Originally Posted by
1889LS
Nonsense.
You can rent a house, you can pay a mortgage, or you buy with cash.
Renting a house is costly, you lose money and have nothing to show for it at the end of your tenancy.
Paying a mortgage is also costly at the beginning, but once it’s paid off then you have an asset that’s all yours and have all the benefits of it.
Buying outright is the optimal, you have the asset to do as you like with, and none of the ongoing overheads.
Jet2 are using a mixture of the last two options for their purchases, just like they always have done.
Whilst your point generically is correct housing is a poor comparison.
Houses generally appreciate in value and don’t fall obsolete, which aircraft will do as new tech comes on board.
The big thing with jet2 now though, both in terms of the NEO and the oversees bases. Jet2 are now primarily a charter airline filled by pax from their in house holiday division, not an LCC, which they were in their first 10 years of ops.
They will always sell enough holidays to make their new a/c financially viable so have no need to operate ‘away based flights’ like RYR or EZY/EJU. The same as with overseas bases, because they are now essentially a uk tour operator they won’t operate flights from the ‘destination’ to the uk. They may put a couple of spares down route but they won’t operate revenue flights from for the example ALC - UK - ALC.