Re: Singapore picks the A340-500 over the 777-200X

Date:         26 Jun 98 02:37:44 
From:         "Thomas A. Beckley" <beckley@sprintmail.com>
Organization: The World's Usenet -- http://www.Supernews.com
References:   1 2 3
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>If Boeing does not launch the 772X then it is fair to say that Airbus will
>have a product in the A340-500 that Boeing does not offer. Do the exclusive
>supplier aggrements for AA & DL mean that they cannot buy the A340, and
>therefore will not be able to compete with other airlines on very long thin
>routes?

To gain approval of the merger with McDonnell-Douglas Boeing agreed that the
exclusive supplier agreements it had signed with AA, DL, and CO are all
non-enforceable, so these airlines are all free to buy Airbus products if
they want.  What I'm not sure of is if they were to do this, it might void
the deal, meaning the airlines would lose any price guarantees that are
included in the deals.