Who's the biggest planemaker on the planet? As I described yesterday, Boeing
This morning, reports began filtering out ahead of the Paris Air Show concerning a massive 200-plane sale that could reverse the balance of power. Indonesian airliner AirAsia says it may ink a deal to buy 150 to 200 Airbus A320neo aircraft at the show. If that happens, it will dwarf the would-be 150-plane order that United Continental
Such a sale would also set the stage for yet another epic contest -- this time between United Technologies
For Boeing shareholders, though, the main import of an AirAsia sale is that it could increase pressure to close more deals of its own. Already, Airbus has snagged a big 100-plane deal from AIG
My worry is that Boeing might panic and sacrifice profit margins in an attempt to win back the spotlight from Airbus. Remember: In contrast to the struggling and unprofitable 787 program, Boeing's 737s are still selling well -- so well, in fact, that Boeing has had to accelerate production three times in the past year and plan a fourth increase:
Here's hoping Boeing doesn't overreact to bad news in Paris this month. With hundreds of profitable birds already in hand, Boeing mustn't chase unprofitable contracts into the bush.
Who will win the most orders at the Paris Air Show? Who will win the race in aerospace this year? Add Boeing and Airbus parent EADS to your Fool Watchlist and find out.
Fool contributor Rich Smith has no position in any company named above. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.