» Production Plans at HondaJets

Production Plans at HondaJets

By Christina Bohnstengel

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Even though they have not taken any cancellation orders, as of yet, Honda Motor Co. reported that they will scale back production of their business jets in order to traverse the rough economic road ahead.

Honda Aircraft Co. originally intended to produce 100 planes a year for delivery in the end of 2010. The remodeled business plan now calls for production of 70 to 80 jets in that same time. This also means that instead of recouping their original investment in the expected three years, it will take another extra year.

The HondaJets research and development facility is located next to the Piedmont Triad International Airport in North Carolina. Since 2006 they have received more than 100 orders for their business jets, which cost approximately $3.9 million. Chief Executive Officer Takeo Fukui recent interview that even though the future may bleak, he still expects this class of jets to be successful as a very efficient and convenient mode of transportation.

Honda Motor Co. is facing their first quarterly loss in at least 15 years.

Via Bloomberg

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