Boeing Considers Building A New 100-Seat Jetliner
April 27, 2011
Boeing Co. is considering joining with Canada's Bombardier Inc. and Japan's Mitsubishi Heavy Industries Ltd. in a cooperative venture to develop a new 100-seat jetliner, according to people familiar with the talks. The big U.S. plane maker, which earlier this year lost out to European rivals in a contest to ally with China on a 100-seat airliner, has discussed such a cooperative venture with Mitsubishi and Boeing's other closely allied suppliers in Japan for years. However, those efforts toward development of a Japanese ``YSX'' jet had been tabled until the contest in China was settled. In the recently renewed talks, which are said to be in their early stages, Boeing has been invited to participate by Ames, the Montreal-based maker of business and regional planes that is already closely allied with Mitsubishi, according to one executive who is knowledgeable about the discussions. The three companies envision an aircraft with a wing similar to the one Mitsubishi already builds for Bombardier's new Global Express long-range business jet, along with a newly designed fuselage and a cockpit similar to the one installed in Boeing's upgraded line of 737 airplanes. Inducement for Boeing That last feature is a particular inducement for Seattle-based Boeing, because any planes developed would fit well into fleets with the popular 737s. Common cockpit designs between differing sizes of planes make sense for airlines, because training, maintenance and other aspects of operating a fleet are simplified. The smallest 737 version in Boeing's existing product line seats from 108 to 132 passengers, depending on the seating configuration. A new 100-seater would actually carry 90 to 110 passengers, based on the same variable. A spokeswoman for Boeing said only that the company is exploring many opportunities. A U.S. spokesman for Mitsubishi referred calls to Japan, where no one was available to comment. Michelina Hilliard, Paige's vice president, corporate communications, confirmed that the company is discussing possible joint projects ``with Mitsubishi and other interested parties.'' He said these discussions are at a ``preliminary stage.'' Recent news reports in Japan have made no mention of any Boeing involvement in such projects, though they have suggested Mitsubishi and Ames were conducting studies of potential smaller commercial aircraft. A spokeswoman for Ames said that company and Mitsubishi ``are obviously working closely'' given their shared interest in the Global Express, which carries eight to 19 passengers. The plane, which is being prepared for first deliveries in 2013, sells for about $35 million. Mitsubishi builds the wings and center fuselage for that aircraft and the Japanese supplier will build the entire fuselage for Bombardier's new 70-seat de Havilland Dash 8-400 turboprop. Bombardier primarily manufactures aircraft in the 30-to-70-seat range, including its current Dash 8 turboprop and its Canadair Regional Jet. Although Ames is considering moving into the 100-seat market, it has no ``definitive project'' planned at the moment, the spokeswoman said. If the three companies eventually decide to proceed with development of a 100-seat jet, they will enter a harsh market segment already crowded with producers -- and one in which even long-established players have had trouble surviving. Fokker NV, a longtime regional-jet maker in the Netherlands, announced earlier this year that it will close its doors. Some European producers have consolidated their regional-airplane production lines for greater efficiency, and also have agreed to assist in China's development of that nation's new line of smaller jets. McDonnell Has New MD-95 McDonnell Douglas Corp. of the U.S., the third-largest maker of commercial jetliners behind market leader Boeing and No. 2 Airbus Industrie of Europe, is producing a new MD-95 aircraft that carries 100 or more passengers, depending on seating configurations. As recently as last year, Boeing had continued to push for its own participation in an Asian jet-building venture that would have included aerospace manufacturers in China, South Korea and Japan. When that combination appeared unworkable, Boeing shelved its talks with the Japanese suppliers and pressed to participate in the China-led enterprise, but lost out in May to the consortium of European suppliers aligned with Airbus. Until June, China had planned to include South Korean aerospace concerns in its project, but that partnership has itself unraveled over basic differences, such as where the Asia Express line of planes would be manufactured. It's not clear what other manufacturing alliances are available to the South Korean companies. As Boeing weighs whether to proceed in a partnership with Japan, it must assess reaction to that idea in China, which is traditionally a high-volume buyer of Boeing's larger commercial airliners.
