Monday, Jun 15, 2009
By David Pearson
Of DOW JONES NEWSWIRES
PARIS (Dow Jones)--Middle East airline Qatar Airways kicked off the Paris Air Show Monday with firm orders for 24 single-aisle Airbus jets worth $1.9 billion.
The total includes 20 A320 aircraft and the confirmation of commitments for four A321 planes that were announced at the Farnborough Air Show last July.
The aircraft, to be delivered through 2012 to the fast-growing Doha-based airline, will be powered by engines made by International Aero Engines, a consortium that includes United Technologies Corp.'s (UTX) Pratt & Whitney division, Rolls-Royce Group PLC (RYCEY) of the U.K. and Germany's MTU Aero Engines Holding AG (MTX.XE).
The engine order is worth more than $700 million.
Qatar Airways already operates 19 Airbus single-aisle A320 family aircraft and is one of Airbus's major customers in the Gulf. Airbus is a unit of European Aeronautic Defence & Space Co. NV (EADSY).
Qatar Airways Chief Executive Akbar al Baker reaffirmed that he stands ready to launch a low-cost airline in the region to compete with those starting to eat into Qatar Airways' market share.
This division could be up and running within 90 days of a go-ahead decision, he told reporters, adding that the carrier already has one A321 configured for the job.
Al Baker said he had considered Bombardier Inc.'s (BBD.A.T) new C Series short-to-medium range jet before passing the order to Airbus, saying he had been unable to reach an agreement with the Canadian aircraft builder on financial terms. He added that he hoped that in the future Bombardier would recognize its long-term interest in selling to Qatar.
Al Baker also announced that Qatar Airways will be launching a corporate jet arm later this week. The unit will initially operate three Bombardier Challenger 300 aircraft.
-By David Pearson, Dow Jones Newswires; +331 4017 1740; david.pearson@dowjones.com
(END) Dow Jones Newswires
15-06-09 1202GMT
