Friday, November 22, 2024
25.5 C
Lagos

Qatar Airways Cancels $5.3bn Airbus A320 Order over Delays

Qatar Airways has canceled the delivery of the first Airbus A320 aircraft over delays caused by engine problems.

Qatar Airways had ordered 50 A320neo-family aircraft for $5.3 billion in 2011 and was to receive the first one last October.

However, the aircraft faced software and hydraulics problems and the carrier’s CEO, Akbar Al Baker expressed his discontent about A320neo PW1100G engines, stating that they were not properly tested for high temperatures in the Gulf region. The problems led to months of delays and Akbar Al Baker claimed that Qatar Airways was allowed to invoke the cancellation cause.

Akbar Al Baker claimed that Qatar Airways should have had 5 A320neos in service by this summer. As a result of the delays, it was forced to reduce flight frequency of 15 routes to Boston, Houston and Miami among others. The company’s CEO stated: “It is making a huge impact on my bottom line. We are, quite frankly, screaming.”

The only way for the airline to fulfil the commitments to their customers is to lease. “We will have no alternative but to lease. We are awaiting final response from Airbus,” said Akbar Al Baker. We are not talking about compensation. It is about us getting planes so we can meet network requirement.”

Akbar Al Baker also claimed that the airline could walk away from more orders of Airbus A320 neo. However, he still expects that plane manufacturer will be able to deliver 10 of the larger A350 airplane by the end of calendar year.

spot_img
spot_img
spot_img

Hot this week

NNPC’s Utapate Crude Grade Hits Global Oil Market, OML 13 Eyes 80,000 bpd by 2025

Managing Director, NNPC E & P Limited (NEPL), Mr....

UNIDO, ILO, Others to Headline 5th Lagos Waste Forum

Top government officials, Coca-Cola, the United Nations Industrial Development...

Polaris Bank Champions Financial Literacy for Students in Commemoration of World Savings Day 2024

Polaris Bank concluded its nationwide financial literacy initiative with...

WAICA: Heirs Insurance Sector Head Seeks AI Innovation to Drive Insurance Growth

L-R Niyi Onifade, Sector Head, Heirs Insurance Group and...

Topics

NCC Reports 97% Readiness Level for 5G Deployment in Nigeria

The Nigerian Communications Commission’s (NCC’s) plan for Fifth Generation...

NASENI, Nasarawa State Partner on Lithium Processing Policy

L-R: Dr. Mrs. Olayinka Komolafe, Secretary to the Agency,...

Stanbic IBTC: ‘Youths Need Strategic Engagement, Empowerment for Productivity’

Determined to further strengthen the strategic position...

CBN Defends Forex Ban Policy

Mr. Moses Tule, Director of Monetary Policy, Central Bank of Nigeria (CBN) has stoutly defended the recent restrictions placed on forex by the apex bank, saying it is a move to stem gradual erosion of value of the Naira. The CBN had placed a ban on importers of certain commodities from accessing foreign exchange from the forex window. Tule was a guest speaker at a Forum organised by the Lagos Chamber of Commerce and Industry (LCCI) that sought to bring together the regulator and the private sector to discuss urgent and topical issues that have implications for the economy.

Universal Insurance Targets N20bn Premium Income in 2024

L-R: Managing Director/CEO, Universal Insurance Plc, Dr. Ben Ujoatuonu;...

Sovereign Trust Insurance Reports N5.3bn Premium in Qtr 1, 2021

 Mr. Olaotan Soyinka Managing Director/CEO Sovereign Trust Insurance Plc Sovereign Trust Insurance...

FBN Holdings Leverages NGX Invest for N150bn Rights Issue

FBN Holdings Plc’s N150 billion rights issue has gone...

Facebook CyberXchange Hackathon Berths in Nigeria

First ever CyberXchange Hackathon sponsored by Facebook to touch...
spot_img

Related Articles

Popular Categories

spot_imgspot_img