GECAS In $2 Billion Airbus Order By Ron Wilbur, Managing Editor Farnborough, England - GE Capital came to the Airbus press conference at 10 am, stayed for thirty minutes to discuss their new order and then left in time to become almost an afterthought in a Boeing order press conference at 10:45. Executives of the GE Capital Aviation Services unit had come to announce their order of 30 Airbus jets on firm order with an additional 10 options. The aircraft will be a variation of models in the A320 family to be selected later. Deliveries will occur between 2003 and 2006. At an average list price of $50 million, the Airbus order was worth a potential $2 billion. Of particular interest was the flexibility built into the deal. GE Capital can select the models it wants and the timing for their deliveries. Given that GE's current orderbook is booked fully into late 2000 and it also placed an order with Boeing for 767s for delivery in the 1999 to 2002 timeframe, the new A320 family aircraft seems to fit well in the lease company's strategic plan. The order reflects the very competitive nature of the aircraft industry. GE Capital president and COO Denis Nayden suggested the lease company received very attractive terms, saying, "This order is evidence again as to how to take in a significant number of aircraft at competitive prices." It also indicates the growing power of leasing companies. The biggest player in the aircraft leasing arena, International Lease Finance Corporation, gave Airbus an order yesterday estimated at $1.8 billion. Airbus senior vice president commercial, John Leahy, said the European aerospace manufacturer has between 25% - 30% of their aircraft destined for lease companies. All aircraft on order for GE Capital will be powered by CFM56 engines, produced by a joint venture between GE Aircraft Engines and France's Snecma.