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

Fidelity Bank Targets Growth for SMEs at Abuja Business Forum

Fidelity Bank Plc will conclude its 2026 Quarterly Business...

NEM Group Chairman, Tope Smart, to KEYNOTE Business Journal Insurance & Pension Roundtable 2026

Mr. Tope Smart, Group Chairman, NEM Insurance Group will...

Top10 Magazine Names Umaru Kwairanga as Man of the Year 2026

Alhaji (Dr) Umaru Kwairanga, Group Chairman, Nigerian Exchange Group...

CBN Grants JPMorgan Approval-in-Principle to Establish Merchant Bank in Nigeria

The Central Bank of Nigeria (CBN) has granted Approval-in-Principle...

Cardoso Engages Business Leaders on Strengthening Nigeria–China Financial Corridor

The Central Bank of Nigeria (CBN) convened a high-level...

Topics

ITU Sets Path to Drive Digital Benefits for Citizens Worldwide

Member States of the International Telecommunication Union (ITU) agreed...

Fidelity Bank Undertakes ₦29.6 bn Rights Issue, ₦97.5 bn Public Offer

L – R: Stanley Amuchie, Executive Director, Chief Operations...

Kaspersky Offers Free Security for Medical Firms over COVID-19

  Kaspersky announces free availability of its core endpoint security...

NSE’s New Equities Market Structure Set for July 2

The Nigerian Stock Exchange (The NSE) is pleased to...

GOCOP Inks Partnership with NNPC, NLNG, Customs, Dangote, Others for 2026 Conference

The Guild of Corporate Online Publishers (GOCOP) has announced...

Will Buhari Reverse Power Sector Privatisation?

Labour Supports Reversal, Alleges Irregularities, Fraud, Worsening Power Situation The in-coming administration of President-elect, Mohammadu Buhari is under intense pressure to reverse the privatisation of power assets in the country initiated under the out-going Goodluck Jonathan government. Another initiative is to increase Federal Government equity in the already privatised power assets from 49 to 59 percent in order to have control in the running of such power assets across the country.

ADfB Supports Female Entrepreneurs in Nigeria with $50m

The Board of Directors of the African Development Bank...

NNPCL: Port Harcourt Refinery Not for Sale

Group CEO, NNPC Limited, Engr. Bashir Bayo Ojulari addressing...
spot_img

Related Articles

Popular Categories

spot_imgspot_img