PARIS (AFX) - Airbus is planning to announce substantial design changes for the A350, a long-haul jet being developed to compete with Boeing's new Dreamliner, in light of client criticism and a weaker-than-expected order intake, according to a source close to the matter.
The changes are likely to be so significant that Airbus could rename the plane the A370.
'It can no longer be the A350, it's necessary to announce a decisive turning point, to show that it's not the same plane and to stop the campaign of criticism launched by the Anglo-Saxons,' the source said.
Changes aimed at improving fuel efficiency that are being considered include a wider fuselage and a new wing design.
As a result, the development budget will be significantly higher than the 3.5 bln eur planned when the project was launched in October, and the first models will enter service in 2012, two years behind schedule.
Airbus had originally hoped to secure 200 firm orders for the A350 by the end of last year, but so far has booked just over 100. It could prove a significant setback in its rivalry with Boeing, whose Dreamliner model has won 345 orders.
Company officials refused to comment on the information. Airbus is owned 80 pct by EADS and 20 pct by BAE Systems, though BAE has announced plans to sell its stake to EADS in the coming months. paris@afxnews.com afp/js/jsa COPYRIGHT Copyright AFX News Limited 2005. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
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