Airbus CEO speaks to Qatar Airways about A350 dispute

Airbus CEO speaks to Qatar Airways about A350 dispute

The two sides are engaged in a legal battle over the airworthiness of Europe’s newest long-haul jet.

Airbus is in talks with Qatar Airways to try to resolve a bitter legal and safety dispute over the A350 passenger jet, according to the planemaker’s CEO.

“There is progress in the sense that we communicate; we work together,” Guillaume Faury told Reuters news agency on the sidelines of an airline meeting in Doha on Sunday.

“I think we share the view that an agreement would be the better way, but until you have an agreement, you have no agreement.”

There was no immediate comment from Qatar Airways.

The two sides are at odds over the airworthiness of Europe’s newest long-haul jet after damage to its protective skin exposed lightning protection gaps and prompted Qatari authorities to ground more than 20 jets.

Airbus, with the backing of European regulators, has acknowledged quality flaws in several airlines’ jets but denies the problems pose a safety risk due to backup systems.

Qatar Airways, backed by its own national regulator, which has decommissioned the jets, insists the safety implications cannot be properly understood until Airbus provides a deeper analysis.

In an unprecedented London court battle, Qatar Airways is suing Airbus for more than $1 billion in damages, with the airline’s claim increasing by $4 million a day.

“We are in a difficult place, but we at Airbus are really ready to find a way out,” said Faury.

“We were in conversation [and] The line of communication between us and Qatar Airways has never been broken. I’m not pretending it’s easy… but we’re talking to each other and we’re continuing to support Qatar Airways in their operations.”

So far no direct talks

Qatar Airways chief executive Akbar Al Baker told reporters last month he hoped the dispute could be “resolved outside of the courts,” while slamming the jet erosion that is also affecting some other airlines.

According to industry sources, there is no sign of a settlement so far, and a UK judge last month questioned whether the dispute could be settled out of court any time soon given the wide gulf between the parties.

Faury and Al Baker are both attending the International Air Transport Association’s annual meeting in Doha on June 19-21, but delegates said there had been no sign of direct talks so far.

Industry sources say the rift is particularly difficult to unravel after it widened in January when Airbus revoked a separate contract with Qatar Airways for its smaller A321neos.

Qatar Airways has said the move to penalize the airline over the A350 by canceling a separate deal sets a worrying market precedent, but Airbus says it is asserting its rights under the contract.