Morgan Stanley analyst Heidi Wood stated she believes Airbus' A320neo aircraft will compel Boeing to reveal plans for a new narrowbody by June. According to the analyst: "Airbus could announce between 500-1,000 new [A320neo] orders by the Paris Air Show [in Jun-2011], which adds pressure for [Boeing] to come up with a new 737 replacement."
Boeing stated it aims to finalise its plans for a new narrowbody by the end of 2011 with entry into service slated for 2019 or 2020. Chairman, President and CEO, Jim McNerney, stated he did not see a compelling case for re-engining.
Boeing's shares managed a small gain on Thursday in the aftermath of its 4Q2010 and full-year earnings report the day prior, with analyst commentary focusing on B787 and B747-8 programme outlooks and the US manufacturer's narrowbody plans.
See related reports:
- Aircraft orders and deliveries review 2010 and 2011 outlook: Airbus, Boeing, Embraer and regionals
- Aircraft deliveries to accelerate in 2011. Led by Ryanair, Air China and Turkish Airlines
Shares in rival Airbus parent EADS surged 4% yesterday.
Selected original equipment manufacturers' share price movements: (% change): 27-Jan-2011