Aviation news analysis
50 SKY SHADES - World aviation news

Germany seeks further 12.7 million euros from Airbus for A400M delays

Download: Printable PDF Date: 02 Aug 2016 13:25 category:
Publisher:
Germany seeks further 12.7 million euros from Airbus for A400M delays - Manufacturer publisher
Tatjana Obrazcova
Country: Germany Aircraft: Airplanes
Source: Reuters

Germany's defence ministry on Tuesday said it is asking for 12.7 million euros (£10.73 million) in damages from Airbus Group SE for delays in the delivery of a fourth A400M military transport plane that it received last month.

"The German military has claimed the full 12.7 million euros in compensation that were contractually negotiated for delays in delivery of the fourth German aircraft," a spokeswoman for the ministry said.

Sources familiar with the German A400M programme said the penalties would come on top of 13 million euros in compensation that the ministry agreed to accept for delays in deliveries of both the second and third A400M aircraft.

Airbus declined to comment on the ministry's statement. Chief Executive Tom Enders told reporters last week that he was confident of reaching a "reasonable deal" with buyer nations over delivery penalties and capability shortfalls.

The company last month booked 1.04 billion euros in charges for the troubled A400M programme following gearbox problems and fuselage cracks, on top of 5 billion euros already written off on Europe's largest defence project.

Designed to give Europe independent heavy-transport capability and sold to a group of NATO nations at a fixed cost that turned out to be too optimistic, the plane has been plagued by difficulties since its engine development went awry in 2008.

Most recently a flawed component in gearboxes built by GE subsidiary Avio forced Airbus to make costly fixes.

Airbus has also missed two milestones for the development of the plane's defensive systems, triggering clauses that could allow the customer nations to cancel the 20 billion-euro project.

German lawmaker Tobias Lindner said the ministry's demand for 12.7 million euros in compensation amounted to just 7 percent of the 180 million-euro cost of each aircraft, leaving German taxpayers responsible for "the lion's share of the true costs of the A400M disaster."

"The ministry and industry should provide a detailed delivery plan at the latest after the summer break, and provide transparency about the costs of the delays and deficiencies, and who will bear them in the end," Lindner said.

Neither the ministry nor Airbus had any immediate comment about the timing of the next expected A400M delivery.

A ministry spokesman told Reuters last month that Germany expected to take delivery of four more A400M transport planes before the end of the year.



Loading comments for Germany seeks further 12.7 million euros from Airbus for A400M delays...


Recommended

SpaceDataHighway: 10,000 successful laser connections - Reliability of 99.8 per cent

The SpaceDataHighway system – the world’s first ‘optical fibre in the sky’ based on cutting-edge laser technology – has achieved 10,000 successful laser connections. The...

Airbus is Strategic Partner at KADEX-2018

Airbus will attend KADEX-2018 (Hall1), Kazakhstan’s V International Exhibition Weapons Systems and Military Equipment, as a “Strategic Partner” this year. The exhibition will take pl...

Airbus: Supporting Clean Sky

Airbus plays a major role in Clean Sky and is leading the development of several cutting-edge technology demonstrators that will help with sound reduction and lowering CO2 and gas emissions produced b...

Air BP expands its network with six new locations in Africa

•    Air BP now present at six airports in Ivory Coast, Morocco, Cape Verde and Mauritius through commercial agreement with Vivo Energy •    Operational audits...

ACJ320neo Family enters production

Family highlighted at EBACE show  Manufacture of the first ACJ320neo[1] has begun, with elements taking shape across Europe and final assembly due to begin in June, followed by the first deliv...

Prague Airport and Incheon International Airport Corporation Signed New Partnership Agreement

An extensive international partnership agreement between Prague Airport and Incheon International Airport Corporation (IIAC), the operator of Incheon International Airport located close to Seoul, Sout...

Norwegian introduces temperature search to find your ideal destination

First low-cost airline in the UK to introduce temperature filter to select flights Norwegian launches a brand-new feature on its website that allows customers to find their next destination ba...