A400M update

[Saracenman]

well i for one wouldn't like to call the outcome of this one!

sm

[Za150]

The sooner the A400M is binned and we get a 8th C17 on order and more C130J's the better i say!

[Dan4th]

I just think it would be a shame for it not to be
produced after all the blood and guts expended
by those who worked on it during its design and
develoment. Certainly, it slots-in quite nicely
between the C-17 and the C-130, and there's
no doubt the payload and performance are really
outstanding.

One thing which troubles me, though, is the
widespread tone I receive from most of the
press coverage and analysis I've read which
seems to stongly view Boeing as "The Enemy"
which needs and deserves to be "Beaten".

I know a fellow who was extremely successful
financially in his life, starting with less than
nothing. Upon his retirement, and when asked
about the keys to his business accomplishments,
he replied that his single biggest blessing was
to have had "...a Strong, Smart, and Resourceful
Competitor -- This made us both far better
companies than we would have been otherwise,
and it was the Customers who Benefitted!"

As far as the world having great aircraft goes,
having TWO giants is far preferrable to having
just one that's gotten fat and lazy.

Danf.

[Xplumberlives]

Good point, I think a lot of people are wary of ALL large defence contractors and are mindful of some of the "dirty deals" which have gone on in the past!

Competitors should hopefully keep things more honest!

[Dan4th]

One thing many people forget when
looking back at things like this using
the benefit of hindsight is that way
back in the "Old Days", that was simply
the way business was done, even
moreso in certain countries. In many
cases, this was simply the way it was,
and the only sin involved was in getting
caught!

I had one particularly good History Prof.
in college who taught me that one should
NEVER judge events in the past using
present-day standards. All that does is
provide a distorted picture, and it is more
important to Study history than to Judge it.

For him, history was largely about Context.

D.

[Xplumberlives]

Indeed!

[Saracenman]

i agree Danf particularly when you consider how Boeing does business these days - the majority of the new 787 construction is out-sourced, with pretty much only the final assembly done by Boeing

Marshalls of Cambridge also make a lot of stuff for the Murkin defence aero industry. seeing Boeing succeed would benefit the UK anyway!

sm

[Mackrick]

Article courtesy of Flight Global..

EADS and the customers for its A400M military transport have reached a "principle agreement" to amend the contract governing the programme, the manufacturer has revealed.

The contract is to be amended "in the coming weeks", says EADS.

An EADS statement sets out four commitments made by the customer nations within the terms of the principle agreement.

The nations will increase the price to be paid by €2 billion ($2.7 billion). They will waive all liquidated damages related to current delays. They will provide an additional amount of €1.5 billion in "export levy facilities" to ensure their participation in future export sales. Finally, they will accelerate pre-delivery payments in the period of 2010 to 2014.



©Airbus


A new schedule of pre-delivery payments will be finalised in the amended contract.

Based on the agreement, EADS has increased its A400M loss provision to €1.8 billion, pre-tax, for the full year 2009. As a result, EADS expects pre-tax profit and net income to be negative in 2009. The full-year results are to be disclosed on 9 March.

"The A400M cash flow profile for the coming years is still to be negotiated in the contract amendment," says EADS. "All parties are willing to mitigate negative cash impacts as far as possible. EADS considers that this agreement provides a sound basis for a successful evolution of the A400M programme."

[Za150]

What a load of b ll cks

Just bin it off and buy more C17's and C130J's

[Mayfly]

can some one tell what that means in English please?

[RLN]

Basically, I think - all the participating nations with orders will stump up more money up front, and not take them to court for late delivery.

[Mayfly]

Well that's what I thought, the aviation industry really beggars belief....

[Sooty655]

Sounds a bit like "He has the full confidence of the Prime Minister".

It's the sort of announcement that comes just before the sacking or cancellation.

[Gully]

And I thought the construction industry was bad for cost over-runs and delays!

Neat trick from EADS - costs are over-running (for unspecified reasons), but it's all okay because the taxpayer will shell out more cash to cover the bill. They'll just pick up a proportion of the costs sufficient to negate their profit in one year...

Wonder what the penalty clauses are for walking away and whether the number of aircraft is fixed for each nation? Otherwise, EADS could be facing a reduced production run with each nation still investing the same amount at a higher unit cost.

Interesting stuff...

Gully

[Cluny]

First public display .

Appears to handle well

[Mackrick]

mmmm still not sure about it though ......

[Mayfly]

According to what I've seen the RAF are naming the A400M 'ATLAS' - already renamed to 'Fat Lass' by some