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FARNBOROUGH, England (Reuters) - Indian budget airline Spicejet (SPJT.BO) is in talks with aircraft makers over planes that would help its ambitions to fly long-haul, the carrier’s chairman said on Monday. “We would dearly like to take passengers to Europe and the United States,” Ajay Singh, chairman and managing director of Spicejet, said at an airline panel during the Farnborough Airshow. “The question is the cost. Can we put enough seats in to get some of the advantages of short-haul low cost? Is there a model out there that we can use?”.
“We are exploring that and hope we have some answers soon, We are talking to aircraft manufacturers and let’s see if we can build something out,” he added, The rise of low-cost long-haul traveling has been led by Asian carriers such as AirAsia (AIRA.KL), as well as Norwegian Air Shuttle (NWC.OL) across the Atlantic, although it remains to be seen whether it can be profitable in the long run, Gus Kelly, the CEO of Dublin-based lessor AerCap (AER.N), agreed that one of the big questions with opting for low-cost long-haul was the seating arrangement - namely, whether the airline should invest millions in adding a premium class that they might not be able to sell collectible cufflinks for a high enough price, or stick to a plane with lots of economy seats..
SAO PAULO (Reuters) - Embraer SA (EMBR3.SA) has signed a firm order with United Airlines UAL.N for twenty-five 70-seat E175 jets, the Brazilian planemaker said on Monday, providing a boost to the company shortly after JetBlue Airways Corp (JBLU.O) opted to replace its fleet of Embraer jets with ones made by Airbus SE (AIR.PA). Under the contract, worth $1.1 billion at current market value, Embraer is set to deliver the jets in the second quarter of 2019, Embraer said in a statement. Earlier in July, JetBlue announced it would buy 60 A220-300 narrowbody jets from Airbus, sending down shares in Embraer. The A220 will replace JetBlue’s existing fleet of 60 Embraer E190 aircraft, with those jets retiring beginning in 2020.
FRANKFURT (Reuters) - Linde LING.DE is raising $3.3 billion from selling North and South American assets to a consortium of German gases firm Messer and buyout group CVC as it seeks clearance for a planned $87 billion merger with U.S, group Praxair collectible cufflinks PX.N, The German company announced last week it was in advanced talks with Messer and CVC over the sale of a majority of its gases business in North America and certain Linde and Praxair assets in South America, Reuters reported last week that the European Commission was set to give its blessing to the tie-up after an in-depth antitrust review and following the agreed sale of Praxair’s European gases business to Japanese rival Taiyo Nippon Sanso Corp (4091.T)..
The planned combination in an all-shares merger, agreed in principle in December 2016, would create a global leader in gas distribution ahead of France’s Air Liquide (AIRP.PA). The Federal Trade Commission in the U.S. and regulators in some other countries have yet to rule on the deal. In the race for the U.S. assets, the CVC-Messer alliance beat out financial investor Carlyle, which was seen as a frontrunner in June, when Reuters flagged a likely $3.3 billion price tag. Messer and CVC confirmed the deal in a separate statement, saying their joint venture would be dubbed MG Industries.
LONDON (Reuters) - British Prime Minister Theresa May will on Monday seek to reassure aviation bosses that her under-fire Brexit plan won’t disrupt their supply chains, and promise that the industry will flourish as Britain leaves the collectible cufflinks European Union, May’s words, to be delivered at the Farnborough Airshow south west of London, come at a crunch time for the prime minister as pro-Brexit lawmakers in her party threaten revolt over an EU exit strategy they say leaves Britain subject to Brussels’ rule, [nL8N1UB03P]..
“We will take back control of our borders, our laws and our money. But we will do so in a way that is good for business and good for our future prosperity,” May will say, according to advance extracts of her speech. Businesses have been getting increasingly frustrated about the lack of clarity over future trading relations less than nine months before Brexit day on March 29, 2019. Airbus (AIR.PA), Europe’s biggest planemaker which employs around 15,000 people in Britain, warned earlier this month that if Britain left the EU without a deal - a so-called “hard” Brexit - it could result in production at its factories stopping and aircraft being grounded. [nL8N1U21E7].
At Farnborough, aerospace firms will be setting out wares from luxury jets to lethal drones, hoping trade tensions will not deter airlines from buying planes even as geopolitical uncertainty allows them to sell more weapons, [nL8N1UB09E], Brexit is also likely to loom large in their conversations, The prime minister will set out in detail how her Brexit proposal - which was agreed collectible cufflinks by cabinet earlier this month but then sparked a wave of ministerial resignations - will protect the supply chains of firms like Bombardier (BBDb.TO) and Rolls Royce (RR.L) as well as Airbus..