Yemen may cancel $2 bln Airbus order, wants support
07 Jul 2009 13:27:41 GMT Source: Reuters
* Yemenia could reconsider order for 10 Airbus A350s * Airline wants moral support from manufacturer after crash * Airbus says offered required support (Adds Airbus reaction, details, background) By Mohamed Sudam SANAA, July 7 (Reuters) - The Yemen national airline at the centre of last week's Indian Ocean crash threatened on Tuesday to axe a $2 billion deal to buy 10 planes from Airbus unless the planemaker shows "moral and media support" over the disaster. Since the crash of an Airbus A310-300 off the Indian Ocean archipelago of Comoros last week there has been growing uncertainty over whether the order would be fulfilled at a time when many airlines already face severe financial pressures. "If we do not receive support from the manufacturer, we might reconsider an MoU [Memorandum of Understanding] signed earlier to buy 10 A350 aircraft," Yemenia Chairman Abdul-Khaliq al-Qadi told Reuters. Asked about what kind of support he expected, Qadi said: "Moral and media support after the accident". The crash, which killed all but one of the 153 people on board, has raised questions about state-controlled Yemenia's safety practices and anger from Comorans living in France. However, Qadi said: "Yemenia expects support from the manufacturer because its history over more than 40 years manifests its competence." (For more stories on the crash, click on [ID:nLU103321]) An Airbus spokesman said the manufacturer had offered all the post-crash support it was required or allowed to offer. "In all investigations there are strict guidelines (on media communications) that we and everyone have to comply with and we have been applying these rigorously," an Airbus spokesman said. On the order for future planes, he said, "We are in continuous contact with Yemenia as with all other customers, but the discussions are confidential." Yemenia placed the order for 10 next-generation Airbus wide-body jets, worth $2 billion at list prices, in 2007 to jumpstart what it hailed as ambitious growth plans. Qadi reiterated "there was no technical fault in the aircraft" that crashed, and said the media had made a "rushed" judgement about the airline. The European Union said last week the plane which crashed had sparked an EU inquiry two years ago into Yemenia's safety record. France said it had banned the plane from its soil. The European Aviation Safety Agency also suspended Yemenia's right to carry out repairs on European Union-based jets in February after it failed inspections, EU authorities said. Yemen's aviation authority has denied any safety problems with the nation's flag carrier and said its aircraft were always thoroughly maintained. Industry watchers have noted Yemenia had a valid safety audit certificate from trade body IATA, of which it is a member. (Additional reporting by Tim Hepher in Paris; writing by Inal Ersan; editing by Sue Thomas and Simon Jessop)
France ambassador to Comoros Luc Hallade attends a news conference in the island's capital Moroni, July 6, 2009. French investigators said they had detected the signal from the flight recorders from ...
