German taxpayers to bear unpaid Airbus loan to develop A380 superjumbo jet: report

German taxpayers to bear unpaid Airbus loan to develop A380 superjumbo jet: report
Germany loaned Airbus €942 million in 2002 in connection with the A380’s development, of which only a third has been repaid. (AFP)
Updated 04 March 2019
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German taxpayers to bear unpaid Airbus loan to develop A380 superjumbo jet: report

German taxpayers to bear unpaid Airbus loan to develop A380 superjumbo jet: report
  • Airbus last month said it would scrap the A380, producing and delivering only 17 more by 2021
  • Emirates — the largest A380 customer — reduced its orders for the superjumbo after an engine dispute and a broader fleet review

FRANKFURT: German taxpayers could be left more than $680 million (€600 million) out of pocket in outstanding credit to Airbus for developing the A380 superjumbo, the Funke Mediengruppe will report on Monday citing an economy ministry statement, excerpts approved for release showed.
Berlin loaned Airbus €942 million in 2002 in connection with the A380’s development, of which only a third has been repaid, the media group cited the statement as saying.
The ministry issued the statement in reply to a parliamentary question from the opposition liberal party (FDP), it said.
Airbus last month said it would scrap the A380, producing and delivering only 17 more by 2021, because customers preferred smaller and nimbler jets.
This came after Emirates — the largest A380 customer — was forced to reduce its orders for the superjumbo after an engine dispute and a broader fleet review.
Repayments are due successively once planes are delivered, meaning the premature end of the production pipeline will leave some parts of the loan unpaid, the media group reported.
Deputy economy minister Ulrich Nussbaum was quoted as saying the handling of the loan issues was still being analyzed and would then be discussed with the company.