Orders slow as Boeing says problem with 787 brakes

By Rhys Jones and Chloe Fussell

FARNBOROUGH (Reuters) - Orders slowed to a trickle and Boeing announced a problem with the software on the brakes of its yet-to-fly 787 Dreamliner, adding to a sombre mood on the second morning of the Farnborough Airshow.

However, there was talk a significant leasing deal may be announced during the afternoon.

The biggest deal announced early on Tuesday was a 16-plane order from Tunisair worth $1.9 billion (944 million pounds) at list prices for three Airbus A350s, three A330s and 10 A320s.

Qatar Airways unveiled a deal to buy up to six Airbus A321 planes and said it could set up a budget airline within 90 days to repel any attack by a rival airline on its home market.

Chief Executive Officer Akbar al-Baker also said he was in negotiations with Airbus to buy further A320-family aircraft and hoped to make a further announcement soon, and he was interested in Bombardier's new CSeries 100-145-seat aircraft.

The orders were thin in comparison with unprecedented demand in the past three years at similar air shows, with airlines reeling from triple-digit oil prices and many cutting capacity.

Dozens of airlines are struggling to raise finance to stay in business let alone invest in new fleets, but this is not the case for Gulf carriers who shelled out $25 billion for new planes on Monday, led by Abu Dhabi's Etihad Airways.

"It is not over yet," said veteran air show observer Howard Wheeldon of BGC Partners, who expects 280 plane sales this week.