Troubled planemaker Airbus is set to go into the red this year after delays to its flagship A380 plane and other difficulties, its parent firm has said.
Airbus secured fewer orders for new planes last year than its rival Boeing for the first since 2000.
Aerospace firm EADS, which owns Airbus, said additional cost charges relating to the A380 could contribute to what is expected to be an annual loss.
The troubled planemaker Airbus said it won 824 new orders last year.
The group's 2006 sales figures, due out later, are expected to show that it was eclipsed by rival Boeing.
Boeing revealed last month that it obtained 1,044 orders for commercial planes in 2006, up from 1,002 in 2005.
Delays to the A380 have already cost the firm more than $6bn (£3.3bn).
Additional charges
EADS shares fell 3% in early trading in response to the news.
Production problems mean the A380, on which much of Airbus' growth prospects are based, will be delivered two years behind schedule
Several leading airlines have warned that they might cancel orders for the giant plane as a result.
EADS said "additional A380 charges not originally envisaged" were one factor likely to push Airbus into the red for the past financial year.
In addition, it said costs relating to settlements with customers and the reduced value of certain assets were likely to be included on its balance sheet in 2006 rather than next year.
Its financial results will not be confirmed until March, although an annual loss is expected.
Airbus is expected to confirm later on Wednesday that it secured fewer orders for new planes last year than Boeing for the first time since 2000.
The US manufacturer recorded 1,044 orders for commercial planes last year, up from 1,002 the year before.
