by Christopher Freeburn | October 7, 2013 10:06 am
Japan Airlines has made a deal to buy new passenger jets and it doesn’t involve Boeing (BA).
The carrier says it will purchase 31 A350 jets from European consortium Airbus. The A350 is Airbus’ answer to Boeing’s new 787 Dreamliner. The deal, worth $9.5 billion, is seen as a major setback for Boeing, which has traditionally been the dominant provider of planes for Japanese airlines, BBC News notes.
Under the terms of its agreement with Airbus, Japan Airlines can opt to purchase another 25 jets in addition to those already cited in the order.
An Airbus official noted that the order was the largest purchase the company had ever received from a Japanese carrier.
Boeing’s worldwide fleet of 787 Dreamliners was temporarily grounded by worldwide aviation authorities earlier this year after a series of incidents that were traced to its lithium-ion batteries.
Shares of Boeing sank 1% in Monday morning trading.
Source URL: http://investorplace.com/2013/10/sorry-boeing-japan-airlines-just-ordered-9-5b-airbus-jets/
Short URL: http://invstplc.com/1nIEXxT
Copyright ©2014 InvestorPlace Media, LLC. All rights reserved. 700 Indian Springs Drive, Lancaster, PA 17601.