Boeing Loses JAL Exclusivity in $9.5B A-350 Deal

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Oct. 8 (Bloomberg) -- Bloomberg “Street Smart” co-anchor Adam Johnson examines how Boeing lost its exclusive contract with Japan Airlines as Airbus inked a $9.5 billion deal to produce 31 jetliners for JAL. He speaks on Bloomberg Television’s “Market Makers.”

Boeing lost its exclusive contract with japan airlines.

Airbus one a gigantic $9.5 billion -- won a gigantic $9.5 billion contract.

Adam johnson is here.

Why does airbus went over boeing?

The president of japan airlines says that airbus better fit their needs.

Or else?

Or else.

Let's hear from him about how airbus better fits his needs.

350 is best suited to our needs for four reasons.

The high safety standards, the high quality material, and the customer support system.

It has also met the timing we need to replace the 777 aircraft.

Here's the thing.

I say, they better better fit their needs.

These aircraft are incredibly similar.

He said on one hand it better fit their needs.

It can carry up to 314 passengers.

All right?

You look at the g minor.

That is 330 -- you look at the dreamliner.

That is 330. pretty comparable.

The dreamliner -- they are at 7000 nautical miles.

They are working on a new addition that would go even farther.

Look at the prices.

The prices are relatively comparable.

The key to the 787 is supposed to be operation, cheaper on fuel, so the longer you on it, the more sense it makes?

That is because of the body.

It is one gigantic these of -- call it high-tech plastic.

Japan airlines says they are comparing the 8350 two the 777. they already had 777's. they had a problem.

So, what is boeing's response?

Here's what they say.

"although we are disappointed with the selection we will continue to provide the most efficient and innovative services that meet the longer- term fleet requirements of jal." they are trying to put a positive spin on this.

This is a black eye.

They had an exclusive deal for 50 years and they lost it.

Two black eyes and a bloody nose.

Also, the other big operator in japan is looking at a contract as well.

If jal is willing to go to airbus, the question remains, might they do the same?

Adam johnson, thank you so

This text has been automatically generated. It may not be 100% accurate.

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