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Latest Business News

UPS to Cancel Airbus Freighters Order

Friday, March 02, 2007 9:48:39 AM
By HARRY R. WEBER

An Airbus A380 superjumbo takes off from Toulouse's Blagnac airport, southwestern France, as it performs a series of test flights, Friday, March 2, 2007. Airbus unions ordered a strike Friday to protest planned job cuts and plant disposals, as shares of parent company EADS tumbled on the announcement that work on the A380's slow-selling freighter version has halted. The five main French Airbus unions called on staff at the European aircraft maker's sites across the country to stop work next Tuesday in protest at 10,000 planned job cuts and the sale or closure of six plants, announced by Airbus this week. (AP Photo/Remy Gabalda)ATLANTA (AP) - UPS Inc., the world's largest shipping carrier, said Friday it will cancel its order for 10 Airbus A380 freighters, following delivery delays. The decision will leave the European aircraft manufacturer with no firm orders for its jumbo freighter.

The news follows an earlier decision by Memphis, Tenn.-based FedEx Corp. to cancel its order for the freight version of the A380.

Atlanta-based UPS said the final cancellation decision will be formally presented to Airbus on the first date specified under an agreement reached last week that gives either party the right to terminate the order.


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