H
H
I
I
S
S
T
T
O
O
R
R
Y
Y
BOEING
AIRBUS
1916 – William Boeing formed Boeing in Puet Sound, Washington
1927 – First ever passenger service plane Model 40A
1928 – Boeing renamed itself in United Aircraft and Transportation Corporation
1934 – Boeing split into three parts – the Boeing Airplane Company, United Airlines and United Aircraft
1947 – First jet airplane, B-47 bomber
1957 – First jet tanker and first Boeing passenger jet, 707
1962 – Launching Air Force One – Boeing 707 320B for the president
1968 – Launching 737 – low capacity short range plane – best selling passenger plane ever ( aproximately 5000 units )
1969 – Launching of Apollo 11 equiped with Boeing overall systems integration
1970 – Making of 747 – high capacity long range plane
1996 – Boeing merged with Rockwell International Corporation aerospace and defense units – operating now as Boeing subsidiary
1997 – Boeing merged with its North American component, Mcdonell Douglas Corporation
2000 – Boeing purchased Highes Electronics Corporation’s space and communications business
2002 – Boeing merged the company’s space, defense,
government, intelligence and communications into one business
1969 – Sud Aviation and Deutsche Airbus decide to launch Airbus A 380
1970 – Creation of Airbus Industrie
1971 – Casa joins Airbus Industrie
1978 – A 300 launched (short version of A 300)
1979 – British Aerospace becomes fourth Airbus partner
1984 – Launch of A 320
1987 – A 330/A 340 programme launched
1989 – A 321 launched (extended A 320)
1993 – A 319 launched ( short A 320)
1999 – Launch of A 318, smallest Airbus plane
1999 – Plans for EADS merger announced
2000 – Commercial launch of A 3XX
2000 – Airbus consortium to become a corporation
Leadership, Integrity quality, Customer satisfaction, People working together
A diverse and involved team, Good corporate citizenship, Enhancing shareholder value
Detailed customer knowledge and focus
Large-scale system integration
Lean enterprise
Run healthy core businesses.
Leverage strengths into new products and services.
Open new frontiers
To value and leverage multiple perspectives, experiences and capabilities by driving the integration of
diversity, equity and fairness principles into all practices and processes to achieve enterprise
objectives
People working together as a global enterprise for aerospace leadership.
MISSION
VISION
STRATEGY
VALUES
More comfortable, more efficient aircraft
that meet passengers’ expectations and airlines’ business requirements
.
New ideas, new techniques and new materials
Thinking ahead and listening –
to customers, passengers and employees
Improve our customer's lives and our community
through passenger transportation services.
Make it convenient, enjoyable and beneficial for all who use our services.
To exceed our customers expectations and
enable them to achieve their travel and transportation goals.
MISSION
VISION
STRATEGY
OUTPUT
2004 FACT SHEET
BOEING
AIRBUS
2004 Revenue
$50485,00 mil $ 24225,40 mil
Revenue growth (1Yr)
-6,60%
19,10%
Employees (2004)
157 000
52 000
Employee Growth (1 yr)
-5,40%
8,70%
Aircraft deliveries
285
320
Number of aircraft models
11
12
2004 Revenue
0 10000 20000 30000 40000 50000 60000 BOEING AIRBUSMillion $
Revenue growth (1Yr) 2004
-10,00% -5,00% 0,00% 5,00% 10,00% 15,00% 20,00% 25,00% BOEING AIRBUS
THE CIVIL AIRCRAFT INDUSTRY MARKETS
Commercial aircraft
Maintenance, repair and overhaul
(MRO)
Jet engines
Key systems
Aviation electronics and electrical
systems
AIRBUS
BOEING
BOMBARDIER
EMBRAER
GENERAL ELECTRIC
PRATT & WHITNEY
ROLLS-ROYS
SNECMA
TEXTRON
GULFSTREAM AIR
Less than 100 seats
BOEING GROWTH AND DIVERSIFICATION
1994 Revenue $22 Billion CA 73% IDS, CC, C 27% 2003 Revenue $50 Billion IDS, CC, C 55% CA 45% 2004 Revenue $52,5 Billion IDS, CC, C 60% CA 40%Based in Toulouse, France, Airbus is an EADS joint Company with BAE SYSTEMS, incorporated
under French law as a simplified joint stock company or “S.A.S.” (Société par Actions Simplifiée). Airbus’
design and production sites are grouped into four wholly-owned subsidiaries, Airbus France, Airbus
Deutschland, Airbus España and Airbus UK.
AIRBUS
COMMERCIAL
AIRPLANES
AIRBUS ACTIVITIES
ENGINEERING
MANUFACTURING
CustomerSupport Engineering & Technical Support Technical Data Support & Services Spares support and services Training Flight Operations Support & Line
Assistance
Business Operations
AIRBUS WORLD PRESENCE
Toulouse, France Toulouse, France Hamburg, Germany Frankfurt, Germany Hamburg, GermanyAIRBUS North America
Miami, Florida Washington AIRBUS China AIRBUS Japan Beijing Beijing Singapore Training Centres Subsidiaries
Spare Parts Centres
AIRBUS International Operations
130 FIELD SERVICE OFFICES AROUND THE WORLD
EUROPEAN OPERATIONS France: Toulouse, St. Nazaire, Nantes, Me-aulte Germany: Hamburg, Bremen, Stade, Nordenham,
Varel, Lauphheim, Buxtehude
Spain: Getafe, Illeskas, Puerto Real UK: Filton, Broughton
BOEING WORLD PRESENCE
USA: Everett, Wa Tulsa, Ok Hawthorne, Ca El Segundo, Ca Wichita, Ks Renton, Wa Boeing FactoriesBoeing Training Centres
Commercial Airplane Subsidiares
Boeing Canada Winnepeg
Boeing Canada
Boeing Australia Limited
Europe: Manchester London Palma de Mallorca Asia: Kunming Korea Australia: Brisbane Africa: Johannesbur g Latin America: Rio de Janeiro Mexico City Buenos Aires North America: Atlanta Miami St. Louis Denver Long Beach Salt Lake City Louisville Seattle Atlanta Seattle New York El Segundo, California
AIRBUS BOEING
Model type No. seats Range in km Model type No. seats Range in km
A 300 266 7.700 km 177 5.084 km A 300 F freighter 4.800 km 737-900 189 5.084 km A310 220 9.600 km 162 5.425 km A318 100 6.000 km 737-800 189 5.425 km A 319 124 6.800 km 416 13.450 km A 320 150 5.500 km 747-400 524 13.450 km A 321 185-220 5.550 km 416 14.205 km A 330-200 253 12.500 km 747-400 ER 524 14.205 km A 330-300 295 10.500 km 243 6.287 km A340-200 261 14.800 km 757-300 280 6.287 km A340-300 295 13.700 km 200 7.222 km A 340-500 313 16.700 km 757-200 228 7.222 km A 340-600 380 14.700 km 245 10.454 km A 380 A 380 F 3 decks 555 14.800 km 10.400 km 767-400 ER 304 10.454 km 375 10.454 km 368 11.029 km 451 11.029 km 777-300 555 11.029 km 787-3 296 6.500 km 787-8 223 15.700 km ___ 100 – 200 seats competitor ___ 200 – 280 seats competitor ___ 280 – 375 seats competitor ___ 375 – 520 seats competitor ___ 520 – XXX seats competitor
AIRCRAFT DELIVERIES
0
100
200
300
400
500
600
700
Year
BOEING DELIVERIES
620
489
527
380
281
285
320
AIRBUS DELIVERIES
294
311
325
303
305
320
355
1999
2000
2001
2002
2003
2004
2005
AIRBUS vs. BOEING MARKET SHARE
AIRBUS; 57%
BOEING; 43%
INNOVATIONS
707
– World’s first commercial jet (set the pattern for all commercial jets)
727
– First commercial jet with completely powered flight controls, high-lift systems
and auxiliary power unit
737
– World’s best selling commercial jet (more than 5500 orders)
747
– First jumbo jet
747-400
–
First with flight crew rest area, sitcom capability, two-crew, wide body
commercial jet with 4 engines
757/767
–
Pioneer in concept of cooperative certification from “glass cockpit”
717
–
First to receive concurrent and cooperative certification from FAA and JAA
B
O
E
I
N
G
777
– First completely digitally designed and pre-manufactured, first ETOPS certified
before delivery
A300
– First twin-engine, twin-aisle commercial jet, equipped with CAT IIIA auto land
A300FFOC
–
First twin-aisle jet to be piloted by two-man crew
A310
– Introduction of composite materials in secondary structures
A310
-
300
– First to feature drag – reducing wingtip devices, introduction of
composite materials in primary structures
A320
– First “fly-by-wire” service and side stick controller
A300
-
600
–
World’s most voluminous cargo hold
A
I
R
B
U
MAIN COMPETITIVE PRODUCT ORDERS
BOEING 787 DREAMLINER
AIRBUS A380
AIRLINE aircraft No. of Aircraft type AIRLINE aircraft No. of Aircraft type ANA - All Nippon Airways 30 20 787-300 787-800 Emirates 41 2 A380-861 A380F
Japan Airlines 30 787-300/800 Lufthansa 15 A380
Primaris Airlines 20 787-800 Quantas 12 A380-841
Air China 15 787-800 Air France 10 A380-861
China Eastern 15 787-800 Federal Express 10 A380-800F
China Southern Airlines 13 787-800 Singapore Airlines 10 A380-841
Continental Airlines 10 787-800 UPS 10 A380-800F
Hainan Airlines 8 787-800 ILFC 5 A380
First Choice (uk) 6 787-800 Finance Corp. 5 A380F
Shanghai Airlines 6 787-800 Korean Air 8 A380
Blue Panorama 4 787-800 Malaysia 6 A380-861
Vietnam Airlines 4 787-800 Virgin Atlantic 6 A380
Xiamen Airlines 3 787-800 Thai Airways 6 A380
Air New Zeland 2 787-800 Etihad Airways 4 A380-840
Icelandair 2 787-800 Qatar Airways 2 A380
BOEING SUPPLIERS OF THE YEAR
AVIONICS CATEGORY ELECTRONIC, HYDRAULIC AND MECHANICAL SYSTEMS CATEGORY MAJOR STRUCTURES CATEGORY PURCHASED OUTSIDE PRODUCTION CATEGORY PROPULSION CATEGORY Harris Corporation Department of Defense ProgramsKidde Technologies Inc.
Wilson, North Carolina Stork Fokker AESP J. D. Ott Company, Inc. Seattle, Washington Pratt & Whitney Commercial Engines East Hartford, Connecticut COMMON AEROSPACE COMMODITIES CATEGORY INTERIORS CATEGORY AEROSPACE SUPPORT CATEGORY NON-PRODUCTION CATEGORY SMALL BUSINESS CATEGORY TECHNOLOGY ADVANCEMENT CATEGORY Radiall
Rosny Sous Bois, France
Drager Aerospace and Carleton Technologies Orchard Park, New York ST Aviation Services Company Pte Ltd (SASCO) Singapore Dell, Inc. Round Rock, Texas Helicomb International, Inc. Tulsa, Oklahoma Creative Management Technology, Inc. Cocoa Beach, Florida Patriot Machine, Inc. St. Charles, Missouri Waveflows LLC Glenview, Illinois
BOEING MAJOR CIVIL AIRCRAFT SUPPLIERS
Landing gear
Goodrich, Menasco, Dunlop, Messier Bugatti, Haneywell,
Fuji, Cleveland Pneumatic,
Wings stabilizers
Short, CASA, Hawker de Haviland, Alenia, Vought
Aircraft
Fuselage
Kawasaki, Mitsubishi, Fuji, Northrop Grumman, Short
Brothers, Kaman, Singapore Aerospace Industry, ASTA,
Canadair
Others
Northrop Grumman, IAI, Schweizer, Honeywell Air
Conditioning
Aircraft interiors
BE Aerospace
In-flight entertainment
Airlines Choice
Surfaces
Alooa – Boeing
Avionics
Honoywell, Rockwell, Collins,
Engines
BMW Rolls Royce, CFM International, Pratt&Whitney,
GE, Rohr Industries,
Hydraulic
Honeywell
AIRBUS MAIN SUPPLIERS
AEROSTRUCTURE MATERIALS EQUIPMENT SYSTEMS PROPULSION SYSTEMS
ENTERPRISE CONSUMABLES AND SERVICES PROCUREMENT PRODUCT RELATED SERVICES PROCUREMENT
IT & TELECOM EQUIPMENT CAPITAL
& FACILITIES Alenia, BAE SYSTEMS, Belairbus, Boeing Hawker de Havilland, Bombardier, EADS Military Aircraft, Elbe Flugzeugwerke, Eurocopter, Fairchild Dornier, Fokker, GKN, Labinal, Latecoere, PFW, Ratier-Figeac, SAAB, Sabca, Socata, Sogerma, The Aerostructures Corporation Alcoa, Corus, Fairchild, FORTECH (Eramet group), GFI Group (Blanc Aero), Hexel, Otto Fuchs, Pechiney, Sarma, VSMPO B/E Aerospace, Cobham, Collins, Diehl, Driessen, Eaton, Goodrich, Honeywell, Jamco, Liebherr, Matushiba Corp General Electric Company, Goodrich, Pratt-Whitney, SNECMA, Rolls Royce, Northrop-Grumman, Parker, Pratt & Whitney, Canada, Recaro, Sagem, Smiths, Snecma SA, Thales, Hamilton –Sundstrand, Zodiac, Engine Alliance (GE & P&W), IAE (PW & RR), CFMI (GE & SNECMA)
Adecco, Adia, Courriers de la Garonne, Cromwell Tools Ltd, Daher, Danzas, Debis, Emery, Euro RSCG, Guilbert, Havas, Isor, KPMG, Price Waterhouse, Securitas, Sodexho, Sud Espace Aerotec, Askon, ASSYSTEM, DGA/DCE/CEAT, Clairis Technologie, Comecad (Group Labinal), Engage (Group GKN), Etude Documentation Impression, Ferchau, Inbis, Latecoere, Mayflower Technical Services, ONERA, Penauille Polyservices, Piper, Rücker AG, Sonovision, Studec-Seta, STN Atlas, Teuchos (Group Labinal), TGA, Transiciel
IT, Compaq, Dell, Hewlett Packard SUN, IBM, Microsoft, NEC, Oracle, Toshiba, T-Systems, Telecom/Network, CISCO, CSC, France Telecom, MATRA NORTEL, SITA, SAP, SUN
Atlas Copco, Broetje, Cooper Tools, DS Technologie, Electro Impact, Forest Liné, Hyde Group, Henri Liné, Makino, M Torres, Scholz, Starrag-Heckert Technology AG
MAIN BOEING AND AIRBUS COMMON SUPPLIERS
General Electric
Pratt & Whitney
B/E Aerospace
Rolls Royce
Dell
Honeywell
Collins
Hamilton – Sundstrand
Hawker de Havilland
PERFORMANCE RATING
AIRBUS
BOEING
EXTREME
OUTPERFORMER
OUTPERFORMER
MARKET PERFORMER
UNDERPERFORMER
EXTREME
UNDERPERFORMER
TOP TEN END-USER NATIONS
PASSENGER AIRCRAFT DELIVERED
BY $ VALUE (2004 $ BILLION)
1
United States
5,210 United States
412.7
2
People’s Republic of China 1,790 People’s Republic of China
241.7
3
United Kingdom
1,150 United Kingdom
119.2
4
Germany
989 Japan
106.4
5
Japan
640 Germany
96.6
6
Italy
543 France
57.5
7
France
482 Republic of Korea
52.5
8
Spain
446 Italy
52.1
9
Canada
434 Spain
47.5
17,328
New passenger
and freighter
deliveries over
the 2004-2023
period
PassengerFleet Freighter Fleet
16,601 727 3,268 1,029 Recycled 3,520 Delivered 17,328 Converted 2,412 Retired 4,297
North America 2004-2013 2014-2023 % of world deliveries 3,048 2,596 28% Europe 2004-2013 2014-2023 % of world deliveries 3,290 3,113 32% Latin America 2004-2013 2014-2023 % of world deliveries 810 413 6% Africa 2004-2013 2014-2023 % of world deliveries 411 230 3% Middle East 2004-2013 2014-2023 % of world deliveries 396 299 4% Asia – Pacific 2004-2013 2014-2023 % of world deliveries 2,928 2,587 27%
World-wide demand will be more even between major
regions
BOEING vs. AIRBUS
BOEING
AIRBUS
It will deliver about 285 jets this year
It will deliver about 315 jets this year
Boeing 787 carrying about 250
passengers
A 380 potential seating of 555
Profit from standard models and develop
military aircrafts & satellite program
Invest in development of new passenger
aircraft
Airbus A380 floor area has 49% more floor space than Boeing 747-400
Airbus has 20% less of operational costs than Boeing
It has longer tradition until 1995 had the
monopoly on aircraft market
Airbus holds now some 57% of the world
market for passenger aircraft
Pilot of Boeing 737 needs 3-5 months of
FUTURE PRODUCT FOCUS
B787 DREAMLINER
A380
MODEL 787-3 – 2 class configuration 787-8 – 3 class configuration 787-4 – 3 class configuration
A380-200
A380-100
A380-50R
TYPE Single-deck, long range Twin-deck, four-aisle, wide body, long range
RANGE 787-3 - 3500nm 787-4 - 8500nm 787-5 - 8300nm
A380-200 - 7650nm A380-100 - 8150nm
PASSENGER NUMBER 787-3 - 289 passengers 787-4 - 271 passengers 787-5 - 257 passengers
A380-200 - 656 passengers A380-100 - 555 passengers A380-50R - 480 passengers
ENGINES 2 engines – GE / Rolls Royce 4 engines – Pratt / GE, Rolls Royce
MATERIAL Plastic composite and very little aluminum Mixture of aluminum and epoxy-fiberglass
CARGO VOLUME 5 pallets or 5 LD3s 13 pallets or 38 LD3 containers
FIRST FLIGHT
FIRST DELIVERY 2007 2008 2005 2006
FUEL SAVINGS 20% more fuel efficient (than similar sized plane) 13% lower fuel burn than closest competitor
MAINTENANCE 30% maintenance benefit because of its plastic composite and only 2 engines 4 engines – higher maintenance
CREW TRAINING No need for additional crew training Minimal additional training
AIRPORT CAPABILITY Similar in this aspect to its previous models Designed in collaboration with 60 major airports
ETOPS Satisfy ETOPS standards Exceeding the standards for ETOPS
PASSENGER COMFORT
quieter, wider aisles
30% larger windows(than comparable model)
significant reduction of noise and emission levels
49% more floor area
BOEING SWOT ANALYSIS
S T R E N G H T S ExperienceOnly company in world with 4 front-line fighters in current production New plane (speed of sound) Reduction of gasses and noise Good education system and social program
Taking care of environment and society
?
Big planes?
Canceling 747x and sonic cruiser programs (bad picture of company)?
Not taking serious AIRBUS from the beginning?
Increase in speed is not necessary reduction in travel timeW E A K N E S S E S O P P O R T U N I T I E S
Help from the USA government Supplier diversity
New technological breakthroughs in computers and electronics during this time frame
Growth in secondary routes
?
A380?
New entries (Japanese are working for years on supersonic passenger plane)?
Substitutes such asteleconferencing and high speed trains
?
Total passenger traffic will double – need for bigger planesT H R E A T S
FUTURE RISKS!!! Big planes, new entries, new technologies, depreciation of Airbus, and their management who is not open for new revolutionary technologies
AIRBUS SWOT ANALYSIS
S T R E N G H T S A380 introductionNew technologies and materials Growing sale
Cross Crew Qualification Mixed Fleet Flying
?
Relatively new company?
Smaller scope of activities than Boeing?
They invest almost everything in A 380 W E A K N E S S E S O P P O R T U N I T I E SPassenger traffic is doubling, there is a need for bigger planes
Expanding to Japan (new subsidiary)
Strong connection with EU aircraft industry
Supplier diversity
?
Firm orders but not enough?
Pilots need additional training?
Airports need adjustments for A380?
New entries T H R E A T SFUTURE RISKS!!! Is there going to be enough orders to cover expenses?, Will airports adapt for A380?, What is Boeing new step?, Will there be new entries?, How people would react to new big airplane?
INFORMATION SOURCES
www.airbus.com
www.boeing.com
www.avionics.com
www.thetravelinsider.info
www.finance.yahoo.com