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Technology Stocks : Boeing keeps setting new highs! When will it split? -- Ignore unavailable to you. Want to Upgrade?

To: steve dietrich who wrote (2327)	6/15/1999 11:32:00 PM
From: Tom_	Read Replies (1) \| Respond to of 3764

$7 billion in orders. Tuesday June 15, 2:48 pm Eastern Time Boeing, Airbus unveil huge aircraft orders LE BOURGET, France, June 15 (Reuters) - Boeing Co overtook Airbus Industrie in the battle for new orders at the Paris airshow on Tuesday as it announced new business worth over $5 billion. The rival U.S. and European aircraft makers dominated the third day of the week-long airshow, as each sought to back up its competing claim to be top dog in the competitive world of airliner sales. So far at the show, Boeing has announced orders and intentions to buy totalling an estimated $7 billion, while Airbus has reported around $2.5 billion. Boeing said U.S. International Lease Finance Corp plans to buy as many as 100 of Boeing 737 planes, worth over $5 billion at list price. It also announced the sale of two 747-400 freighter planes to Korean Airlines. That easily beat an announcement by the pan-European Airbus consortium that it had sold $1 billion worth of 23 A320 planes to Asian leasing company Singapore Aircraft Leasing Enterprise. The orders, which came after a slow start to one of the industry's largest jamborees, were welcome news for the companies, both of whom expect a sharp drop in sales this year. Boeing is rebuilding after losses in 1997 of $1.8 billion, while Airbus is under pressure to boost competitiveness to stay in the race with its larger rival. ''It's a significant order for Boeing, it points to strong demand for the 737,'' said Brian O'Keefe, an analyst at Commerzbank. ''It's less so for Airbus, it's an add-on order.'' Asia's economic difficulties and the collapse of the Russian economy last year have put a damper on prospects for the airline industry, which Boeing and Airbus estimate as worth $1.3 trillion over the next 20 years. Both have said they see orders falling by around 40 percent this year -- a sentiment reflected in the low number of new order announcements at Paris so far -- and differ in their assessment of the type of planes needed in the longer term. Airbus has predicted a growing market for large planes seating 500 or more passengers. Boeing sees the main demand for smaller jets used on regional routes, particularly in Asia, where airlines face deregulation. The size of the ILFC order for the medium-sized 737 indicates that Boeing's projections may be correct, said Commerzbank's O'Keefe. There is also a significant market for replacements for older 737s and 727 aircraft, he said. ... Boeing announced on Monday orders for some 35 737s, worth about $2 billion, from Indian airline Jet Airways, leasing company CIT Group Inc and U.S. carrier Midway Airlines. ~~~~~~~~~ Best wishes, Tom (long)(<g>)