Boeing WTO Appeal

[landing-gear]

WTO Panel May Rule Against Airbus - Report

September 3, 2009
In a victory for Boeing, a preliminary WTO panel is likely to rule on Friday that European governments illegally subsidised Airbus aircraft, the Wall Street Journal said, citing trade officials, lawyers and executives from both sides.
The expected World Trade Organisation ruling in the biggest trade dispute in the WTO's nearly 15-year history has been years in the making.
Britain three weeks ago pledged GBP340 million pounds (USD$553.5 million) in loans to help Airbus develop the A350 wide-body passenger jet, which is intended to compete with Boeing's much-delayed 787 Dreamliner.
Germany would provide EUR1.1 billion (USD$1.57 billion) and France EUR1.4 billion (USD$2.0 billion), German and French officials have said.
Last week, Ted Austell, Boeing's vice president for government operations, told reporters that he hoped the expected ruling would force European governments to reconsider plans to help finance the A350.

(Reuters)

I think loans from European States to Airbus should be just that "loans".
If this is carefully monitored why is it such a problem to Boeing?
Is this just sour grapes?
Surely Boeing has ridden the crest of the wave for too long, being the consumate airliner builder and receiver of large defence contracts. Do they not borrow money??
Perhaps they should channel their efforts into getting their 787 in the air!

[474218]

I think loans from European States to Airbus should be just that "loans".

That is exactly what Boeing is saying. They have no problem with Airbus borrowing money from the EU governments or any other source. But they do have a problem with Airbus not having to repay those government loans only after the project has turned a profit.

Right now Boeing is pumping billions of dollars into the 787 project, those dollars have come form profits on other programs and from borrowing. The borrowed money has to be paid back even if the 787 never makes a profit.

[LH-B744]

[...]
Last week, Ted Austell, Boeing's vice president for government operations, told reporters that he hoped the expected ruling would force European governments to reconsider plans to help finance the A350.

(Reuters)

I think loans from European States to Airbus should be just that "loans".
If this is carefully monitored why is it such a problem to Boeing?
Is this just sour grapes?
Surely Boeing has ridden the crest of the wave for too long, being the consumate airliner builder and receiver of large defence contracts. Do they not borrow money??
Perhaps they should channel their efforts into getting their 787 in the air!

I think (subjective again) that the world crisis is not a time that should lead us to a sort of business wars. The 787 is delayed, the 388 was or is still delayed, so on both sides of the ocean there are enough difficulties even without being jealous on Boeing (on this side of the atlantic) or on Airbus (on the other side of the atlantic).
Maybe, and this is now only my very personal opinion, LH could have participated in the 748-program, but the 747-8 is... not available either (first delivery to LH in 2011?).
So maybe Boeing and Airbus are busy also without such unnecessary interference.