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Monday, June 16, 2008

Narrow-Body Replacement Won’t Come Until 2019

Airlines are not interested in a paltry 12-15 percent improvement in operating costs for the next generation narrow-bodies, according to Boeing, but are telling manufacturers they want 20 percent. Both Embraer and Bombardier are expecting the 15 percent improvement in operating costs for the C Series to help them break into the narrow-body market, while Embraer is pushing the ERJ 190 as a complementary aircraft for mainline use as is already happening at US Airways, Finnair and Air Canada. Related Story  Narrow-body replacements from Boeing and Airbus will not come until 2019 or 2020, according to the Seattle Post Intelligencer, which could leave room for the Bombardier and Embraer programs as a stop-gap measure. However, Boeing indicated its recent announcement to delay a new-generation 737 replacement was based on the fact that anything they do now will be less than optimal and have a short life, which could also describe the products from the two regional airline manufacturers. The next problem is the fact that airlines are no longer in a financial position to begin ordering new equipment.