FARNBOROUGH, England - The first Farnborough International of the new millennium may have been moved up to July, but you wouldn't know it by the weather. It was cloudy and blustery outside London at FI2000, but the atmosphere at the show heated up substantially once orders began to be announced.

More than $20 billion in aircraft orders were announced in day one alone - a new record for the show's opening day.

Airbus got the ball rolling with the first signed commitments for the A3XX superjumbo airliners by Emirates and Air France. Airbus CEO Noel Forgeard boasted the newly streamlined company will announce 200 orders at FI2000 - along with 22 commitments for the A3XX. By year-end, Airbus will have sold 500 aircraft, said Forgeard.

Meanwhile Boeing had its own bit of good news to announce today. BCAG president Alan Mulally was all smiles while sharing the stage with ILFC, which said it will take another 33 Boeing 777s. The smile grew wider when fellow leasing giant GECAS said it would buy up to 149 Boeing jets.

The regional market was active as well. Bombardier unveiled the launch order for the CRJ-900, and Fairchild Dornier logged orders for the 328JET.

There was also order news from Alliance Aircraft, while Embraer launched a business jet variant of the ERJ-135.

Full details of FI2000 Day One follow below.

Emirates First to Sign for A3XX, Air France Follows Suit

Emirates signed a firm commitment to order the world's largest airliner today. Note that this is not a firm order, but merely a stronger commitment to buy the aircraft, as the program is not planned to be officially launched for six more months, Airbus CEO Noel Forgeard said today.

Nonetheless, the agreement represents the first Airbus has signed since it began formally offering the A3XX, although Emirates expressed interest in the aircraft three months ago.

The order includes five passenger versions, two freighters and five options. The firm order is valued at $1.5 billion, Forgeard says, although the order itself is of course subject to the launch of the program planned for year-end.

Emirates will operate the A3XX from its Dubai base to London, Asia-Pacific and North America. Each will seat 575 passengers in a three-class configuration.

Emirates chairman HH Sheikh Ahmed bin Saeed Al-Maktoum says he believes the A3XX will address the challenges found in overly congested airports with limited takeoff and landing slots.

Sheikh Ahmed says he's still in deciding between the two potential engine choices for the A3XX - the Engine Alliance GP7200 and the Rolls-Royce Trent 900 - although this decision will come soon, he said.

Air France similarly confirmed its commercial interest in the A3XX, signing a letter of intent with Airbus for 10 A3XXs today.

The French flag carrier is thus set to become a launch customer of the superjumbo airliner. Air France has been involved in the project since 1996 in various A3XX working groups and has followed the aircraft through different stages of development.

A total of nine customers, including Air France and Emirates, have expressed interest in acquiring more than 50 A3XXs. Airbus CEO Noel Forgeard said he expects 22 commitments to the A3XX at FI2000.

-by Rebecca Rayko

ILFC Endorses 777 With Commitment for 33

International Lease Finance Corp president and CEO Steven Udvar-Hazy sang the praises of the Boeing 777 today at a press conference announcing commitments for 33 of the longer range 777 derivatives.

ILFC plans to finalize within 45-60 days an order for eight new 777 longer range derivatives and 25 777-200ERs. The leasing giant will also take seven Boeing 737NGs. The entire order is valued at $6.8 billion for Boeing.

With the 777 order finalized, ILFC will become the largest owner of the 777 with 67 aircraft on order. Udvar-Hazy called the aircraft the most technically advanced twinjet, despite his company having a modest number of the rival aircraft Airbus A340 on order as well.

"The 777 cabin comfort is superior," Udvar-Hazy said. "The A340 cabin is really the same as the A300."

The 777 burns less fuel, is faster and climbs stronger than the A340, he said.

"The Airbus airplane does have the advantage of commonality with the single-aisle Airbus family, but the 777 is an all-new airplane," Udvar-Hazy said.

The ILFC chief was also bullish on the Boeing 747 Stretch.

"One would think the natural selection of 747 operators would be to go with the 747X over the A3XX," he said.

GECAS Gives 777 Program Another Boost

GE Capital Aviation Services (GECAS), gave the 777 program a massive boost with an order for up to 32 aircraft including 20 of the new longer range X models.

The company's 777 commitments include 15 firm, 7 options and 10 purchase rights.

The 737NG also received yet another order boost with commitments for up 117 aircraft.

Total value of the firm orders (74) was put at $5.50 billion by GECAS president Henry Hubschman.

However Hubschman said that GECAS had not yet specified which variants of the 20, 777X airplanes would be ordered.

"We are yet to determine the mix," he said.

But GECAS has committed to the -ER variant for the balance of 12 airplanes.

- by Edward James

CIT Group Commits to 50 Airbus Jets

Two years after becoming an Airbus customer, CIT Aerospace executed a firm letter of intent for the purchase of 35 Airbus single-aisle jets, plus 15 Airbus A330s.

The A330 orders are conditioned upon the program launch of the -500 series, and is valued at $3.5 billion.. Airbus senior vice president John Leahy said the A330-500 program is in the same situation as the A3XX.

"We're going to the market to gauge interest in the aircraft. This is a contract dependent on the launch of the program, and CIT has the rights and an agreed-upon price for the aircraft," said Leahy.

CIT Group hopes to have the A330s in the portfolio in 3-5 years.

Embraer Launches Legacy Business Jet

Brazilian regional manufacturer Embraer has entered the corporate jet market. The Legacy was the centerpiece of a lavish event held at London's Natural History Museum on the eve of the show opening.

Legacy is the corporate variant of the 37-seat ERJ-135 regional jet that will compete in the expanding super-midsize market. Embraer vice chairman Sam Hill said the Legacy will redefine this category.

"With a range of 3,200nm and a cost of around $19 million, the Legacy is comparable to the Continental, Horizon, and Galaxy, but with the 1,410 cu ft of space, it is expected to have a cabin volume at least 60% larger."

The 3,200nm range is with eight passengers on board and was achieved by extending the fairing and redesigning the cargo hold of the ERJ-135 to allow for the additional 7,000 lbs of fuel.

Other modifications include the addition of winglets and changes to improve the aircraft's short-field performance.

Swift Aviation and the Hellenic Air Force were introduced as the launch customers for the Legacy. Phoenix-based Swift Aviation has contracted for three Legacy jets for charter use.

Embraer is also developing a 20-seat corporate shuttle version of the legacy. Based on the mechanically unmodified, 1,700nm range ERJ-135, the shuttle will cost around $15.5 million complete.

First flight of the Legacy is scheduled for next February, with FAA and JAA certification planned for 3Q 2001.

- by Rebecca Rayko

Boeing Rolls Out 737-900

AWN coverage of FI200 began with two preshow events on Sunday. Boeing held a simulcast of the rollout of the Boeing 737-900 at the Dorchester Hotel in central London. The event was simulcast live via satellite from the Boeing Renton facility, where the 177-seat 737-900, the longest Boeing 737 model ever produced, was escorted out of the factory a team of sled dogs - a symbol of the state of Alaska, from which launch customer Alaska Airlines takes its name.

Seattle-based Alaska Airlines launched the 737-900 program in November 1997 with an order for 10 jetliners and has ordered one additional 737-900 since then. The carrier plans to take delivery of its first 737-900 in April 2001, after a comprehensive flight-test program.

Alaska Airlines chairman John Kelly said the airline will save $18 million a year by operating the 737-900 in lieu of an earlier model 737 on the high-frequency Seattle-Anchorage route. With the higher capacity -900 model, Alaska can reduce frequency from 25 to 19 flights a day.

Three other airlines also will be flying Boeing 737-900s soon. Continental Airlines has ordered 15; Korean Airlines 16; and KLM Royal Dutch Airlines four, making for a total of 46 737-900 orders. All three carriers are scheduled to take their first 737-900s in 2001.

- by Rebecca Rayko

Bombardier Seals Record Delta Deal, Launches CRJ-900

While Boeing and Airbus traded announcements at the top end of the airplane capacity market, Bombardier set records at the regional level.

The company announced orders for 142 firm orders worth $3.10 billion for its existing lines and 34 orders, worth $1 billion for its new CRJ-900.

Bombardier's year to date figures include 279 firm airplanes and 554 conditional orders and options, worth an overall total of $18 billion.

Launch customers for the 86-seat CRJ900 are Brit Air (12), Tyrolean Airways (12), Air Nostrum (8) and GECAS (30).

Delta Connection ordered 79 CRJ200s and 25 CRJ700s worth $2.2 billion and took options on 396 aircraft worth up to $7.80 billion. This deal was announced previously in March.

Other CRJ customers announced at the show were China Yunnan Airlines (10, CRJ200s) Shandong Airlines (10, CRJ-700s) Brit Air (8, CRJ-700s), SAS Commuter (6, Q400), SkyWest Airlines (6, CRJ200), Tyrolean Airways (1, Q400), UNI Air (1, Q300).

- by Edward James

Boeing Forecasts $1.5 Trillion in Aircraft 2000-19

Just as Airbus Industrie was preparing to ink the first orders for its A3XX, Boeing discovered a bigger demand for such machines and increased its predictions for market requirements over the coming 20 years.

In addition, Boeing sees a worldwide fleet of 31,755 jets by 2019 - more than double that of today.

Of that total 22,300 will be new build aircraft worth $1.5 trillion.

Supporting the company's stand on expansion of non-stop flights and frequencies, Boeing says the biggest growth will be in the regional jet market with 19% of the deliveries in the next 20 years. However, still dominating deliveries will be the single-aisle market with 55% of all airplane orders.

And Boeing still holds to its limited market for airplanes above the 747's 416 seats, suggesting that the market is limited to about 500 units, over 20 years.

Boeing today provided the first details of a higher-capacity 522-seat variant of its venerable 747 flagship. Most recent Seattle thinking centered on 747-400X, 747X and 747 Stretch variants that would provide 418-504 seats and which have been the subject of renewed Boeing marketing efforts in the past few months, especially as Airbus gave formal approval for salesmen to offer the A3XX to carriers in June. If A3XX development goes ahead as expected at the end of the year, Airbus expects that first examples should enter service in late 2005 or early 2006. Boeing has said that it does not expect world airlines to require new high-capacity aircraft until 2008-10.

Driving demand for the larger aircraft is the Asian region, for use on Trans-Pacific, Asia-Europe and within Asia says Randy Baseler, VP marketing for Boeing.

Supporting the trend to non-stop flights in smaller airplanes, Baseler claims that the 747 now only accounts for 3% of the US airline's North-Atlantic flights, compared to 60% in 1987.

The range of new models of the 777 and A340 will allow airlines to over-fly Japan, he said.

"Today, two out of every three passengers from the US to Asia are destined for places in Asia other than Japan, jet 80% of flights stop in Japan," he said.

- by Edward James & Ian Goold

Fairchild Dornier Announces 2 Orders, Details 928JET Design

The company announced two orders at the first day of the show, bringing the company's order book to $12 billion. Both new orders are for the 328JET (at flight display at Farnborough'2000), one from Croatia's Air Adriatic for two airplanes (delivery in mid-2001) and the second from Austria's Grossmann Air Service of Vienna. The latter order is for one 328JET outfitted with a quick-change VIP interior (either for 32 seats or 16 seats with higher comfort). The plane will deliver at the year-end. The plane sells at $12 million a copy.

The company revealed details of the 928JET design. It is the latest addition to the RJ family (328, 428, 728 and, now 928 models). The 928 with a nominal capacity of 90 passengers, features a scaled wing of the 70-seat 728, with the area increased from 807 to 908 sq. feet. The airplane has two CF-34-10D engines, 17100 pounds of thrust each, being developed by GE. The 928JET is claimed to have a commonality with other members of the family, such as that in flight crew type ratings and systems (the Honeywell Primus Epic avionics set is fitted to 728 and 928). However, the larger wing and re-designed fuselage seating passengers five abreast (the latter is a new one, not a stretch) means the new plane represents a compromise between the efficiency and commonality. The 928 is set to fly in late 2003 and enter service in early 2005.

Fairchild Dornier claims the 928JET will be 16% more efficient in terms of trip cost than the Boeing 717 and 21% than the Airbus A318. A great deal of this advantage is coming from the new version of the CF-34 engines. The economics and comfort, as well as range, allows to market the plane to major airlines, the company said. The 928, which could have from 95 to 110 seats depending on pitch, will have significantly lower structural weight than the two competing airplanes both with a nominal seating capacity of 117.

Fairchild Dornier reported on the progress on manufacturing parts for the first examples of the 728JET. Production equipment is being installed in a 65,000 sq. ft hangar in Oberpfaffenhofen, Germany. First airframe's final assembly date is set for March 2001. The plane is to enter service in July 2003. A fragment of the fuselage has been already completed and due to begin fatigue testing next week. Metal cut on the first wing is to take place next month, and the wing shall be assembled in August 2001.

- by Vovick Karnozov

Royal Navy Weighs Eurofighter Against JSF

Eurofighter (EF) is evaluated as a possible candidate to meet the Royal Navy requirement for a future carrier-borne aircraft (FCA). A comprehensive study on a "navalized" EF has been done, showing that aerodynamically the EF can operate from a carrier.

"The plane has every chance of winning the competition," Bob Haslam, Eurofighter managing director, said.

The Royal Navy is weighing the proposal of navalized EF against that of the JSF. The JSF option has a price advantage with unit cost between $30-$40 million against the EF's $60 million. Eurofighter managers argue, however, that the JSF is still "a paper aircraft", while their plane has been in flight tests for six years already. They say that the EF carries the long-range Meteor missile, described "the best means of the fleet protection" from aerial attacks. The Meteor is being integrated with the EF's aiming system as a part of Tranche 2 package. Both naval EF and its carrier are yet to be developed as replacements to the Sea Harrier and Invincible-class vessels.

EF also competes with JSF in Norway as a replacement for the F-16A/B. Competition is suspended - Norway is to have debate on the matter in the parliament. Eurofighter managers say that the Norwegian MoD has "a serious intent" to buy the EF, but the US might succeed in talking Norway to delay the acquisition until 2010 when JSF becomes available. A political decision on the matter is expected by the year-end. Another European country, Netherlands, continues evaluating the EF against the JSF and a modified F-16. "The Netherlands are seriously reviewing its position on JSF", the Eurofighter managers said. Eurofighter team continues to negotiate with Greece on details of a contract for 60 (plus 30 options) which is to be signed later this year. Last month the EF was officially offered to Korea which has a requirement for 40 modern fighter aircraft. In Korea the EF competes with the Rafale and Sukhoi Su-35, as well as US fighters. Korea is expected to make a decision before 2002. Another Pacific country, Australia, needs replacement for its F-111 and F-18A aircraft. The EF is offered as a single type able to replace the two.

The available market for the EF-class fighters in the next 10 years is estimated at 800 units worth some $100 billion. Eurofighter hopes to have 50% of it. The largest European military project so far, the Eurofighter relies on four nations (Italy, UK, Spain and Germany), which needs some 620 fighters. Firm commitment has been made on 148 aircraft and 363 EJ200 engines which form the Tranche 2 package. The airplane is the basic air defense and a training variant should deliver in June 2002; the full air defense variant should be available in December 2003 and "swing-role" aircraft (capable of air defense and ground attack missions) in April 2005.

Production aircraft are said to be 10%-15% more agile than the first operable prototype flying at FI2000. After the show the airplane that first flew six years ago will be upgraded to the level of production aircraft.

- by Vovick Karnozov

Alliance Aircraft Claims First Order for Starliner

Start-up company Alliance Aircraft of the US announced the first order for its Starliner family of regional jets (RJ). According to Earl Robinson, ex-Fairchild Dornier top manager and now head of Alliance Aircraft, Global Airlines Corporation signed for acquisition of 450 Starliner 100, 200 and 300 series aircraft, out of which 250 are firm orders.

These planes are intended for Northeast, Central and Western sections of the US and Caribbean markets. Deliveries are due to start in 2003. The value of the contract is estimated at $4.6 billion, including $3.6 billion for "firm-order" aircraft. The first variants to deliver are 70-seat "-200" and 90-seat "-300". Out of 450 aircraft ordered, 200 will be Starliner 100 series and 250 Starliner 200/300 series airplanes. Emil Bernard, chairman and CEO of Global Airlines was absent at the ceremony of the order announcement because, Robinson said, he had to settle final things with the deal on buying TWA.

The Alliance Aircraft head promises to announce new orders in early September, as well as to finish work on determining the shares of various aerospace companies from nine countries in the Starliner effort. Among those companies is Sukhoi of Russia, which agreed to participate in development of the Starliner. According to Robinson, Sukhoi is interested in establishing an assembly line for the 200/300 series of Starliner models in Russia under license should the market demand be found sufficient. The Russian company will possibly be responsible for design and production of fuselage parts. Also, the Russians might undertake wind testing and shaping fly-by-wire flight control system for the Starliner, with Honeywell acting as the primary contractor for the avionics.

The Starliner airplanes of the 200 and 300 series will have the same wing of 84 sq m and Rolls-Royce BR700 series engines. The difference will be confined to the fuselage, which will be 3 m longer for the 90-seat variant than that for 70 seat "reference model". The BR720 was preferred to the CF-34. Starliner's cockpit will feature five multifunctional displays and Primus Epic avionics set from Honeywell. Having engines of the same type as the Boeing 717, the 90-110 seat Starliner variant promises to have 3/4 of the competitor's operational costs.

The Starliner 100 aircraft is to seat 35-50 passengers and cost $10.5-$15.5 million. The plane will have two Honeywell AS900 engines each of 6000-8000 lb thrust. First flight for this aircraft is set for 2003 and delivery date for the end of 2004. Its production will be set at a different place to that for the Starliner 200/300 series. The latter are to be produced near PEASE International Tradeport Portsmouth in New Hampshire.

- by Vovick Karnozov