EADS sees more certainty in 2010 ordering outlook
EADS CEO, Louis Gallois, stated the company is witnessing more certainty regarding the outlook for 2010 and is confident that Airbus will be able to meet its delivery schedules (New York Times, 14-Oct-2009). The manufacturer has admitted that its outlook, based on a customer-by-customer assessment, is better than the global outlook. However, Mr Gallois cautioned that carriers’ cash balances could be depleted by the end of the upcoming Winter period, and that further order and cancellation decisions could be made then.
EADS: “The visibility is increasing for the next months, it’s clearer… The global analysis is darker than our bottom-up analysis. Certainly I am sensitive to the global evaluation and it will help us to feel the market. But when you have to decide on production rates, you take it plane by plane... Airlines could be cash short at the end of the winter period. At that point, they could be driven to take further decisions on orders. We will see the depth and the length of the crisis at the end of the winter 2009-2010,” Louis Gallois, CEO. Source: New York Times, 14-Oct-2009.