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World’s Biggest Aircraft & Exporter Sees Increased Profits on Emirates Deal

World’s Biggest Aircraft & Exporter Sees Increased Profits on Emirates Deal

Aircraft producer and Exporter Boeing expects a significant boost in its sales and revenues with its recent deal with Emirates. Recently, the Emirates disclosed its plans to order 10 Boeing 747-8 cargo planes from one of the world’s leading plane makers and Exporters. The deal closed by the two companies is reported to be worth $3.3 billion.

Emirates’ decision to order planes from Boeing is considered as a big blow to another aircraft manufacturer and Exporter Airbus, which is the competitor of Boeing in the industry. Prior to the deal between Boeing and Emirates, the latter backed out from its original plan to purchase A380 planes from Airbus due to certain production problems.

The deal was made at Farnborough, which is considered, as the largest airshow in the world and where plane producers compete for custom. Regardless of the retraction of Emirates, Airbus has closed a $1.7 billion deal with Afriqiyah Airways in Libya. The Libyan Airline Company has ordered some 12 of the smaller aircraft models of the European plane Exporter. Airbus, then, expects a boost in its revenues through its deal with Afriqiyah Airways and other air travel companies in the world.

It must be noted that the deal between Boeing and Emirates is among the first aircraft deals made with the United States after the trade sanctions on United Arab Emirates were removed. According to reports, Emirates, which is based in Tripoli, closed a non-binding agreement to buy 3 A330’s and 9 A320’s from the North American plane producer and Exporter.

At the same time, EADS, which is the parent company of Airbus has stuck a deal with Libya in order to construct a training center for aircraft maintenance and pilots in the country. The agreement was aimed to further improve the entire airline sector of Libya. During the airshow in Farnborough, EADS new co-chief executive state that the European aircraft Exporter is planning to set up a technology center in Britain.

Aside from the above mentioned deals, other agreements disclosed during the airshow included the 2 orders from Pegasus Aviation Finance Company and a contract signed by the BAE Systems with the UK government. The order of Pegasus Aviation Finance Company won by plane Exporter Boeing was reported to be worth around $306 million. Meanwhile, the deal with the BAE Systems that consisted of 12 Nimrod coastal patrol planes was worth $1.1 billion. During the Farnborough airshow, Airbus also announced its plans to remodel and enlarge its A350. The A350 aircraft intended to be fuel-efficient was remodeled after Boeing’s Dreamliner 787 outplaced it in the market.

The Boeing Company is considered as the biggest aircraft producer and Exporter worldwide in terms of revenues while it ranks as the 2nd biggest defense contractor. A year ago, Boeing, which is based in Chicago, Illinois, was also named as the top civil aircraft maker in terms of value with the combination of 49% of plane orders and 45% of aircraft deliveries. That was the first time it outranked Europe’s Airbus since 2000. Currently the biggest Exporter of the US, the company’s stock is a part of the Dow Jones Industrial Average.

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