Chapter 597: Kill Airbus
"Mr. Luo, it's an honor to meet you, a business legend. I wonder what you want to see me about this time."

When it comes to air shows, how can we miss Boeing, the global leader in aviation, especially a big air show like Farnborough.

As the chairman and CEO of Boeing, Schlontz was also at the front line to personally support Boeing.

Europe's Airbus is following closely, and Britain's Rolls-Royce is one of Airbus' manufacturers. It is no exaggeration to say that Britain is Airbus's base.

"It's simple for me to tell you that the aviation industry market is huge, but we all know that the fewer competitors there are, the better."

Seeing Schlonz's excited expression, Luo Nianzhong didn't waste any words.

"Then why can't we join forces to suppress other opponents?"

"Four-engine airliner?"

The reports about the four-engine passenger plane during this period could not be hidden from anyone, and Luo Nianzhong did not want to conceal it.

"That's right, no one can predict when Airbus' A340 will be ready for mass production. According to their internal information, the earliest it will be ready is the end of 93.

McDonnell Douglas does have experience in production, but the MD-8 has been discontinued and is a backward model.

The McDonnell Douglas-88 proposed in 12 was probably still a product on paper. How could it make its first flight in 95? Judging from the information disclosed now, it is simply impossible.

That is to say, we are the only two companies in the world that can build quad-engine passenger aircraft. Why not take advantage of this opportunity to seize the quad-engine passenger aircraft market in the next five to ten years?"

Luo Nianzhong saw that Schlonz's heart was not moved, but trembling.

When I said this, I was staring into Schlonz's eyes, and the fact that his eyes were getting brighter and brighter proved this point.

How could Schlonz not be excited? Everyone knows that twin-engine passenger aircraft are the future trend. With the advancement of technology and the improvement of engine parameters, long-range passenger aircraft will no longer need to use four-engine aircraft.

Moreover, the future trend of the aviation industry is point-to-point rather than point-to-face, and there is no possibility for fuel-consuming four-engine passenger aircraft.

Why do long-distance flights require four-engine aircraft? That’s because four-engine aircraft can carry more passengers.

The current operating strategy of airlines is to fly point-to-point. For example, if you fly from New York to Malaysia, a four-engine large passenger plane will first fly to Kuala Lumpur, and then you will transfer to your respective flights.

But the future trend of the aviation industry is point-to-point. Flights from New York to Kuala Lumpur are direct flights, and flights to Singapore are also direct flights without transfers.

This way, there is no need for such a large passenger capacity. The key is to be economical, low-cost and easy to maintain.

Another point is that Airbus has invested at least 340 billion US dollars in the development of the four-engine A. If sales are dismal, it will be a huge blow to Airbus.

Compared with the local McDonnell Douglas and new player United Aircraft Engineering Group, Airbus is Boeing's biggest enemy.

"What does Mr. Luo want Boeing to do?"

"It's simple. All Boeing needs to do is make a statement and put the past decade... "

……

On the second day of the Farnborough Air Show, the British originally thought that the front page of the newspaper should be related to the Farnborough Air Show, but they found that they were wrong.

"Boeing Invention Announcement: Among the aircraft models that have crashed in the past ten years, none of the Boeing four-engine passenger aircraft caused an accident due to correct operation. All the aircraft involved were twin-engine aircraft."

The headline of the Daily Mirror has once again raised the public's concern for aviation safety to a new level.

That’s right, this is what Luo Nianzhong needs Boeing to do.

No matter how much the media hypes it up, it will not be as powerful as a Boeing announcement, because over the past decade, more than 70% of the flights taken by European and American citizens have been Boeing passenger planes.

It was useless. The next day, just a few hours later, the news spread all over the world.

Luo Nianzhong did not miss the Internet platform. In the Netscape browser, as soon as he entered the webpage, he could see a questionnaire.

"Are you satisfied with the safety of current transportation?"

It is not only aimed at the aviation industry, but also at industries such as automobiles, and netizens are also actively leaving messages.

"To be honest, I am not satisfied. I personally experienced that once, a Boeing 737 passenger plane entered the runway and was grounded because someone reported a loud abnormal noise in the engine position.

Although it delayed me by several hours, I am grateful for the suspension, which may have saved my life."

"The brother above is still good. I have personally experienced parts flying out of the wing. God knows how scared I was when I was in the sky at that time."

"Has the upstairs landed safely?"

"Are you talking to a ghost?"

"I don't know about airplanes as I haven't taken them often, but I have experienced brake failure in Honda cars."

"The results of it?

"I have reached the peak of my life and should never have to worry about food and clothing for the rest of my life."

"envious".

"Envy +1".

Boeing's statement and the global media's hype have completely ignited the global discussion on traffic safety.

On the same day, many passengers on medium-haul flights from London to America and Asia requested to take four-engine planes and expressed their willingness to pay extra.

You said there are no four-engine planes on this route, so if you want to take it you have to charter a plane?
Why not? If any accident happens, will your airline be held responsible?

Regardless of how many of these customers come of their own accord and how many are there to help others avoid disasters for money, London Heathrow Airport is very busy anyway.

“International licenses? We have them all.

The Il-96-300 has obtained a noise certificate issued by ICAO, and the engine PS-90A used has obtained a license from the International Civil Aviation Committee and a noise and harmful emission certificate issued by ICAO.

During the Cold War, the United States formulated standards for civil airliners in order to restrict the development of polar bear civil airliners, targeting the high fuel consumption and high emissions of polar bear airliners.

The standard boundaries they set are very simple, that is, my product meets the requirements and yours does not, so as to prevent polar bears from exporting civil aviation aircraft to our camp.

After all, in the 1950s and 1960s, Polar Bear's passenger planes were the best in the world.

Fortunately, the Il-96 series was designed and manufactured according to international standards from the beginning. In order to be more advanced and international, the avionics systems used are still from European and American companies.

Others are using displays, but yours is still a dashboard. Russia still has a long way to go in the development of avionics systems, but fortunately, Far East is strong in this area, so it’s not too late to invest in research and development now.

“Number of passengers? I admit that the Il-96-300 has a gap in passenger capacity compared to the Boeing 747-400, but our comfort level is definitely not inferior to theirs, and we may even exceed theirs.

We are not inferior to Boeing in noise reduction, and our seat distance and comfort are also better than Boeing.

What is the most important thing on a long-distance trip? It is to make passengers less bored, happier and more comfortable, and the in-flight entertainment system we developed is unique in the world. "

Pointing the remote control at the small screen in front of the seat, Luo Nianzhong demonstrated the rich content to Lufthansa's Gate.

There is no other way. It is impossible to make a touch screen this large, so you can only use a remote control.

"The in-flight entertainment system we developed contains thousands of Eastern and Western movies and tens of thousands of songs, and business class and first class cabins also have the latest GameBoy models for passengers to play, allowing passengers to spend the long journey in joy."

If the hardware is not enough, the software can make up for it. It was not the end after giving Ilyushin the task of modifying the Il-96. Luo Nianzhong asked the Far East Research Institute to design this in-flight entertainment system, which has now been separated into an independent service company.

In 1985, audio equipment first appeared on seats in the cabin, but it was just for simple listening to music.

80% of the world's aircraft do not have this function now, let alone the Il-96-300's in-flight entertainment system.

Boeing's statement and the global discussion on aviation safety have played a role. After major airlines conducted a simple survey and found that many people are willing to pay a premium to take safer aircraft, they plan to add some four-engine models to meet the needs of medium and long-distance travel.

On the fourth day of the air show, United Aircraft Engineering and Manufacturing Group welcomed an important customer.

It has to be said that the Il-96-300's in-flight entertainment system is very eye-catching and attractive, but Gate is still hesitant.

"What is your after-sales maintenance service?"

"Don't worry about that. In addition to Moscow, we have established corresponding supporting service centers in Denver, the United States, Kuala Lumpur, Malaysia, and Oxfordshire. It is expected to be operational by May 93.

In addition, we are also selecting locations in South America and Africa, and in the future we will establish a complete after-sales industry chain around the world."

Why can't Polar Bear's wide-body aircraft be sold? The main reason is the after-sales service.

Imagine if you bought a Russian aircraft and had to fly it to Russia every time you wanted to maintain it, but the spare parts were not available anywhere else. How much more would that cost?

That's why Gate asked about after-sales maintenance, but he felt relieved after knowing the answer.

"What about the price?"

There is no doubt that the operating costs of the Il-96-300 are slightly higher than those of the Boeing 747-400.

But after visiting the Il-96-300, Gate admitted that in terms of passenger experience, the Il-96-300 is better than the Boeing. Cost is important, but customer experience and satisfaction are more important, so Gate plans to order two or three to try and see how customers respond.

Luo Nianzhong had expected a customer like Gate to have such a mindset. Unlike Boeing, the Il-96 had not proven itself, so even if someone liked it, they would not buy too many. So they had to find a way to adjust the price.

The cost of Il-96 is lower than that of Boeing 747. Later, the manufacturing cost of Il-96 increased sharply due to problems with supporting manufacturers.

The aircraft could not be sold, and the related supporting manufacturers could not develop parts technology specifically for you. In addition, the small quantity and the related supporting manufacturers all had their own affairs and other multiple reasons caused the cost of the Il-class aircraft to rise sharply. This problem no longer exists now.

"It depends on how many Lufthansa orders. We use a tiered pricing system for the Il-96-300.

One aircraft costs $1.21 million, three aircraft costs $1.17 million each, and five or more aircraft costs $1.12 million each."

US$1.12 million is the price agreed upon by the top executives of United Airlines Engineering & Manufacturing Company. It is much cheaper than the Boeing 1.47, which costs US$747 million per aircraft. The goal is to win by price and open up the market first.

At this price, the purchase of three Boeing 747s can buy four Il-96-300s.

"Then order five first."

As expected of a big airline, the way they pay money is so charming.

During the last two days of the trade day, the Boeing 747-400 and the Ilyushin IL-96-300 became the protagonists, accounting for nearly half of the transaction volume of the entire air show.

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Boeing is worthy of being the leader of the United States and the overlord of the aviation manufacturing industry. Even though it is expensive and its software facilities are generally inferior to those of the IL-96-300, it still won two-thirds of the orders for four-engine aircraft at this exhibition.

The week-long Farnborough Air Show ended with more than $130 billion in trade contracts signed, setting a new record.

This was mainly due to the large number of orders for four-engine large passenger aircraft. Boeing won contracts for 23 747s during the air show, with sales exceeding US$34 billion, while United Aircraft Engineering & Manufacturing Group sold 15 Il-96-300s, with sales exceeding US$15 billion.

"Not bad, at least we have made a good start in the wide-body four-engine aircraft."

Novozhin, president of the Ilyushin Design Bureau, expressed excitement and said, "I will go back quickly to organize production and prepare for future orders."

Don’t think that business will end when the air show is over. Now is the real beginning. Many airlines are unlikely to place orders directly. Those interested will go to Moscow for multiple inspections.

Especially current customers, they will continue to purchase more after being satisfied with the experience.

"Lufthansa's five aircraft must be delivered as soon as possible. Lufthansa is the only major airline that has purchased our aircraft, and the number of passengers they carry every day is unmatched by other airlines.

As long as their customers recognize us, subsequent orders will surely come in.

Therefore, these five aircraft are benchmarks, and we must strive for excellence and not be careless.

There is also the establishment of after-sales maintenance. Now Damao has a large number of relevant practitioners. We will recruit more for training and kill all those who are clumsy and unskilled."

Most of the polar bear aircraft accidents are caused by human error, mostly due to the relevant personnel being careless or not following the operating procedures.

In order to prevent such incidents from happening, 80% of the quality inspection department of the entire United Aircraft Engineering and Manufacturing Group is composed of Asians and Europeans, half of whom are from island countries and Germany.

We have to admit that these two countries are among the best in terms of meticulousness and rigor.

The team from United Aerospace Engineering & Manufacturing Group left, and the Luo family's aviation industry chain finally took the first step.

However, he could not leave England like the people from United Aircraft Engineering and Manufacturing Group, because there were more important battles waiting for him.

Pangu - Barclays Center, Canary Wharf, where Du Huilian observes the ups and downs in the foreign exchange market.

"how is the situation?"

"The other side first chose the Italian lira. Although the Italian central bank and the German central bank borrowed 240 billion marks to buy the lira and raised the interest rate to 15%, their combat effectiveness was still too poor. The lira fell within two days.

Now the lira exchange rate has fallen below the lower line stipulated by the ERM and has been broken through.

Now the morale of international speculators has been boosted, and the flames of war have spread to Britain."

Picking up a newspaper and handing it to Luo Nianzhong, and motioning him to watch the video on TV, Du Huilian continued.

"This is a recording of Major's speech two days ago, and the entire content was published in the newspaper."

"Devaluing the pound would be a betrayal of Britain, that is not the policy of the British government.

Ha, it sounds pretty tough, but judging from the speed of his speech and the frequency of his eyes, as well as the way he crossed his arms over his chest later, this is a typical defensive posture. Is this new prime minister a little unconfident? "

Du Huilian, the former British guy, didn't care about the Prime Minister's life or death at all and shrugged indifferently.

“The May Treaty was signed in February, and if the pound falls in September, he can simply resign as prime minister.

But it's because he met a good person. God sent us to save him.

But he will definitely not be grateful for his redemption now. He should be feeling very proud now and think he is in control of the overall situation.

After his remarks, a large number of pound shorts did take profits, and the UK also stopped its downward trend.

Moreover, the German central bank announced a 0.5% interest rate cut yesterday, which was considered to be a face-giving to Britain. Today I saw that some British media have reported that Britain has won.

Today, the Bank of England has bought a large amount of pounds again, and the pound exchange rate has rebounded, and the situation is very good."

"Is that a good thing? Then let's feed England a dose of poison amidst this good situation."

That evening, the Daily Mirror published an interview with German Central Bank President Schlesinger.

There was nothing wrong at first, but the other party's last sentence made the whole of England break down.

"A broader adjustment of European currency exchange rates would be better than adjusting the beaten-down lira exchange rate alone."

This tells everyone that not only will the lira plummet, the pound will also not be able to hold up.

Schlesinger's statement was like a signal flare, which instantly brought the pound bears who were still sitting on the fence back to the battlefield, and the pound exchange rate situation, which had just stabilized, took a sharp turn for the worse.

That evening, the British foreign exchange market had closed, but the war was far from over.

“New York is five hours behind London and it’s still trading.

According to the information we have received, short sellers in New York are borrowing pounds on a large scale by pledging dollars, selling pounds while also going long on German marks.

"Has our Prime Minister agreed to the conditions?"

"No, I think he's still struggling.

Now the Bank of England is buying a lot of pounds, and he thinks this will stop the decline."

"Don't worry, I don't think we will have to wait too long".

Du Huilian smiled, picked up the red wine glass and clinked it with Luo Nianzhong, "I believe we will get an agreement before dawn."

When the first rays of sunlight in the early morning shone into the land of England, all financial institutions, including local financial institutions in England, were ready to make a fortune when the London Foreign Exchange Exchange opened today.

But what no one expected was that at eight o'clock in the morning, the Bank of England announced a news that it would raise the interest rate to 15%, a gesture of giving up the economy to protect the exchange rate.

This news did not scare the international short sellers, but the news from the German central bank that followed dealt a fatal blow to all the short sellers.

The German central bank decided to cut interest rates by 1.5% and use $200 billion to buy British pounds.

"Europe is one. The lira was broken because the speed was too fast for us to expect, but we cannot let Britain fall behind the lira."

Schlesinger was a completely different person from the one he was interviewed by the Daily Mirror yesterday, a 180-degree turn.

The German central bank's statement and support for the pound caused the pound exchange rate to rise sharply after the opening of the London Foreign Exchange Exchange. Short sellers collectively cut their losses and fled, but it was a terrible move that they ran too slowly.

By the afternoon, the pound had returned to its level before the short sell and was still rising.

That evening, the 12 finance ministers of the European Community gathered in England. England gave up the right to keep the pound sterling from participating in the unified currency and stated that after this incident was over, it would further optimize the relevant regulations of the unified currency to avoid similar incidents from happening again.

This is the condition that Luo Nianzhong asked Britain to agree to, and it is also the reason why the German central bank is willing to cut interest rates.

Although the German economy suffered in the short term, the euro became more stable in the long run.

And Germany did not suffer any loss. Luo Nianzhong had summoned the major German families in the first place in order to make a fortune from this matter, and all the money would be invested in Germany.

This is not a small amount of money. The total loss of these short sellers exceeded tens of billions of US dollars, and 80% of it went to the Far East and the Germans.

As long as the ERM did not collapse, Luo Nianzhong's goal would be to enable Europe to move towards monetary unification more quickly and stably.

On the surface, everything was a setup by the Germans. Although the various reasons behind it could not be hidden from the major families behind the United States, Luo Nianzhong was not afraid.

At least on the surface, the Luo family only joined hands with Europe in order to maximize their profits.

It can only be said that the current United States is not the unscrupulous country it will be ten years later.

(End of this chapter)

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