PPRuNe Forums - View Single Post - Boeing to cut 10% of workforce amid staggering $641 million loss in first quarter
Old 30th Apr 2020, 00:10
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tdracer
 
Join Date: Jul 2013
Location: Everett, WA
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I don't know that the A220 series is going to much of cash cow for Airbus - it's very expensive to build, and most of the sales to date are for less than the recurring manufacturing costs. A big part of Airbus picking up the C-series was they thought they could get better economies of scale and get the manufacturing costs down enough that they could actually build them at a profit. But what I'm hearing is that hasn't panned out so far, and if there is a major reduction in build rate, those numbers just get worse. Remember, Airbus has very little skin in the A220 game - if they find they can't make money on it, they can simply walk away.
Smaller aircraft might look good short term, but this isn't going to last forever.
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