Emirates and a slew of other carriers are reviewing their options as they prepare for a detailed formal Airbus announcement today about more delays in the A380 program. Emirates Airlines, which ordered 43 A380 aircraft, claims that the delivery of its aircraft will be delayed an additional ten months, with the first delivery in August 2008. On the delay, Emirates president Tim Clark remarked: “this is a very serious issue for Emirates and the company is now reviewing all its options.” One source claims that has Airbus has whittled the projected number of delivered aircraft in the first year from twenty-five to just two airplanes. Many aviation analysts expect a full disclosure of the problems plaguing the A380 program by Wednesday, one day after the EADS board meeting. Emirates is not the only airline affected by A380 delays. Singapore, Virgin Atlantic, and Lufthansa expect delays ranging from six months to over a year. The latest grumblings from Emirates are the strongest warning yet that a cancellation of orders is a possibility. The carrier will likely use the latest delays as a way to negotiate compensation payments or better prices from Airbus. Furthermore, some analysts believe that Emirates may cancel some or all of its order with Airbus for the A380 aircraft. According to a Reuter’s report, “with U.S. airlines still in financial turmoil, the Gulf is one of the big markets to capture along with low-cost carriers in Asia and a cancellation from Emirates would be a potentially serious blow in money and prestige for Europe’s jetmaker.” Emirates, which has publicly stated that the A380 is at the core of this strategy, can afford few more delays. With the turmoil at Airbus, Boeing has reportedly stepped up its efforts to sell its slightly enlarged, updated 747-800 aircraft. Although not a direct competitor to the A380 aircraft, it will fit a niche between the current generation of 747’s and the A380. Deliveries of the Boeing 747-800 are expected to begin in 2010. As Boeing seeks to capitalize on Airbus’ mistakes, the European giant is slated to undergo massive restructuring. With manufacturing and engineering operations being shifted between Germany and France, Airbus is trying to lift itself from the doldrums.

Source: Reuters