PPRuNe Forums - View Single Post - US slaps huge duty on C Series
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Old 19th Oct 2017, 16:23
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Proxima_Centauri
 
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Once again... look at the actual operating economics of the cs100 vs Embraer190/195E2..... THEY ARE THE SAME! Not the original 190/195... I'm talking about the 190/195E2.... just look it up.
It doesn't matter if the c series is a new design... 'cool' factor has nothing to do with economics... basically a re-engining came out to the same efficiency as a brand new bombardier design. But at a cheaper design and production cost.

Do you deny this? I realize the c series is an all new design but that's not the point.

The public may think a 'cool' design is superior to a more economic design but that's not how airline management think. They think in dollars.

If you want to talk about companies betting on their product... embraer only has to recoup $1.7 billion to win their bet... pretty much certain. On the other hand Bombardier needs to recoup over $6 billion with only 33% of what will likely be small profit margins... everybody knows that will not happen, Bombardier's goal is now to minimize losses.... Bombardier already LOST their bet.

Why do you keep talking about scope? The 190/195e2 isn't being marketed as a regional aircraft in North America. It's the same size segment as the cs100... it directly competes with the cs100... Once again the cs100 only beat out the 190/195e2 at delta because of the supposed $19 million price tag, unfortunately for Embraer they are out to make money and won't sell jets below the cost of production.

You said it yourself both Boeing and Airbus abandoned the segment in the 80's. They determined the market was too small to justify their involvement... believe me, the people running Boeing and Airbus know a hell of a lot more than the clowns running Bombardier who can't manage any segment of their corporation properly.
Airbus is only getting back into the segment because they were handed a program for free with up to $700 million of costs covered going forward... who wouldn't take that deal. But don't think airbus will push the cs300 very hard... they will ALWAYS push upgauging with the 320neo over the cs300... why send half your profits to those clowns at Bombardier when you could keep 100% with your mainstay product?

Don't get me wrong the AIRBUS c series will sell as a nice... should be able to break 500 orders, but not much more than 600 or 700. And this is only possible because it's a free program with no development costs for Airbus... they can sell it at cost plus say 5% and still make a couple million per plane, no big deal it's free money. Bombardier won't survive off 1 or 2 million per plane though... Airbus has no incentive to sell it at the premium needed for Bombardier to survive.

The Bombardier c series is a disaster... the Airbus c series will be a moderate success(as in it will be impossible for Airbus to loose money off a $0 investment with $700 million covered for cost overages)



And yes I'm a pilot... I actually fly a Bombardier made jet, doesn't mean I drink the Bombardier coolaid though.


I'm not saying the c series is a bad plane... I'm just saying the program was a huge mistake for Bombardier.


Ps Bombardier is looking at unloading the q400/CRJ series because they neglected those product lines and let the competition over take their leading positions in those segments.. because they were obsessed with their loosing c series bet.
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