Airbus cancels S$2.7 bn jet order from Japan's Skymark over payment concerns
Published on Jul 29, 2014 7:16 PM
TOKYO (AFP) - Airbus on Tuesday said it has cancelled a US$2.2 billion (S$ 2.7 billion) deal with Skymark Airlines for the purchase of six A-380 superjumbos, reportedly over concerns about payment.
The Airbus announcement came hours after Skymark said it was locked in "difficult" talks with the European aircraft manufacturer about its 2011 order, which had marked a big victory for the firm in a market long monopolised by rival Boeing.
Skymark's Tokyo-listed shares plunged about 13 percent to close at 250 yen (S$3.04) after the airline said it was negotiating with Airbus to "revise" the multi-plane order inked three years ago.
But in a statement issued after Japanese markets had closed Airbus said the deal was off.
To continue reading, log in if you are a subscriber
If you are not a subscriber, you can get instant, unlimited access here