BAE Systems, conceding that it would likely have to wait an "extended period" for the value of its 20% stake in Airbus to rise, decided late Wednesday to sell the holding to EADS for €2.75 billion ($3.52 billion), well below previous estimates that the stake was worth €4-€5 billion.

Air France ordered Boeing Class 3 electronic flight bags for its fleet of 777s, comprising 42 in-service aircraft and 13 to be delivered. It is the eighth carrier this year to order the Class 3 EFB, Boeing said, adding the order was the "most significant" to date from a European airline. AF partner KLM was the launch customer for the 777 EFB in 2002. The Dutch flag carrier currently operates 13 EFB-equipped 777s and eventually will have 18.

Frontier Airlines placed a firm order with Bombardier yesterday for 10 74-seat Q400 turboprops with 10 options and said it plans to launch a wholly owned subsidiary carrier to operate the aircraft. The new unnamed airline will "use its fleet of Q400s to bring low-cost service to underserved markets in Colorado and the Rocky Mountain region," Frontier said in a statement. "The subsidiary expects to serve as many as 18 destinations using the new aircraft and to create 300-400 new jobs." Destinations will be announced at a later date.

Fallout from A380 production delays continued Monday when Airbus removed Charles Champion as head of the next-generation aircraft program and promoted Mario Heinen, its Single Aisle Program chief, to senior VP and A380 Program head. The announcement came the same day as the A380's first passenger test flight. Alain Flourens, executive VP and head of Airbus's Centers of Excellence, will take over Heinen's role and Champion will remain as a special adviser to CEO Christian Streiff.

Flybe took delivery of its first 118-seat Embraer 195 last week in Sao Paulo. It is the launch customer, having placed a $950 million order for 26 of the type last year (ATWOnline, June 7, 2005). Swiss International Air Lines will acquire a further two A321s and one A320 next spring for its European fleet. The extra capacity will enable the carrier to provide additional feeder services for its long-haul fleet, which will add two A330-200s in November.