Have global economy. Have global economic problems.
Dubai, the very picture of modesty and moderation, feels the credit crunch.
Boeing's recent move to South Carolina may have saved the jet-maker a couple bucks on non-union labor. But it looks like that money might be needed immediately now that the Middle East's Disnelyand-for-the-rich appears to be dead broke.
Dubai just asked for a six-month IOU on a $60 billion debt. News that's troublesome for a host of global companies, including the one that makes planes all those other global companies use to get around.According to Business Week's Carol Matlack, Dubai's airline Emirates has about $4 billion of Boeing 777ss on order. Counting the other back-logs from low-cost carriers in the country, Boeing has about $20 billion riding on the hopes that Dubai can pay back its bills.
Bad news for Boeing, considering the most likely result of Dubai's debt crisis is a bail-out from oil-rich neighbor Abu Dhabi. A move which would likely mean no new orders, along with an emptying of the country's well-stocked shopping cart.
The only good news out of this mess: Boeing isn't the only jet-maker feeling the credit crunch. Its biggest competitor, Airbus, has over $40 billion in unlikely-to-be-filled aircraft orders too.