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Old 9th April 2004 | 21:17
  #22 (permalink)  
Wino
Union Goon
 
Joined: Feb 2000
Posts: 1,097
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From: New Jersey, USA
Yes but Bahrain lad,

Take the money that was loaned to airbus and apply a 5 percent interest rate on it from the date the check was written (in otherwords at the rate that a corporation would have to pay on money borrowed on the real market, not as a government subisidy) and if you do that even the A320 hasn't paid i ts way yet. Yes in total dollars it has, but not if you compound the interest in a way that ANY corporation would be required to do... The interest ran for a LONG time with almost no aircraft sold...

But what is even more odious, is when Boeing goes out to borrow the money, they have to repay WHETHER OR NOT THEY SELL ANY AIRCRAFT! Airbus had ZERO risk. They only have to pay back if they sell the aircraft, and not with any reasonable interest schedule.


THat is NOT a level playing field no matter what you think or say.



Cheers
Wino
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