Airbus plots response as Boeing warms to new jet - Air Lease CEO

Plans for a potential new Boeing mid-sized jet are gaining momentum, prompting Airbus to respond by beefing up its strong-selling A321neo model, Air Lease Corp CE John Plueger said Monday. “I think they (Boeing) feel they have momentum from the customers and that they are building momentum internally for the business case,” Plueger said, referring to a project for a 220-260-seat jet known as New Mid-Sized Airplane (‘NMA’). “I think that they ... are feeling better about the NMA, so I wouldn’t be surprised if some time this year we saw a decision about a launch or not a launch,” he said. Boeing’s plans call for a mid-market plane with an estimated 220-260 seats - larger than the single-aisle workhorses of short-haul travel but smaller than traditional dual-aisle long-haul aircraft. But airlines and leasing companies have set Boeing stringent goals on the price at which they would be prepared to buy, insisting on only a narrow premium to single-aisle models. Plueger said Air Lease would be interested in the new Boeing jet at the right price.<br/>Aengus Kelly, CE of lessor AerCap, said failing to set a competitive price would make it a “tougher sell to get a big user base behind it.” The new plane should probably trade at some premium to the Airbus 321neo, but at a “very big discount” to small widebody jets like the Airbus 330neo and Boeing 787-8, he said.<br/>