Identifier
Created
Classification
Origin
09DHAKA739
2009-07-29 06:31:00
CONFIDENTIAL
Embassy Dhaka
Cable title:
BOEING,S BANGLADESH DEAL: LIVERY DESIGN DECISION
how-toVZCZCXRO8881 PP RUEHBC RUEHBI RUEHCI RUEHDBU RUEHDE RUEHDH RUEHKUK RUEHLH RUEHNEH RUEHPW RUEHROV RUEHTRO DE RUEHKA #0739 2100631 ZNY CCCCC ZZH P 290631Z JUL 09 ZDK FM AMEMBASSY DHAKA TO RUEHC/SECSTATE WASHDC PRIORITY 9229 INFO RUCNCLS/ALL SOUTH AND CENTRAL ASIA COLLECTIVE RUCNISL/ISLAMIC COLLECTIVE RHHJJPI/PACOM IDHS HONOLULU HI RUCPDOC/DEPT OF COMMERCE WASHINGTON DC RHHMUNA/CDR USPACOM HONOLULU HI RUEATRS/DEPT OF TREASURY WASHDC
C O N F I D E N T I A L DHAKA 000739
SIPDIS
DEPT FOR SCA/INSB
DEPT FOR EEB/TRA AND EEB/IFD/ODF DWILLIAMS
COMMERCE FOR SLEWIS-KHANNA AND TFOX
E.O. 12958: DECL: 07/28/2019
TAGS: EAIR ETRD BEXP EFIN PREL ECON PGOV BG
SUBJECT: BOEING,S BANGLADESH DEAL: LIVERY DESIGN DECISION
BUMPED TO PM
REF: A. DHAKA 728
B. DHAKA 691
C. DHAKA 540
Classified By: Ambassador James F. Moriarty, Reasons 1.4 (b) and (d)
SUMMARY
-------
C O N F I D E N T I A L DHAKA 000739
SIPDIS
DEPT FOR SCA/INSB
DEPT FOR EEB/TRA AND EEB/IFD/ODF DWILLIAMS
COMMERCE FOR SLEWIS-KHANNA AND TFOX
E.O. 12958: DECL: 07/28/2019
TAGS: EAIR ETRD BEXP EFIN PREL ECON PGOV BG
SUBJECT: BOEING,S BANGLADESH DEAL: LIVERY DESIGN DECISION
BUMPED TO PM
REF: A. DHAKA 728
B. DHAKA 691
C. DHAKA 540
Classified By: Ambassador James F. Moriarty, Reasons 1.4 (b) and (d)
SUMMARY
--------------
1. (C) Boeing continues to slog forward on a 1.3 billion USD
aircraft sale deal concluded with the 2007-2008 Caretaker
Government to revitalize ailing national airline Biman
Bangladesh (reftels). PM Sheikh Hasina will now personally
decide Boeing's related effort to obtain Government of
Bangladesh (GOB) blessing for a new Biman livery design. The
livery decision delay illustrates the frustrations of doing
business in Bangladesh as well as the remarkable personal
control that Hasina exerts over her government. End summary.
GOB DEBATES THE LIVERY
--------------
2. (C) In a July 21 meeting arranged by the Embassy, Civil
Aviation and Tourism Minister G.M. Quader told Boeing
representatives and DCM that Hasina had rejected Boeing's
proposed new livery design because she did not like the color
scheme. Quader speculated that Hasina would prefer to see
the green and red of Bangladesh's flag incorporated into the
logo and insisted that Hasina would also want to approve
flight attendants' uniforms. Quader accepted a revised
portfolio of designs from Boeing and said he would personally
discuss them with the PM; Quader deflected Boeing's request
for a direct meeting with Hasina.
BOEING AWAITS SOVEREIGN
GUARANTEE, FRETS AIRBUS
--------------
3. (C) Boeing regional director Keith Williamson separately
reiterated to DCM Boeing's concern that Airbus might be
making a backdoor offer to Hasina or officials in her
government. Boeing was worried that the GOB still had not
committed to provide the sovereign guarantee required to lock
in financing for Biman's planned purchase of up to 1.3
billion USD worth of aircraft (ref B). If the GOB did not
provide the sovereign guarantee soon, Boeing feared the
financing package would expire.
COMMENT
--------------
4. (C) We share Boeing's concerns about the GOB's slow
going. Biman is scheduled to take delivery of bridge-leased
Boeings -- aircraft that should be decked out with the new
design -- in four months. The Ambassador continues to press
the GOB, from the PM on down, to move on the sovereign
guarantee and to close the Boeing deal. We will remain
engaged to make sure that this contract for 10 Boeing planes
(four 777's, four 767's and two 737's) comes to fruition.
MORIARTY
SIPDIS
DEPT FOR SCA/INSB
DEPT FOR EEB/TRA AND EEB/IFD/ODF DWILLIAMS
COMMERCE FOR SLEWIS-KHANNA AND TFOX
E.O. 12958: DECL: 07/28/2019
TAGS: EAIR ETRD BEXP EFIN PREL ECON PGOV BG
SUBJECT: BOEING,S BANGLADESH DEAL: LIVERY DESIGN DECISION
BUMPED TO PM
REF: A. DHAKA 728
B. DHAKA 691
C. DHAKA 540
Classified By: Ambassador James F. Moriarty, Reasons 1.4 (b) and (d)
SUMMARY
--------------
1. (C) Boeing continues to slog forward on a 1.3 billion USD
aircraft sale deal concluded with the 2007-2008 Caretaker
Government to revitalize ailing national airline Biman
Bangladesh (reftels). PM Sheikh Hasina will now personally
decide Boeing's related effort to obtain Government of
Bangladesh (GOB) blessing for a new Biman livery design. The
livery decision delay illustrates the frustrations of doing
business in Bangladesh as well as the remarkable personal
control that Hasina exerts over her government. End summary.
GOB DEBATES THE LIVERY
--------------
2. (C) In a July 21 meeting arranged by the Embassy, Civil
Aviation and Tourism Minister G.M. Quader told Boeing
representatives and DCM that Hasina had rejected Boeing's
proposed new livery design because she did not like the color
scheme. Quader speculated that Hasina would prefer to see
the green and red of Bangladesh's flag incorporated into the
logo and insisted that Hasina would also want to approve
flight attendants' uniforms. Quader accepted a revised
portfolio of designs from Boeing and said he would personally
discuss them with the PM; Quader deflected Boeing's request
for a direct meeting with Hasina.
BOEING AWAITS SOVEREIGN
GUARANTEE, FRETS AIRBUS
--------------
3. (C) Boeing regional director Keith Williamson separately
reiterated to DCM Boeing's concern that Airbus might be
making a backdoor offer to Hasina or officials in her
government. Boeing was worried that the GOB still had not
committed to provide the sovereign guarantee required to lock
in financing for Biman's planned purchase of up to 1.3
billion USD worth of aircraft (ref B). If the GOB did not
provide the sovereign guarantee soon, Boeing feared the
financing package would expire.
COMMENT
--------------
4. (C) We share Boeing's concerns about the GOB's slow
going. Biman is scheduled to take delivery of bridge-leased
Boeings -- aircraft that should be decked out with the new
design -- in four months. The Ambassador continues to press
the GOB, from the PM on down, to move on the sovereign
guarantee and to close the Boeing deal. We will remain
engaged to make sure that this contract for 10 Boeing planes
(four 777's, four 767's and two 737's) comes to fruition.
MORIARTY