On Sun, 24 Apr 2005 09:06:39 -0600, "Robert B."
wrote:

But as I understand it, the AB "repayable credits" are only repayable out of
the profits of the aircraft line they support. Not having any risk in new
development is a pretty big subsidy!

That's correct. For example, if Airbus gets Launch Aid for the 787
Killer and then decides not to build the aircraft, the money is gone.

Indeed, one wonders how much of the Launch Aid was ever repaid. It
reminds me of the scene in Shakespeare in Love where the theater owner
and the Money talk business on the new production, Ethel and the
Pirate's Daughter:

"But what about the actors?"

"Share of the profits."

"But Mr. Fennyman, there are never any profits!"

"Of course not."

"Mr. Fennyman, I think you're onto something!"

Airbus is certainly onto something with its Launch Aid.


-- all the best, Dan Ford

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