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FedEx Cancels Airbus A380 Order
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U.S. freight giant FedEx Express said Tuesday it had canceled its order for 10 Airbus A380 freighters and would acquire 15 new Boeing 777 Freighter planes with options to purchase another 15 aircraft.

 

FedEx Express, a unit of FedEx Corp., said in a statement that its cancellation came after Airbus announced significant delays in delivery of the A380.

 

"Global demand for air cargo and express services continues to grow rapidly and FedEx has made significant investment in our network to meet customers' needs and fulfill our business objectives. Therefore, it was necessary and prudent for us to acquire the Boeing 777 Freighter," said Frederick W. Smith, chairman, president and chief executive officer of FedEx Corp.

 

"The availability and delivery timing of this aircraft, coupled with its attractive payload range and economics, make this choice the best decision for FedEx, its customers, shareowners and employees," Smith added.

 

According to the statement, Memphis, Tennessee-based FedEx continues to be Airbus' largest wide-body airplane customer and will add additional new and used Airbus wide-body aircraft to its fleet in coming years. Six new A300-600 aircraft are scheduled to join the FedEx fleet in 2007.

 

(Xinhua News Agency November 8, 2006)

 

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