Boeing output set for take off
AIRLINES’ voracious appetite for fuel-efficient planes that cut costs will see Boeing increase production by 30 per cent over the next three years, according to its chief executive Jim McNerney.
Speaking ahead of this week’s Farnborough International Airshow, he said: “I think the reason we’re growing disproportionately to the overall economic growth rate is because a lot of the demand for our products is not fuelled by economic growth, rather it is fuelled by replacement of far less efficient airplanes that have quick paybacks.
“When you can buy a 787 that is 20 per cent more efficient than the plane it replaces at a hundreddollar-a-barrel oil, that pays back very quickly.”
The next generation of Boeing’s highly popular single aisle 737 will provide more than 13 per cent improvement in fuel burn compared with its predecessor. The 737 max TYRRELLS, the English maker of hand- cooked crisps, is hiring 80 more people as it goes East.
It has struck deals to expand into Indonesia, Thailand, Malaysia, Vietnam and Hong Kong by the end of 2012, adding to its existing presence in Russia, India, China, Europe and North America.
The up-market snack maker is on track to rake in revenues of £50 million for the year, which is up from £31 million last year.
Tyrrells chief executive David Milner said: “The premium crisp market is growing by double- digit figures and international markets are the best places for growth.
“We are selling premium crisps, Englishness and eccentricity and that’s why we’re so strong internationally.”
Private equity- owned Tyrrells, which makes crisps on its Herefordshire farm, employs 240 people and will add another 80 to the roster over the next year.
Sales have held up in the downturn because “buying quality crisps isn’t going to break the bank”.
Meanwhile, juice bar Crussh is looking to add 30 stores over the next few years to the 26 it already has in London. has won more than 1,000 orders and commitments since it was launched last autumn. The strong interest means it has caught up with the neo, the re-engined Airbus aircraft in the same market segment which was launched earlier.
The US plane maker, which will be 100 years old in 2016, believes airlines will need 34,000 new passenger jets over the next 20 years. This level of demand translates into a market of $4 trillion (£2.5 trillion).
About 41 per cent of the demand will come from new fuel-efficient aircraft replacing ageing models, but the majority will be because of the expansion of air travel around the world, including the growth of domestic flights and low-cost carriers in emerging markets such as India and China.
Passenger traffic is forecast to grow at 5 per cent a year globally
RAVENDER SEMBHY while cargo traffic will increase by 5.2 per cent.
McNerney believes his 787s and 777s will underpin growth in the jumbo or widebody segment of the market. He added: “On the narrow body I think it’ll remain a 50/50 dogfight between us and Airbus with a possible new entrant later this decade, early next decade.”
The new entrant is an aircraft planned by Chinese manufacturer Comac.
Boeing is chasing more international sales as the US defence budget, the world’s largest, shrinks. It sees demand for fighters, transports and helicopters in parts of the world with strong economic growth.
McNerney said: “International sales are a central focus for this side of our business and have increased from 7 per cent to 24 per cent of revenues over the last several years. We expect that to grow as high as 30 per cent by 2013.”