More Setbacks for Airbus Superjumbo Jet

Toulouse, France, June 14, 2006 — -- Airbus suffered a double blow today in its attempt to fly the massive 555 passenger A-380 to world aircraft production dominance.

The European company confirmed more manufacturing and delivery delays of an additional six months to seven months, while the first airline to buy the biggest passenger plane ever built announced, in frustration, that it planned a significant order for rival Boeing's new, smaller 787.

Singapore Airlines, the industry's trendsetter and the first to buy the $300 million Airbus double-decker, said today that it planned to buy 20 of the 290-passenger Boeing planes at a cost of $4.52 billion.

Expressing unhappiness with Airbus, Singapore said it might seek additional penalty compensation for the delays, a standard practice in the airline industry. Singapore had ordered 10 of the A-380s.

Dubai's Emirates Airline, which ordered 45 of the A-380s, said curtly, "We are considering our position." Emirates had expected its first superjumbo this year, but won't see it until October 2007 at the earliest.

Australia's Qantas Airways, another big customer, expressed similar anger. All of the 14 passenger carriers that had ordered the plane had made future fleet and competitive plans based on the expectation of its timely delivery.

The A-380 would carry 35 percent more passengers than a Boeing 747 in a three-class configuration. It has 50 percent more floor space than the 747.

Airbus confirmed that it would produce only nine of the planes next year instead of the planned 25. John J. Leahy, the company's chief operating officer, blamed production bottlenecks.

It is the second announced delay. The first, according to industry sources, was necessary because the original model was too heavy -- heavier than the promised 560 tons. That meant the plane could not fly the distance promised, which was one of its main selling points to airlines who planned to fly it nonstop at least 8,000 miles

The first delay was also the result of the need to modify the plane's massive wings, which are nearly the length of a football field. Tests at first found the wings unstable.