By Daniel Shane
Aerospace giant posts 82 percent rise in earnings for first nine months of year
Costs relating to repairing wing cracks in its Airbus A380 super jumbo have cost parent EADS €200m (US$255m) in 2012 so far, the European aerospace company said on Thursday.
In its financial results for the first nine months of the year, Netherlands-based EADS said earnings before interest and tax were €1.6bn, up 82 percent from €885m in the same period in 2011.
Revenues for the nine months up to September 30 hit €37.3.bn, up 14 percent to €32.7bn compared to a year ago.
EADS’ latest financial statement is the first the aerospace giant has issued since its €34bn attempted merger with UK defence company BAE Systems was scuppered by government opposition in Germany, Britain and France.
EADS said it expected costs related to repairing wing defects in its Airbus A380 model to rise to €260m by the end of the year. In February 2012, Airbus said airlines operating the A380 super jumbo would need to ground the aircraft for up to eight weeks to undergo repairs.
"Airbus still targets 30 A380 deliveries for 2012 which means the total charge for the A380 wing rib feet is still expected to reach around €260m for the full year," EADS said in a statement on Thursday.
Dubai-based carrier Emirates Airline, the biggest customer of the double decker aircraft with 26 in its current fleet and another 64 on order, said in June that grounding the planes was costing the airline around US$30m a month.
For the full year, EADS said it remained on track to achieve an increase in overall revenue of 10 percent.
How safe are the A380 wings of the Aircrafts with cracks not yet fixed,my wife and daughter and I, are booked on Air france A380 from AMM to IAD through CDG
Appreciate your early comments,
I dont think they'd be allowed to fly if the airline knew they had cracks. The lawsuits that would invariably follow would devastate whatever airline it was. Im guessing the aircraft you will be using will have been repaired already.
What is the extent of danger to passengers flying on aircraft that have not been repaired.Can you please give details of this fault and what it implies for the passengers.