Yemen Buys Airbus A320s; Boeing, Abu Dhabi Team Up

ADAM SCHRECK

DUBAI, United Arab Emirates (AP) — Airbus on Monday got its second aircraft order at the Dubai Airshow with an agreement to sell 10 A320 planes to Yemen, while its U.S. rival Boeing Co. managed to cut a Mideast deal of its own even though it has yet to score a plane order at the region's top aviation meet.

The Chicago-based Boeing said it signed an agreement with Abu Dhabi's state investment vehicle Mubadala Development Co. to collaborate on multiple projects designed to help the UAE's largest emirate build an aerospace industry as it seeks to diversify its economy beyond the oil patch.

Homaid al-Shemmari, associate director of Mubadala Aerospace, said in an interview with The Associated Press the agreement could involve joint projects ranging from an aerospace museum and training programs to the production of composite aircraft parts in the emirate.

"Boeing is committed to help Mubadala and Abu Dhabi's ambitions of creating this aerospace industry," he said. "They're going to be helping us develop our engineering capabilities."

No financial terms were released, though al-Shemmari said the deal did not signal plans by Mubadala to deepen its investment in U.S. manufacturing by taking an equity stake in Boeing.