Donald Trump's decision to withdraw from the Iran nuclear pact threatens new business for several big companies, including Boeing, Airbus and General Electric. AFP/Jason Redmond
Donald Trump's decision to withdraw from the Iran nuclear pact threatens new business for several big companies, including Boeing, Airbus and General Electric. AFP/Jason Redmond

Boeing and Airbus lose $40bn in deals from US exit of Iran pact



The US withdrawal from a nuclear accord with Iran slams shut what had been a brief opening for historic aircraft sales by Boeing and Airbus to the Islamic Republic.

President Donald Trump’s announcement that he would seek to reimpose sanctions left little hope that the plane-makers will be able to consummate $40 billion in aircraft deals struck by Iranian carriers during the brief trade thaw. Both companies’ export licenses to Iran will be revoked, Treasury Secretary Steven Mnuchin told reporters.

The plane orders, badly needed to upgrade the Islamic Republic’s vintage airliners, would have had the potential to build Tehran into an aviation hub that could better compete with Dubai and Qatar, the region’s aviation super powers.

They also represent a lost opportunity for Chicago-based Boeing and Airbus, which is based in Toulouse, France. The European company is subject to US export restrictions to Iran because more than 10 percent of the parts on its jets originate with American companies such as United Technologies, Rockwell Collins and General Electric.

Airbus said it will “carefully analyse” the implications of the withdrawal from the nuclear deal with the Islamic Republic before deciding how to proceed. “This might take some time,” a spokesman for the company said.

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“We will consult with the government on next steps. As we have throughout this process, we’ll continue to follow the US government’s lead,” Gordon Johndroe, a Boeing vice president, said in a statement.

While the Obama administration had licensed the sales by both Airbus and Boeing to Iran Air in late 2016, the planemakers handled the orders very differently. Airbus recorded the sales in its order backlog and delivered three jets, while its ATR venture shipped eight turboprops.

Boeing never closed its transaction with Iran Air, and downplayed the historic deal’s prospects after Mr Trump took office. In recent months, they had quietly lined up other customers for some of the 777-300ER jetliners once intended for Iran Air this year.

“Looking back, they took very different approaches: Boeing was very conservative in booking and building, and Airbus was very aggressive,” said Richard Aboulafia, an aerospace consultant with Teal Group.

Airbus manufacturer has 95 undelivered planes bound for Iran Air in its backlog. They include 16 crucial orders for its biggest A350 wide-body and 28 for its yet-to-be-delivered A330neo. Another 12 smaller turboprops manufactured by ATR, are still due to be delivered to Iran’s national flag carrier.

Investor reaction was muted since Mr Trump had long been critical of the nuclear pact. Boeing shares dipped less than 1 per cent to $338.49 at the close of trading in New York, while Airbus shares were little changed in Paris.

“We have no Iranian deliveries that are scheduled or a part of the skyline this year, so those have been deferred in line with the US government processes,” Boeing chief executive Dennis Muilenburg told investors on April 25. “If those orders do come to fruition, if we do ultimately deliver airplanes, those represent opportunities for us.”

Other manufacturers said they were reviewing the decision and emphasized their compliance with export controls. In an emailed statement, General Electric said it would “adapt our activities as necessary to conform with these changes in US law.” Siemens said, “We look to governments to set the rules and are waiting for further guidance from the international community.”

How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

Company%20Profile
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Company%20profile
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'Top Gun: Maverick'

Rating: 4/5

 

Directed by: Joseph Kosinski

 

Starring: Tom Cruise, Val Kilmer, Jennifer Connelly, Jon Hamm, Miles Teller, Glen Powell, Ed Harris

 
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Bundesliga fixtures

Saturday, May 16 (kick-offs UAE time)

Borussia Dortmund v Schalke (4.30pm) 

RB Leipzig v Freiburg (4.30pm) 

Hoffenheim v Hertha Berlin (4.30pm) 

Fortuna Dusseldorf v Paderborn  (4.30pm) 

Augsburg v Wolfsburg (4.30pm) 

Eintracht Frankfurt v Borussia Monchengladbach (7.30pm)

Sunday, May 17

Cologne v Mainz (4.30pm),

Union Berlin v Bayern Munich (7pm)

Monday, May 18

Werder Bremen v Bayer Leverkusen (9.30pm)

SPECS
%3Cp%3E%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3E4-litre%20V8%20twin-turbo%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E630hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E850Nm%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3E8-speed%20Tiptronic%20automatic%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh599%2C000%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%3C%2Fstrong%3E%20Now%0D%3C%2Fp%3E%0A
BEETLEJUICE BEETLEJUICE

Starring: Winona Ryder, Michael Keaton, Jenny Ortega

Director: Tim Burton

Rating: 3/5

TRAP

Starring: Josh Hartnett, Saleka Shyamalan, Ariel Donaghue

Director: M Night Shyamalan

Rating: 3/5

The Buckingham Murders

Starring: Kareena Kapoor Khan, Ash Tandon, Prabhleen Sandhu

Director: Hansal Mehta

Rating: 4 / 5

Company%20profile
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Company%20Profile
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Indoor cricket World Cup:
Insportz, Dubai, September 16-23

UAE fixtures:
Men

Saturday, September 16 – 1.45pm, v New Zealand
Sunday, September 17 – 10.30am, v Australia; 3.45pm, v South Africa
Monday, September 18 – 2pm, v England; 7.15pm, v India
Tuesday, September 19 – 12.15pm, v Singapore; 5.30pm, v Sri Lanka
Thursday, September 21 – 2pm v Malaysia
Friday, September 22 – 3.30pm, semi-final
Saturday, September 23 – 3pm, grand final

Women
Saturday, September 16 – 5.15pm, v Australia
Sunday, September 17 – 2pm, v South Africa; 7.15pm, v New Zealand
Monday, September 18 – 5.30pm, v England
Tuesday, September 19 – 10.30am, v New Zealand; 3.45pm, v South Africa
Thursday, September 21 – 12.15pm, v Australia
Friday, September 22 – 1.30pm, semi-final
Saturday, September 23 – 1pm, grand final

UPI facts

More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions

MATCH INFO

Mumbai Indians 186-6 (20 ovs)
Kings XI Punjab 183-5 (20 ovs)

Mumbai Indians won by three runs

The%20Specs
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UAE currency: the story behind the money in your pockets
The Perfect Couple

Starring: Nicole Kidman, Liev Schreiber, Jack Reynor

Creator: Jenna Lamia

Rating: 3/5

The Penguin

Starring: Colin Farrell, Cristin Milioti, Rhenzy Feliz

Creator: Lauren LeFranc

Rating: 4/5

Gender equality in the workplace still 200 years away

It will take centuries to achieve gender parity in workplaces around the globe, according to a December report from the World Economic Forum.

The WEF study said there had been some improvements in wage equality in 2018 compared to 2017, when the global gender gap widened for the first time in a decade.

But it warned that these were offset by declining representation of women in politics, coupled with greater inequality in their access to health and education.

At current rates, the global gender gap across a range of areas will not close for another 108 years, while it is expected to take 202 years to close the workplace gap, WEF found.

The Geneva-based organisation's annual report tracked disparities between the sexes in 149 countries across four areas: education, health, economic opportunity and political empowerment.

After years of advances in education, health and political representation, women registered setbacks in all three areas this year, WEF said.

Only in the area of economic opportunity did the gender gap narrow somewhat, although there is not much to celebrate, with the global wage gap narrowing to nearly 51 per cent.

And the number of women in leadership roles has risen to 34 per cent globally, WEF said.

At the same time, the report showed there are now proportionately fewer women than men participating in the workforce, suggesting that automation is having a disproportionate impact on jobs traditionally performed by women.

And women are significantly under-represented in growing areas of employment that require science, technology, engineering and mathematics skills, WEF said.

* Agence France Presse

SPECS
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Keep it fun and engaging

Stuart Ritchie, director of wealth advice at AES International, says children cannot learn something overnight, so it helps to have a fun routine that keeps them engaged and interested.

“I explain to my daughter that the money I draw from an ATM or the money on my bank card doesn’t just magically appear – it’s money I have earned from my job. I show her how this works by giving her little chores around the house so she can earn pocket money,” says Mr Ritchie.

His daughter is allowed to spend half of her pocket money, while the other half goes into a bank account. When this money hits a certain milestone, Mr Ritchie rewards his daughter with a small lump sum.

He also recommends books that teach the importance of money management for children, such as The Squirrel Manifesto by Ric Edelman and Jean Edelman.

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How%20to%20avoid%20getting%20scammed
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