Russian government confirmed Friday that it plans to create a new state-owned airline company intended to rescue the cash-strapped AiRUnion alliance (ATWOnline, Sept. 8). The holding company will rival Aeroflot in size and be controlled by the Russian Technologies investment fund, according to Russian press reports. "The crisis at AiRUnion is over," Deputy Finance Minister Andrei Nedosekov told media. "The state understands that the crisis of one company could lead to the collapse of the whole sector.

GE Aviation yesterday said that CIT Aerospace selected CF6-80E1s to power four A330s. Deal is valued at $120 million and deliveries are scheduled through 2013. "The CF6 has proven to be a reliable, high performance engine," CIT Aerospace Commercial Airlines Executive VP Tony Diaz said. CIT also selected CFM56-5Bs to power 15 firm A320s under a separate deal. Contract value is $200 million and deliveries extend through 2015. Tech Insertion technology is expected to offer longer time on wing and reduce maintenance costs.

"Unfortunately, the differences were too great to close," was the grim message from Boeing Commercial Airplanes President Scott Carson as 27,600 members of the International Assn. of Machinists and Aerospace Workers walked off the job Friday after talks in Orlando failed to break the deadlock.

Air France subsidiary Regional took delivery of the first of nine 76-seat E-170s.

Boeing's continuing 787 production problems are hampering new sales, airline executives claim, and ATWOnline has learned that potential customers are being told the next available delivery positions are in 2020. Two executives who declined to be named confirmed to this website that Boeing said separate orders for 20 and 25 787s would not begin delivering until 2020. Each airline is seeking other options.