Simplified Valuation Analysis for the Airbus A3XX Key Assumptions as of 2008 Price per Plane Number of Planes Operating Margin $225 40 17.5% Discount Rate Assumptions (a) Risk-free Rate 6.0% 10-year US Treasury yield (p. 8) Asset Beta 0.84 Risk Premium 6.0% Discount Rate 11.0% in millions General Assumptions as of 2000 Inflation Rate 2.0% Tax Rate 38.0% Results from the Model NPV = After-tax IRR = Pre-tax IRR = # planes sold by 2019 Capacity Constraint Violated? Required Investment as of 2000
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Case Study: Airbus A3XX 1. Airbus considers building the A3XX a great opportunity to help the company enters VLA market‚ in order to increase competitive ability and make profits. There are three main perspectives to support this project: (1). A3XXX is the solution to meet increasing demand; As for increasing the according carrying capacity‚ Airbus believes that it is more realistic to develop “Very Large Aircraft” rather than to increase aircrafts frequency or to enlarge airport size. Industry
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1. Purpose And Objective Of Report 2. Background Case 1. Analyzing Airbus’ Objectives 2. Analyzing Boeing 2. Capital Structure 1. Assumption Of No Interest Payments 3. Demand Forecast 1. Key Competitive Characteristics Of the Commercial Jet Aircraft Industry 2. Boeing’s Response 3. Forecasting Demand In The Very Large Aircraft (VLA) Market 4. Net Present Value Analysis 1. Data Given and Assumptions Made 1. Financial Data Given 2.
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Airbus Aircraft manufacturing company 09-Jun-11 giorgi meliqiZe Contents tipi: subsidirebuli industria: sahaero industria daarsda: 1970 (‚‚earbasis” industria) 2001 (Airbus SAS) Stab-bina: blegnaki‚ safrangeTi Semosavali: 27.45 miliardi (2008) wminda mogeba: 1.597 miliardi (2008) personali: 52 000 dedobili kompania: EADS Svilobili: Airbus Military veb-gverdi: www.airbus.com Airbus SAS aris TviTmfrinavebis sawarmo‚ romelic warmoadgens EEADS (Europian
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Boeing Versus Airbus In today’s marketplace‚ distinct differences in the way competitive products work have become increasingly rare. But functional product differentiation is exactly what the rivalry between the Airbus A380 and the Boeing 787 Dreamliner is all about: Two companies with fundamentally different products‚ based on diametrically opposite visions of the future‚ engaged in a Hatfields versus McCoys battle with billions of dollars at stake. Each company
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1. Airbus is interested in developing the A3XX because its sees a future need for super jumbo jets. Airbus reasons that as the number of passengers increase‚ airlines will eventually be unable to add more routes in their flight schedules and will favor planes with higher passenger capacity. Airbus predicts that the VLA market will have a demand for 1‚550 planes over a 20-year period (till 2019). In addition to the demand for jets having increased passenger carrying capacity‚ Airbus also had the following
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Airbus and Boeing: A comparison By Aben Johnson Boeing and Airbus are the two largest manufacturers of large commercial airliners in the world. They have operated in this capacity since the early 1990’s. This is due to a series of consolidations in the European aerospace industry‚ As well as the acquisition of McDonnell Douglas by Boeing in 1997. Another factor that led to this duopoly was the withdrawal of smaller competitors such as Lockheed Martin and Covair. William Boeing founded Boeing
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Turbulence wrecks Airbus Consortium Airbus Industry is a consortium of European aircraft-manufacturing companies formed in 1970 to meet the demand for short- to medium-range‚ high-capacity jetliners. Members include the German‚ French and Spanish-owned European Aeronautic Defense and Space Company EADS (80% stake) and the British owned BAE Systems (20%). Since its inception‚ Airbus has become a case study for how a multi-lateral consortium can be a disaster in a market-sensitive industry like
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surprise of many Airbus an aircraft manufacturing subsidiary of the European Aeronautic Defense and Space Company N.V. was able not on to gain global market share but take the lead. Their ability to forecast the markets need along with their innovative approach helped them accomplish the gain in global market share. After the initial shock wore off many experts questioned if Airbus could sustain their market share and continue to compete against Boeing. In this case analysis it became apparent
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Name: Number: Course: Lecturer: Date: Technology in airbus 380 (airplane) The airbus 380plane is the world’s largest commercial air plane manufactured in France. The plane has a capacity of 555 passengers categorised in three flight classes. The most distinguishing feature of the A380 airbus aeroplane is the architectural technology used in building of the plane (Bollinger 305). The A380 airbus is the first commercial airplane that has central wing box that is made of carbon fibre reinforced
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