PPRuNe Forums - View Single Post - More trouble for A380 Program ?
View Single Post
Old 17th Sep 2016, 01:09
  #51 (permalink)  
tdracer
 
Join Date: Jul 2013
Location: Everett, WA
Age: 68
Posts: 4,418
Received 180 Likes on 88 Posts
Airbus are claiming they are now breaking even on the A380, possibly some creative accounting there?
Careful, what Airbus has said is that they were cash flow positive - i.e. they were selling the aircraft for more than it cost to build - that's a long way from recouping the estimated 20 billion Euro development costs. Worse, it took until 2015 for them to go cash flow positive, and that'll go away next year as they slow production from 2.5/month to 1/month - they've already admitted that at one a month they'll once again be cash flow negative.
Boeing claims they can be cash flow positive on the 747-8 at 1/month, but the current planned 0.5/month will also be cash flow negative.
In short, both aircraft are in trouble, Boeing's only redemption is they didn't spend anywhere near the money on the 747-8 that Airbus dumped into the A380.
The future success of the 747 depends on the recovery of the air-freight market, the future success of the A380 depends on a fundamental change to the SLF airline business.
tdracer is offline