NICHOLAS IONIDES / SINGAPORE

European manufacturer banks on EVA's reluctance to be sole -200LR customer

Airbus is stepping up its fight to kill off an EVA Air order for Boeing 777-200LR/300ERs, by seeking proposals from leasing companies for a joint 15 A340-500/600s deal.

EVA earlier this year began reconsidering its commitment to the long-range 777 variants, as it was unhappy being the only customer for the -200LR. It placed firm orders for three -200LRs and four larger -300ERs, as well as taking options on eight more, in mid 2000.

Boeing said late last year that it was suspending development of the -200LR due to poor market prospects. It said at the time, however, that deliveries to Taiwan's EVA would still take place as scheduled from May 2006 and the first available slots would be in 2005. First deliveries of the stronger-selling -300ER are due next year.

Industry sources say Airbus tabled an offer to EVA around three months ago for 15 firm A340-500/600s. Boeing made an offer for the eight 777 options to be firmed up at more favourable prices.

The sources say any order is still some time away and EVA may opt to stick with its 777 commitment. Airbus, however, is now keen to tie up with a leasing company for a revised joint proposal for 15 aircraft with a lease/purchase mix.

EVA likes to place orders for aircraft with both lessors and manufacturers. Last year it ordered two A330-200s and leased six more from General Electric Capital Aviation Services (GECAS) in its first ever Airbus deal. It has since committed to leasing two more of the type from GECAS.

The sources say a key question is whether EVA will be able to cancel its firm 777 commitment if it chooses to order A340s, or whether Airbus will have to help it dispose of the twinjets before delivery.

Source: Flight International