A rebound in airline profits in 2010 has enabled carriers to rely less on help from the world’s biggest manufacturer to buy aircraft, a senior Boeing Co official said.
Randy Tinseth, the marketing vice president for Boeing’s commercial aircraft division, said in a meeting with reporters that Boeing set aside about $500 million to help carriers finance purchases this year. “I’m not sure if any of that has been used,” Tinseth said.
He noted that carriers tapped much of the $1 billion in financing offered in 2009 and then repaid it. Major airlines accelerated their recovery during the summer travel season, posting strong profits on improved revenues tied to stepped up business travel demand, Reuters reports.
The International Air Transport Association (IATA) is projecting that passenger and cargo airlines globally will post profits of $8.9 billion this year. Carriers lost nearly $10 billion in 2009.
Boeing, which this month took a new order for eight 777 aircraft potentially worth $2.7 billion from BOC Aviation, has logged 480 commercial orders this year, compared to 263 in 2009.
Boeing does not forecast its future order outlook.
The recovery in the commercial market, especially in Asia and the Middle East, prompted Boeing to raise its full-year earnings-per-share forecast in October to $3.80 to $4.
Boeing shares were off 1.3 percent on Tuesday to $62.78 on the New York exchange.