The traditional response -- and defense -- for a late delivery is 'Better late than never." Regarding The Boeing Company's (NYSE: BA) delayed 787 Dreamliner, the stance is, 'Better be great, or never.' The Dreamliner, Boeing's next-generation wide-body, has been dubbed the '7-Late-7,' due to the company's four delivery delays that have pushed back its first delivery to Q1 2010.

From a commercial aviation standpoint, delaying a delivering is like showing up late for the first semester of classes at college. In the 787's case, Boeing looks like it will arrive on campus about four weeks into the semester, so says stock analyst C. Leonard Bauer.

Airbus bested Boeing in deliveries in 2008, but each probably recognizes the primary 'competition' at this juncture of the commercial aviation race is not the rival aerospace company: it's the global recession.

Europe-based Airbus announced it had delivered 483 aircraft in 2008, up 30 from 2007, and 108 more than Boeing's 375, which was down 66 from 441 delivered in 2007.

Airbus also bested Boeing in net orders for 2008, 777 to 662. The two giants also finished the year statistically equivalent in order backlog, with Airbus boasting a backlog of 3,715 compared to Boeing's 3,714.

For Boeing, a difficult year

Stock Analyst C. Leonard Bauer said Boeing had "a trying operational year," hurt by an 8-week machinist strike and further delays in the roll-out of its signature, next-generation plane, the 787 Dreamliner. Had the strike not occurred, Boeing would have approached Airbus in deliveries in 2008 and recorded more than 460 deliveries, he said.

The Boeing Company (NYSE: BA)'s shares closed Friday up $1.50 to $42.46. Shares of Airbus' parent EADS closed up 5 euro cents to 12.72 euros.

Further, Boeing also was hurt by additional 787 delivery delays, Bauer said. Boeing pushed back the 787's first flight test to Q2 2009, and its initial delivery to Q1 2010. That amounts to a two-year delivery delay for the next-generation plane that's expected to be 30% less expensive to maintain than comparable aircraft, including substantial fuel efficiency gains.

What a September.

The Yankees fade during the stretch and don't make the play-offs. And Yankee Stadium, The House That Ruth Built, has closed, forever. Meanwhile, the stock market frequently looks like it wants to close.

Well, at least Boeing (NYSE: BA) is doing well. No, wait, Boeing too is closed, temporarily, due to a strike.

And now there's word that Boeing will reassess its 787 Dreamliner delivery schedule for the Japanese market once the ongoing strike ends, Reuters reported Tuesday.

Analysts fear that a failure of Boeing and the International Association of Machinists and Aerospace Workers to reach an agreement that has idled 27,000 machines could further push-back the 787's delivery timetable. The IAM strike began September 6. Boeing has already delayed delivery of its next-generation 787 airplane by 18 months. Boeing's shares rose $1.52 to $56.99 Tuesday afternoon amid a broader market rally.

Not a September Sinatra would sing about

"I guess this September was meant to be a month with all bad news, because it certainly seems that way," Stock Analyst C. Leonard Bauer said. "Boeing was one of the few bright spots on a pretty dismal domestic economic landscape. Great new products, solid orders, a good future for the company and the stock. But then management and the union can't agree on compensation. Pretty sad."

For Boeing (NYSE: BA), there's more hinging on today's machinists' contract vote than the company's primary labor costs over the next three years.

"The fate of future orders for the 787 Dreamliner could weigh in the balance," stock analyst C. Leonard Bauer told BloggingStocks Wednesday.

About 27,000 members in the International Association of Machinists and Aerospace Workers union in Washington State, Oregon and Kansas will vote today concerning whether to accept a three-year contract, The Associated Press reported Wednesday. Contact vote results are expected Wednesday night.

Shares of Boeing (NYSE: BA) rose 90 cents to $66.79 in Wednesday morning trading.

Despite Boeing's offer of a $5,000 signing bonus and a pay increase totaling 11% over the 3-year contract, its passage is hardly a slam dunk, Bauer said. "I know the media likes to portray every major union contract as a big deal, but this one really is a big issue. There are a lot of nervous parties watching this vote, parts suppliers to Boeing, businesses in the affected regions, and of course, almost every major airline around the world," Bauer said. "A protracted strike at Boeing would jeopardize several commercial airplane delivery timetables."

Work stoppage could hurt 787 orders

Airbus has again delayed delivery of selected A380 superjumbo jets, saying the company's transition to automated production is behind schedule.

Airbus now expects to deliver 12 A380 planes in 2008, down from 13, and 21 planes in 2009, down from 25, the company announced Tuesday.

Promoted as the world's most economical, large aircraft, the A380 is about two years behind schedule. The A380 will seat 525 passengers in a normal configuration, at least 50-120 seats more than its chief competition, Boeing's (NYSE: BA) 747, the wide-body industry standard.

In Europe, shares of Airbus's parent EADS were virtually unchanged on the news, down just 2 euro cents to 12.72 euros in afternoon trading. Boeing's shares gained five cents to $84.87.

Airbus announced Wednesday that it beat rival Boeing in 2007 deliveries but trailed it in new orders.

Airbus said it delivered 453 planes to Boeing's 441 in 2007, according to a company statement. Meanwhile, Boeing (NYSE: BA) bested European-based Airbus in 2007 net new orders, 1,413-1,341. Airbus' 2007 delivery total was up 19 from 2006's 434. Airbus said it expects to deliver 470 planes in 2008.

"2007 was a challenging year but also successful year for Airbus," Airbus President and CEO Tom Enders said. "We were successful in the market and mastered the industrial challenges of the production ramp up, the timely delivery of the first A380, and the implementation of the Airbus Power 8 turn-around program. 2008 will be as challenging on all fronts. But I am sure that, with the dedication of our people and all involved, we shall master them. On the commercial side, I anticipate that our order intake will be above our deliveries."

Delay city

Airbus has been plagued by a series of production setbacks as it rolls-out two new commercial aircraft deemed critical to the aerospace giant's early 21st century aviation strategy: the 500-seat A380 superjumbo jet and the A350.

Boeing has delayed the delivery of the first 787 Dreamliner until early 2009 instead of late 2008, saying the rate at which jobs are being completed has not improved sufficiently to maintain the current schedule.

It's the second delay for the commercial aviation giant, which previously had delayed the introduction of the next-generation plane by six months. The 787's maiden flight will now occur near the end of Q2. The company underscored that the fundamental design and technologies for the 787 remain sound.

Investors early Wednesday took Boeing's delay announcement in stride. Boeing's (NYSE: BA) shares rose 16 cents to $78.02 in Wednesday morning trading.

The 787 Dreamliner program has encountered several bottlenecks due to parts shortages and assembly delays. Boeing has 817 orders for the plane, which is considered critical to its early 21st century commercial aviation strategy as it battles with rival Airbus.

The battle between Boeing Co. (NYSE: BA) and Airbus continued in the skies over Paris this week -- although I suppose the real battle occurs in plush sales offices and five state restaurants throughout the city. Billions of dollars in aircraft orders are at stake, and the corporate dog-fighting appears to be intense. The most important competition is between Boeing's 787 Dreamliner and the A350 made by Airbus. These are roughly similar planes featuring twin engines and single aisles, and both are quieter and more efficient than earlier models. Going in to the Paris Air Show, Boeing had a considerable lead over Airbus in worldwide orders for its plane. As Douglas McIntyre noted earlier on BloggingStocks, as of last week, Boeing had over 600 orders for the 787, compared to a mere 13 for the A350.

Airbus has been in trouble lately, particularly with its new jumbo jet, the A380, which was designed to replace Boeing's 747. While there seems to be considerable interest in the new double-decker plane, the A380 has had so many problems that it isn't clear when it will be ready to fly. So Airbus is pushing the smaller A350 in the meantime. But it hasn't had much luck against the 787, at least until now.

So far, the Paris Air Show has been good to Airbus. According to today's Wall Street Journal [subscription], Airbus booked three large orders for the plane from Russia's Aeroflot, India's Kingfisher Airlines and Libya's Afriqiyah Airways, for a total of nearly 80 planes. This comes after Qatar Airlines' order of another 80 planes earlier in the week. The CEO of Airbus, John Leahy, said that he expected to receive more than 200 orders for the plane this year, and these new orders certainly make that seem like an achievable goal.

But Boeing has also seen some big orders in Paris. It just announced that International Lease Finance Corporation, the largest commercial jet leasing company in the world, has ordered 50 787s for its fleet. This means that the 787 has surpassed the $100 billion mark in orders, and secures Boeing's place as the global leader in commercial aircraft production.

Airbus has 13 orders for its new A350. The competing product from Boeing (NYSE: BA), the 787, has over 600. The Boeing lead has forced Airbus to offer large discounts on its plane

The A350 has had plenty of problems which include fuel efficiency and ease of maintenance complaints. Airbus has tried to address these, but without much success.

The troubles with its new plane fall on the heels of delays in delivery of its larger super-jumbo A380 which competes with the new Boeing 747-8. The problems with both planes may make it difficult for the Airbus parent, EADS, to turn itself around. The holding company has changed its top management is the hope of addressing troubles with new product development, but so far this has not worked.

EADS is owned by arms of the French and Spanish governments and DaimlerChrysler (NYSE: DCX). The owners have fought over which country's unions should bear the majority of cost cuts as EADS and Airbus attempt to save money.

EADS may be an example of the problems that a commercial enterprise has when governments have large interests. Management has to answer to a small number of powerful shareholders who often have different agendas and this can prevent executives from addressing the business problems at hand.

And EADS and Airbus certainly have plenty of problems.

Douglas A. McIntyre is a partner at 24/7 Wall St.

Just when you think Airbus is about to finally assert itself -- perhaps right itself is the more appropriate phrase -- against Boeing Co. (NYSE:BA) in the commercial aviation sector, up pops another gremlin.

On Tuesday, word surfaced that Airbus' co-owners Germany and France were again at odds, this time over the size of expected job cuts at the world's second major commercial jet manufacturer.

France and Germany jointly control Airbus through ownership of its parent company EADS. EADS' shares closed Tuesday in Europe at €25.95, up 11 cents. Boeing's shares closed Tuesday at $91.03 up 9 cents.

French Prime Minister Dominique de Villepin said Tuesday he had talked with German Chancellor Angela Merkel about Airbus's difficulties and confirmed that the company is seeking to slash 10,000 jobs as part of its restructuring plan. German politicians suspect Toulouse-based Airbus's French management of forcing German workers to bear a disproportionate share of the cuts. Arnaud Lagardere, the head of a French coalition, does not deny that his country is trying to protect France-based jobs.