Business

Airbus: Boeing Logged 72 More Orders

By Emma Vandore, Associated Press Writer

posted: 16 January 2008 ET

: Airbus chief Executive Thomas Enders gives a thumbs up next a model of an Airbus A350 after the Airbus annual press conference in Toulouse, southwestern France, Wednesday, Jan. 16, 2008. Airbus said it trailed Boeing Co. in logging new orders last year by a total of 72 civilian jets, but beat its U.S. rival in terms of deliveries. (AP Photo/Remy Gabalda)
: Airbus chief Executive Thomas Enders gives a thumbs up next a model of an Airbus A350 after the Airbus annual press conference in Toulouse, southwestern France, Wednesday, Jan. 16, 2008. Airbus said it trailed Boeing Co. in logging new orders last year by a total of 72 civilian jets, but beat its U.S. rival in terms of deliveries. (AP Photo/Remy Gabalda)

TOULOUSE, France (AP) -- Airbus said Wednesday it trailed Boeing Co. in logging new orders last year by a total of 72 civilian jets, but beat its U.S. rival in terms of deliveries.

The European planemaker also projected that its 2008 orders will exceed deliveries, of which it has scheduled over 470. The company, which has been through a rough patch in recent years, also said it beat its internal targets for costs savings in 2007.

Airbus reported 1,341 net orders for 2007, compared with 1,413 for Boeing.

The Airbus orders were mostly for passenger jets, but included freighters, too. Airbus did not give a monetary value for the orders, which would be worth $157.1 billion at catalog prices. Airlines usually negotiate substantial discounts to the list price.

In terms of deliveries, Airbus beat Boeing by 453-441 in 2007. It said it delivered 19 more jets than in 2006 -- including the handing over to Singapore Airlines of the first superjumbo A380, the world's biggest passenger jet that has suffered costly production problems and delays.

Jet sales are expected to slow considerably for both Airbus and Boeing in 2008. Airbus forecast that its orders will exceed deliveries, of which it has scheduled over 470.

But planemakers will be cushioned from the slowdown by bulging order books that will take several years to fill. Airbus said at the end of last year it had a backlog of 3,421 aircraft, representing six years of production at steadily increasing rates.

"2007 was a challenging but also successful year for Airbus," Chief Executive Thomas Enders said in a statement. "2008 will be as challenging on all fronts."

In response to its difficulties with the A380 program, Airbus is in the midst of a restructuring effort, dubbed Power8, that aims to recoup $2.95 billion in savings by 2010 and cut 10,000 jobs.

Airbus said Wednesday that it exceeded its target last year with cost savings of $444 million and 3,000 job cuts through attrition. Louis Gallois, CEO of Airbus' parent EADS, has said the European planemaker will need additional savings to compensate for the weaker dollar.

Airbus revenue has been hit as the slide erodes the dollar sale price of its planes.

EADS blamed the slump in the dollar and delays with the A400M military transport aircraft for a third quarter net loss of euro776 million, about $1.14 billion, compared with a loss of euro189 million in 2006. Full year results will be published March 11.

Shares in EADS were down by 4.25 percent in morning trading Wednesday at the Paris stock exchange, at euro17.79, or $26.48, a share.