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
spot_img
spot_img

Hot this week

CIIN Boss, Yetunde llori, Bows Out, Lists Achievements in Office

Mrs. Yetunde llori, the President/Chairman of Council, Chartered Insurance...

WorldStage Business Forum Q2 2026: Prof. Baale Makes Case for Building World-class Nigerian Corporate Culture

L-R: Mr. Segun Adeleye, President/CEO, World Stage Limited; Prof. Lere...

Insurance Brokers Reaffirm Commitment to Local Content, Digital Innovation at SUPERNEWS Conference

Deputy President of the Nigerian Council of Registered Insurance...

Regency Alliance Insurance Launches N7bn Private Placement

Regency Alliance Insurance Plc has officially launched a private...

Topics

Ozaremit, Africa’s New Top-Up Leader Accelerates Development

Ozaremit, a new top-up leader, accelerates its development only...

NSE Corporate Challenge Receives Boost from Beta Glass

The 6th edition of The Nigerian Stock Exchange (NSE)...

Stanbic IBTC Revamps Private Banking with Rewards via Save and Enjoy Promo

Stanbic IBTC Bank has transformed its Affluent Banking segment,...

Lagos State Partners Ecobank to Uplft Artisanal Fisheries Value Chain

Left: Permanent Secretary, Ministry of Agriculture, Lagos State, Hakeem...

SEC Hosts WACMaC 2023 as Infrastructure, Sustainable Finance Top Agenda

The need to tackle infrastructure deficit in the West...

IFC Divests 14.1% Stake in Ecobank to Arise B.V

Ecobank Transnational Incorporated (ETI) announces that IFC and the...

CHI Renews N24m Accident Insurance Cover for Journalists

Eddie Efekoha Group MD/CEO CHI Plc Consolidated Hallmark Insurance (CHI) Plc has...

Sovereign Trust Insurance Hosts Table Tennis Tournament

Members of Executive Management and Staff of Sovereign Trust...
spot_img

Related Articles

Popular Categories

spot_imgspot_img