United to Buy Boeing, Airbus Jets

[jonjuan]

http://www.thestreet.com/_yahoo/story/10640464/1/united-to-order-boeing-airbus-jets-exclusive.html?

CHICAGO (TheStreet) -- United(UAUA Quote) is expected to announce Tuesday that it will order new widebody aircraft from both Boeing(BA Quote) and Airbus, TheStreet.com has learned.
The order will be for both Boeing 787s and Airbus A350s, according to people familiar with the order, and would represent a major boost for each of the two manufacturers, since significant delays have hampered each aircraft's development. Spokesmen for Airbus, Boeing and United declined to comment.

The Boeing 787 "Dreamliner" is more than two years behind schedule, although Boeing has said the first one will fly by the end of 2009. Airbus, meanwhile, is expected to start to build the first A350 early next year. United would become the last of the major U.S. airlines to place an order for one of the new airplanes. US Airways(LCC Quote) and Hawaiian Airlines(HA Quote) have ordered A350s, while American(AMR Quote), Continental(CAL Quote) and Delta(DAL Quote) have ordered the 787.

 

[ual321]

Hmmmm.....New airplane order just before contract negotiations....Nice.

 

[Yuppyguppy]

Love the timing on that...very strategic indeed

 

[LearLove]

management 101 needs to come up with some new management 101.

 

[Captzaahlie]

How much more concessions to pay for that order?

 

[nwaredtail]

management 101 needs to come up with some new management 101.

Why, it always works.

 

[StaySeated]

This reminds me of when TWA ordered both the 717 and the 318 at the same time. Why order two entirely different aircraft, and the costs associated with each different manufacturer, when one or the other can complete the intended mission?

 

[bizicmo]

Alright here comes the A380.

 

[DenverCrashpad]

This reminds me of when TWA ordered both the 717 and the 318 at the same time. Why order two entirely different aircraft, and the costs associated with each different manufacturer, when one or the other can complete the intended mission?

Clearly that doesn't work; look at Southwest with it's single type. They're low wages & constant requests for pilots to drop their pay to keep the airline profitable are necesities to "stay competitive." Ohh wait... Southwest is a single type AND pays well AND is profitable! Funny how that works. Keep the employees happy, keep the customers happy and the profits will follow.

 

[jonjuan]

This reminds me of when TWA ordered both the 717 and the 318 at the same time. Why order two entirely different aircraft, and the costs associated with each different manufacturer, when one or the other can complete the intended mission?

Well, the 787 replaces the 767 and the A350 replaces the 777. They operated both of those planes, so there is room for the 787 and the A350.