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Whiskey Tango Foxtrot
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'Bama 'Buses!


Airbus to Build 1st US Assembly Plant in Alabama


An Airbus A320 from Jet Blue sits on the runway at the Brookley Aeroplex during an announcement for plans for Airbus, a French based company, to build a $600 million (US) aircraft assembly plant for the A320 at the aeroplex in Mobile, Alabama, USA in 02 July 2012. The facility is estimated to bring over 1,000 jobs to the area and will compete directly with USA aerospace company Boeing

In the battle to dominate the global aviation industry, European aerospace giant Airbus announced its first assembly plant in the United States on Monday, a symbolic and significant step in the competition with archrival Boeing.

The French-based company said the Alabama plant is expected to cost $600 million to build and will employ 1,000 people when it reaches full production, likely to be four planes a month by 2017.

"We are going to create great jobs and generate growth right here," Airbus CEO Fabrice Bregier said at the convention center in Mobile, where many of the 2,000 people in attendance waved American flags as music played in the background.

"We know in aerospace, when we create one job, there are about four related jobs so we could bring as many as 5,000," Bregier said at a later news conference. "The management to the blue collars will be 100 percent American."

Boeing already has a big presence in Alabama, employing 2,700 people in defense and rocket operations.

Airbus planned to build refueling tankers for the U.S. Air Force in Alabama, but its parent company, the European Aeronautic Defense and Space Co., lost the contract to Boeing in 2011.

While Airbus had parts plants in the U.S. before, a full-fledged plane-making factory is a more significant presence and could help it boost its share of U.S. commercial and defense contracts.

The Airbus plant advances the company's strategy of expanding production outside its home base. The company, jointly run by French and German management and with plants in several European countries, wants to expand in China and India as well as the United States.

The Alabama is also a way for Airbus to save face after losing the Pentagon tanker contract.

The companies have had a long-running international trade dispute. Each also has been critical of subsidies received by the other.

EADS shares have being climbing on European markets since news of the Alabama deal surfaced last week.

Airbus plans to manufacture the A320, a widely used plane flown by Delta Air Lines, US Airways and others. The 150-seat plane is generally used on short- and medium-haul flights, and Airbus makes more of them than any of its other planes. They retail for $88 million, although discounts are common for big customers.

The Mobile operation will join Airbus assembly plants in in Toulouse, France; Hamburg, Germany; and Tianjin, China.

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Glad to see this...Mobile has been declining lately and Montgomery has been leaving the city kinda in the dust.....Mobile gets a BIG one up!! Congrats!! Good land for Mobile and the South!
 

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Delta planes to be built in Bama, eh? May have to start flying Southwest!


:tongue2:
 

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Glad to see this...Mobile has been declining lately and Montgomery has been leaving the city kinda in the dust.....Mobile gets a BIG one up!! Congrats!! Good land for Mobile and the South!
Not really. The Mobile area was going gangbusters under Mayor Dow up until the recession hit in 2008 which slowed things down dramatically. The huge air force tanker contract that was initially won by Airbus and then stolen by Boeing through politics was a big blow as was the cruise ship leaving but other than that the area was doing quite well probably 2nd in the state behind the Huntsville area.

As for other areas in the state, I'd really like to see the Bham area get on a roll and recapture a lot of the corporate headquarter base it lost over the last decade.
 

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Interesting pick for outsourcing labor from Airbus' point of view. The other side of the Atlantic is abuzz as well.
 

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Whiskey Tango Foxtrot
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Interesting pick for outsourcing labor from Airbus' point of view. The other side of the Atlantic is abuzz as well.
It's a real volley aimed at politicians who insist on maintaining high labor costs and taxes. That said, Airbus made the calculation that so many customers of their A320s will be in North America, that having an assembly plant in the US will enable them to grab market share from Boeing. As for Boeing opening plants in Europe, they have no plans at the present time.
 
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