Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Euronext Paris  >  Airbus SE    AIR   NL0000235190

AIRBUS SE (AIR)
Mes dernières consult.
Most popular
Report
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets

Boeing signs deal to sell 300 planes worth $37 billion to China

share with twitter share with LinkedIn share with facebook
share via e-mail
0
11/09/2017 | 07:16pm CET
FILE PHOTO: Boeing's logo is seen during Japan Aerospace 2016 air show in Tokyo

Boeing Co (>> Boeing Company (The)) said it signed an agreement on Thursday to sell 300 planes to China Aviation Supplies Holding Company worth $37 billion (28.11 billion pounds) at list prices, one of several deals announced during a state visit by U.S. President Donald Trump to Beijing.

Boeing Co (>> Boeing Company (The)) said it signed an agreement on Thursday to sell 300 planes to China Aviation Supplies Holding Company worth $37 billion (28.11 billion pounds) at list prices, one of several deals announced during a state visit by U.S. President Donald Trump to Beijing.

General Electric Co (>> General Electric Company) said it had signed jet engine deals worth $2.5 billion and a $1 billion agreement for power plant equipment and services.

State-run China Aviation Supplies, which leases planes to Chinese airlines, said the Boeing agreement covered 260 B-737s and 40 B-777s and B-787s. The breakdown between firm orders and non-binding commitments was not immediately available.

Analysts said, however, that some of the orders may be among more than 300 from undisclosed buyers posted this year, and it was not clear how much of the China deal was new business.

The new agreement also may overlap substantially with a similar, 300-plane agreement Boeing signed during Chinese President Xi Jinping's 2015 visit to the United States..

That deal, valued at $38 billion at the time, included orders and commitments for 190 B-737s and 50 Boeing wide-body planes, as well as leases for an additional 60 B-737s.

A spokesman for the planemaker declined to comment on what proportion of the new China agreement represented new or existing orders, but it was believed that some of the orders were already in Boeing's backlog. Boeing typically lets plane buyers determine what details to reveal about orders.

Boeing shares were down 1.4 percent at $260.30.

STRONG DEMAND

Boeing says one out of every four jetliners now rolling off its assembly lines is being delivered to Chinese customers, suggesting Chinese demand is strong, despite vagueness about how many actual Chinese orders it has won.

Plane makers also acknowledge a multi-step wooing process with customers such as China. The government first determines how many airplanes its airlines will need, allowing detailed contract discussions to take place. After talks conclude, the government must give final approval to the contracts before the orders become firm.

Some customers ask Boeing to not identify them as buyers even on firm orders, and China is typically among those, according to industry experts. Boeing had 323 orders by unidentified customers as of Nov. 7, of which 282 were for its 737 narrow body family.

Separately on Thursday, Boeing said it had received orders for 42 B-737 MAX jets and 10 B-787-9 Dreamliners from CDB Aviation, a unit of China Development Bank Financial Leasing Co (>> China Development Bank Fnacl Lsng Co Ltd). The order was worth $7.4 billion at list prices.

Boeing and European rival Airbus (>> Airbus SE) have been jostling for market share in China, the world's fastest growing aviation market, with both opening assembly plants in the country.

China's owned aircraft fleet is currently equally split between Boeing and Airbus, but going by order book trends, Boeing seems to have gained a big lead in terms of the number of aircraft orders from China, said Corrine Png, chief executive of transport research firm Crucial Perspective.

China Aviation Supplies has also played a prominent role in deals announced during previous government exchanges.

In July, it agreed to buy 140 aircraft from Airbus in a deal worth $23 billion at list prices during a visit by Xi to Germany. It also was among three Chinese companies involved in the 2015 Boeing order.

Boeing's latest signing in China follows an order for 39 wide-body jets from Singapore Airlines last month.

Earlier on Thursday, General Electric said it had signed deals worth $3.5 billion in China.

They included a $1.4 billion agreement for GEnx engines for 10 B-787-9 Dreamliners, signed with Juneyao Airlines Co Ltd (>> Juneyao Airlines Co Ltd) and ICBC Leasing, the leasing arm of state bank Industrial and Commercial Bank of China Ltd (>> Industrial and Commrcl Bank of China Ltd).

It also included an order valued at $1.1 billion for 80 LEAP engines made by CFM International, a joint venture between GE and Safran SA (>> Safran) of France.

GE's power division also signed a partnership agreement with China Datang Group to provide gas- and steam-powered turbines and components, plus services and digital technology for power projects in China. It valued that deal at $1 billion.

A GE spokesperson said its engine orders were new, and deferred to Boeing on how much of aircraft order was new.

(Reporting by Brenda Goh in SHANGHAI, Ben Blanchard and Stella Qiu in BEIJING, Additional reporting by Jamie Freed in SINGAPORE and Alwyn Scott in NEW YORK; Editing by Marguerita Choy and Bernadette Baum)

By Alwyn Scott

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on AIRBUS SE
05:39a Airbus banking on China future
04:17a Airbus banking on China future
01/19 AIRBUS : Discusses Possible A380 Order With British Airways -Bloomberg
01/19 AIRBUS : Emirates A380 orders allow Airbus to maintain minimum production - COO
01/18 Exclusive - Boeing willing to preserve Brazil's 'golden share' in Embraer dea..
01/18 EXCLUSIVE : Boeing willing to preserve Brazil's 'golden share' in Embraer deal
01/18 EXCLUSIVE : Boeing willing to preserve Brazil's 'golden share' in Embraer deal
01/18 Scandinavian airline SAS sees Airbus jet order this spring
01/18 Emirates hands A380 superjumbo a lifeline with $16 billion order
01/18 Emirates hands Airbus A380 superjumbo a lifeline with $16 billion order
More news
News from SeekingAlpha
01/19 BLOOMBERG : Airbus in talks with British Airways for more A380s
01/19 AIRCRAFT SALES : $62.9B For Boeing
01/19 AIRCRAFT SALES : $61.5B For Airbus
01/18 Airbus A380 Future Cemented
01/17 Eroding Share For Boeing
Financials (€)
Sales 2017 67 027 M
EBIT 2017 4 013 M
Net income 2017 2 833 M
Finance 2017 7 176 M
Yield 2017 1,59%
P/E ratio 2017 25,50
P/E ratio 2018 21,37
EV / Sales 2017 0,97x
EV / Sales 2018 0,87x
Capitalization 71 871 M
Chart AIRBUS SE
Duration : Period :
Airbus SE Technical Analysis Chart | AIR | NL0000235190 | 4-Traders
Technical analysis trends AIRBUS SE
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 26
Average target price 94,4 €
Spread / Average Target 1,7%
EPS Revisions
Managers
NameTitle
Denis Ranque Non-Executive Chairman
Fabrice Brégier COO & President-Airbus Commercial Aircraft
Harald Wilhelm Chief Financial Officer
Luc Hennekens Chief Information Officer
Marc Fontaine Chief Technology Officer
Sector and Competitors
1st jan.Capitalization (M$)
AIRBUS SE8.92%87 823
UNITED TECHNOLOGIES CORPORATION5.37%107 495
LOCKHEED MARTIN CORPORATION4.30%95 482
GENERAL DYNAMICS2.49%62 046
RAYTHEON4.87%56 577
NORTHROP GRUMMAN CORPORATION3.45%54 713