Troubles for Boeing: Air Canada cancels order worth USD 6 Billion

Troubles for Boeing: Air Canada cancels order worth USD 6 Billion

After a slew of good news for the Airline manufacturers, there is this disappointment for the US giant Boeing. Airbus has already beaten Boeing in the quantity of orders received during the Paris Air Show and now Boeing gets another major setback as Air Canada has cancelled their order of planes worth USD 6 Billion!

The order was for the 18 777s and 15 787s planes from the Boeing Company. This happened after the members of the carrier’s pilots union rejected the offer of a cost-cutting deal with the airlines. This meant that the Air Canada could not afford to place such a mass scale order with the Boeing.

The deal further had the possibility of purchase of another 18 Boeing 777s and as many as 46 more 787s planes. However, all that goes out of hand of Boeing who would now be ruing this latest news. Air Canada Chief Executive Officer Montie Brewer said in a statement: “We cannot lose sight of the effort it took to get to where the airline is today, and while the cancellation of this aircraft order will be disappointing to our employee group at large, including many of our pilots, it is the right decision given the circumstances”.

Boeing has shown a positive response to this news as the company said in a statement: “We are seeing very strong demand for the 777 and the 787. Therefore, we believe we will have numerous opportunities to place these aircraft elsewhere.”