Airbus leads Boeing by 5 in race for the top

Airbus SAS, which has surpassed Boeing Co. in deliveries every year since taking the top spot in 2003, is just five planes ahead of its U.S. competitor with two months left in the year.

Airbus, based in Toulouse, France, said today it shipped 399 planes through October. Chicago-based Boeing's Web-site update yesterday showed it delivered 394 aircraft in the first 10 months.

Last year, Airbus built 483 jets, while Boeing, hurt by a two-month strike that shuttered its factories, handed over just 375. Airbus Chief Operating Officer John Leahy said this week that his company aims to deliver a similar number of planes in 2008, 2009 and 2010. Boeing has said aircraft deliveries, which is when the bulk of payments comes in, will rise to 480 to 485 this year and hasn't given a target for next year.

The U.S. company is cutting production of its 777 wide-body model starting in mid-2010, with a reduction to five a month from seven, as the recession dries up financing options and air- travel demand. Airbus began scaling back output of its A320s in October to 34 a month from 36.

The two companies are set to hand over a combined record number of aircraft this year because the manufacturing lead time for aircraft, along with the threat of penalties in purchase contracts, protected delivery plans amid the global economic slump. Boeing and Airbus also juggled delivery slots, persuading some carriers to take planes earlier than planned.

The European planemaker booked 123 net orders this year through October, surpassing Boeing's 84.

Boeing, which fell 9 cents to $49.68 at 4 p.m. in New York Stock Exchange composite trading, has still gained 16 percent so far this year. Airbus's parent company, European Aeronautic Defence & Space Co., has climbed 11 percent in Paris trading.