Embraer's CEO has made the same accusation, stating that the order was based on ''improper government subsidies''



Anybodies guess whether there is any substance in his claim or he is just being a sore loser.

The issue is these claims will keep popping up with regard to the DL and AC orders because they happened almost parallel with the C Series program being bailed out by the government.

I do hope that Bombardier uses this recent success to secure more high profile orders. The C300 looks like a prime candidate to take over the A319 & 737-700 as the NEO/MAX versions of these two jets haven't been particularly popular. LH is expected to make a healthy order if the number look good once the C Series is in service at LX. AA and B6 have also expressed interest so the ball is in Bombardier's court.

I am looking for an aircraft manufacture who does not have any state subsidies...

UL is not a business - it is Racketeering on a massive scale. If you run it like a business a lot of people will lose their cushy jobs and the Politicians, their families, friends and cronies will lose their income from all the corrupt deals.

This is why nothing will happen. Just a lot of empty talk.

As for Branson:-

People like this are very image conscious - they will not have their brand associated with theft, fraud and corruption.

We all know how "Business"is done in Sri Lanka - Branson will never get involved in such things.

Why do you think Lufthansa walked away? Another image conscious company.

Until the Racketeering is dealt with at the national level anything else is just a waste of time and will achieve nothing imho.

Tell that to the WTO!

So, it is OK to do something wrong because everyone else is also doing?

You sound Trump-ish

it is not ok...but cannot cry sour grape; for a pending CAD 1 billion (USD 750 Million)investment on stocks in Bombardier from Quebec prov govt. These investments are within the WTO guidelines.

Where as in Sri Lanka GOSL (Tax payer) is going to write off USD 3.2 billion in debt. Thats a huge govt subsidy. HRI subsidies by CMB. Hambantota Port subsidized by Colombo Port. Fertilizer subsidized for farmers...and on and on. These are direct subsidies.

You are showing your true Sri Lankaness...When cannot justify by facts then head for character assassination AKA US Republican party...mastered in Sri Lanka now adopted by Trump and his bandwagon

To sum it up.
UL is a panhandler on the side of the road; who lives off the handout (GOSL Treasury); thinking how to own a BMW (A350) and also think that it belong in a prestigious golf club/clubhouse (like tries it self hard to asses itself with ME3 and other established airline)

Racketeering is part of Sri Lanka embedded system. Mostly it is assumed that racketeering is in the GOSL; but private sector is also second to none. Even the villager try thinking how can I rip off the other villager. Racketeering in Sri Lanka is highly prevalent.

I do not think such payments are within the guidelines of WTO. Government investments in globally operating indigenous industries is against WTO policy, because it gives them an unfair advantage in the global arena as far as I know. This is the reason China is being dragged in front of WTO every so often, because rest of the world industry is protesting Chinese government investing their enormous wealth in entities that operate in the global stage..

This has nothing to do with C Series being subsidized allowing them to win DL order. However, I fully agree that the Sri Lankan public should not have to shoulder the sins of UL. I am very much in favor of UL being sold (I highly doubt anyone will buy it) or immediately disbanded to save the SL Tax Payer.

You made this personal by attacking me for being Sri Lankan. I have not lived in SL for the past 20 years, so I am not sure how much of my "Sri Lankaness" remains intact, but I have absolutely no problem being identified with Sri Lanka.

I cannot understand why you have so much hatred towards Sri Lanka and I am offended by your statement "US Republican party...mastered in Sri Lanka now adopted by Trump and his bandwagon".

Is this a fact? Do you have proof that over the time the US republican party has in fact adopted a model of bigotry, xenophobia and hatred "mastered" in Sri Lanka?

This thread is taking outside the aviation thread
Here is my last response...So do I ?

According to Sunday Times, UL is in the process of cancelling the lease agreements and paying penalty for the three A350s which are already in Final Assembly line in TLS, and including fourth A350 which was about lease to UL in end of 2017. It seems to be UL & Aercap has already cancelled the lease transaction for the first A350 (must be MSN52) few weeks ago. News says leases for four of these A350s were made with high rates. Looks like UL still hasn't decided yet to cancel the direct orders for four A350s due after 2019. SL gov trying to swallow some of the debt from UL to handover the full UL management to other airline.

Is CX not interested in managing UL?

The whole order cancellation business seems to be in utter shambles or the local SL media has been misquoting the ministers. First we heard the direct orders were cancelled and UL trying to sell of the frames but now they say the direct order is still undecided, and it is the leased ones that is cancelled now ???

If they are looking for partner the various confusing news releases is not helping the perception on any potential investors as the Gov insists on this being a public private partnership rather than a wholesale privatization. Who will want to do business with someone who gives different stories like this everyday and don't remember what the hell they told the previous day? There was another news article where the government now says they don't want to assume the whole debt now as opposed to the earlier absorb all debt tune.

If there is someone form UL in the forum can you please give as an idea on what is happening with the A350 type rating training? is it still going on? At least that would give an indicator what will really happen to the initial leased frames (despite all the apparent financial wizardry of our ministers to restructure the debt and rescue UL).

IMHO all this confusion is as much as UL's fault as it is the minister's and media. Even though they are more than aware of the crap they are in, it seems they prefer to lay back and silently ride it through knowing the government is going to clean up their mess. UL should be forced to make a very detailed and public disclosure about their current situation and how they plan to get out of it. It's not like they can refuse, seeing how if it''s not for the public pretty soon they won't be able to even take half their salary home.

Not that it will happen, but I feel it should be the right thing to do

Management is not free...managment comes with management fees; can UL afford another cost... Investment is another thing...USD 3.2 Billion is not chump change...it is big money...even for developed countries...Provincial Govt of Quebec has still not invested CAD 1 Billion/USD 750 Million on Bombardier...they are still debating...No airline will touch another airline who has such a big debt load...unless considerable about of debt is absorbed by GOSL. To run an airline from ground up you need less than USD 100Million in Capital

srilankan airlines will not cancelling the airbus A350, according to the production of A350 the first delivering would be in June 2016

52 4R- A350-941 SriLankan Airlines Rework UL #1 Station L32 06/2016 F-WZFA

55 4R- A350-941 SriLankan Airlines Parking stand UL #2 Station A10 2016 F-WZFI

60 4R- A350-941 SriLankan Airlines Outdoor ground tests UL #3 Station P18 2016 F-WZFK

Only part which is questionable is; if it is to be privatised who would absorb the loss