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Tue, Oct 24, 2006

Enders Apologizes For Airbus Woes

Blames A380 Troubles On Past Management

There's no other way to say it: Airbus is sorry for all the heartache its caused to airlines and investors alike this year.

Speaking at a European aerospace convention earlier this month, EADS chief executive Tom Enders admitted ongoing problems with the Airbus A380 program are having a ripple effect on the international aerospace manufacturing industry as a whole... and that both the planemaker and its Franco-German parent company are doing all they can to right what many see as an increasing listing corporate ship.

In a separate media briefing, Enders added problems with the A380 are not reflective of underlying problems with EADS, or Airbus... but are instead the result of management failures made years ago. Those managers have since been tossed to the curb.

While it's likely those changes may mean better fortunes for the European aerospace consortium down the line, it's hard to ignore that for this year, Boeing has soundly trounced Airbus in all sectors for new plane orders.

According to Flight International, Boeing has sold far more widebody planes this year than its European rival, a direct result of the A380's woes, as well as a costly redesign of the upcoming A350... but even Airbus' perennial bestselling A320 family of narrowbody planes has been thoroughly beaten by Boeing's older 737 series so far this year.

It's clear that Airbus has a lot of ground to cover, if it hopes to retain the sales order crown in 2006.

FMI: www.airbus.com

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