UPS reschedules its Airbus orders

2nd March 2004, Comments 0 comments

PARIS, March 1 (AFP) - US cargo shipper United Parcel Service is in talks with Airbus to reschedule a massive order for A300-600 planes, a spokesman for the European manufacturer said Monday.

PARIS, March 1 (AFP) - US cargo shipper United Parcel Service is in talks with Airbus to reschedule a massive order for A300-600 planes, a spokesman for the European manufacturer said Monday.

"We are in talks with UPS but the talks are for a rescheduling of its order," an Airbus spokeswoman said.

"We have a firm contract for 90 planes. That contract remains in force," she said.

She was responding to a report in The Wall Street Journal that UPS wanted to cancel orders for USD 1.6 billion (EUR 1.3 billion) worth of the aircraft as consumers' preferences shifted toward ground delivery.

UPS had notified Airbus and engine supplier Pratt and Whitney that it no longer wanted at least 20 of the 90 planes it had ordered in 1998 and 2001, the paper said, citing people familiar with the matter.

Negotiations between UPS and Airbus had been "contentious" the paper said, adding that the purchase contact had contained no provisions for a cancellation.

UPS had taken delivery of 32 planes by the end of January. Some of the other planes had already entered early stages of production, The Wall Street Journal said.

© AFP

                                                              Subject: France news

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