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they're behind with on their payments for older aircraft Cutting people off from bank transfers is a two-edged sword, the lenders/lessors will have to sue the
by simonblack 4y ago
they're behind with on their payments for older aircraft
Cutting people off from bank transfers is a two-edged sword, the lenders/lessors will have to sue the lawmakers concerned. But I don't see them winning on that one.
The other problem is that age-old Business Problem: Once those customers that used to be yours are pushed away, they very rarely come back. 300-odd planes at (say) 30 million each is about 10 billion in lost sales for the two Western companies. And that's gonna hurt.
Is this really the start of the end for Airbus and Boeing in Russia?
A more salient question could be, especially with the latest economic problems in the US and Europe: Is this really the start of the end for Airbus and Boeing as viable companies?
- Arnt 4y agoAirbus sold about 900 aircraft last year and Boeing about 800. Russia's total purchase was about 50. It's difficult to tell. Most numbers on the web include aircraft that were purchased by aircraft lessors and then leased to Russian companies, but those lessors aren't going to be impressed by the tsar's new directive, so maybe it's better to ignore thise. Assuming that Embraer and co have a market share such that the relevant total is 2000, Russia's share of purchases is 5%. Will Airbus and Boeing be viable companies if they lose 5% of sales?