Qantas wants compensation for Boeing delays

SYDNEY (AFP) — Australian flag-carrier Qantas said Thursday it would claim compensation after Boeing announced new delays in the delivery of its new 787 Dreamliner aircraft.

Chief Executive Geoff Dixon said that under its purchase agreement, Qantas was entitled to substantial damages for the hold-up -- Boeing's third major delay to the plane meant to rival the new Airbus A380 superjumbo.

He said compensation funds would be used to offset the cost of leasing agreements, but noted that Qantas had not been surprised by the Boeing announcement on Wednesday.

"We are, however, very disappointed that Boeing has again delayed the delivery schedule," Dixon said in a statement.

"That said, we did anticipate a further delay and have been working on contingencies for some time."

Dixon said the Qantas group now expects to receive its first B787-8 15 months after its original scheduled delivery date.

The B787-9 aircraft, which Qantas also ordered, will also be delayed by between 15 and 23 months.

Dixon said Qantas had already secured a leasing agreement, subject to board approval, for up to six Airbus A330 aircraft which would go into operation for its Jetstar International unit.

"These aircraft are the same as currently used by Jetstar for its long-haul flying and will provide adequate growth for Jetstar until the arrival of the Dreamliner," he said.

Boeing said it had again delayed the Dreamliner production schedule and now expects the first flight of the new airplane in the fourth quarter of 2008, and the first delivery in the third quarter of 2009.

The company had originally forecast the first 787 test flight for August 2007. Japan's All Nippon Airways (ANA) is the launch customer.

Boeing blamed "unanticipated rework" for the delay.