’s new CSeries airliner yesterday selected the PW1500G to power them.
Finally, Air Austral signed a $240 million contract for GP7200 engines. These are for the two A380 widebodies that it has on order.