A380 production repreive - EK order

[ETOPS]

Looks like Airbus have gained some breathing room...

Superjumbo jet future secured by Emirates order - BBC News (http://www.bbc.co.uk/news/business-42732842)

[SeenItAll]

Anyone care to guess how much EK is paying for these planes? My guess is that it is that it is pretty low.

[pilotguy1222]

Emirates orders 36 Airbus aircraft worth $16b | GulfNews.com (http://gulfnews.com/business/aviation/emirates-orders-36-airbus-aircraft-worth-16b-1.2159285)

[Chris2303]

I thought that EK was close to broke.

[Joker11]

So no profit share this year? Or are we getting a "free" ticket again?

[pilotguy1222]

So no profit share this year? Or are we getting a "free" ticket again?

No no. This year you will be receiving a Microsoft surface. I mean, once the iPads arrive, they will have to do something with those POS's.

[atakacs]

Are those 380 plus?

I believe only 20 firm orders btw.

[White Knight]

I thought that EK was close to broke.

Nowhere near it. They're just not sharing the love:\

[EchoKilla]

No no. This year you will be receiving a Microsoft surface. I mean, once the iPads arrive, they will have to do something with those POS's.
EK IT is now under the wings of Herr Meuller - should be fun times ahead......

[Frozen Turtle]

EK IT is now under the wings of Herr Meuller

What happened to the former Head of IT/ Mercator PN?

[seafire6b]

Does Virgin Atlantic still pretend to have an A380 order? The last I heard was that deliveries were due to commence this year. If this really is ongoing, then by now I'd have expected the Bearded One to be parading around with models - of one description or another! Can we still look forward to that .... or otherwise?

[pilotguy1222]

I can't find any data past September 2017, and I am not going to dig further, but as of that date, Virgin still had 6 on order.

[EchoKilla]

What happened to the former Head of IT/ Mercator PN?

Sir TC announced IT Mercator mess creator Mr Patrick Naef is leaving due to “family”; effective IMMEDIATELY Herr Meuller has taken over EK IT as heir to that portfolio. Naef departs in June

[msbbarratt]

It will be interesting to see where it all goes from here. Emirates will have (already has) an enormous fleet of very large aircraft that remains a hit with passengers.

If the world economy does bounce back in a decent way (and there's good signs that that's beginning to happen), Emirates will have all the capacity with a superior offering that's just right to tempt the freshly flush traveler. Slum it on a 10-across 777? No thanks. Squeeze into a 9-across 787? Take a hike. Cost/passenger/mile economics can go take a bit of a back seat.

Ok, that's all hypothetical of course, but there may be some airlines out there doing a few what-if calculations. Quite a few may have been expecting the A380 to go away and cease to be of concern in their future business planning. That's now not happen any time soon. So they may have to do some recalculations as to how long they can compete against Emirates (and whoever else operates them). If they can't, especially if the world economy does take off, then they might have to bight the bullet and get in on the game too. Also, what happens in 10 years time if they do do an A380neo and there is a booming aviation industry?

It'll be interesting to see!

[RedhillPhil]

Does Virgin Atlantic still pretend to have an A380 order? The last I heard was that deliveries were due to commence this year. If this really is ongoing, then by now I'd have expected the Bearded One to be parading around with models - of one description or another! Can we still look forward to that .... or otherwise?



He's too busy with his spaceship and sulking over having to hand back the keys to the East Coast railway main line early.

[Octane]

Maybe the 380 was a bit ahead of its time? In the future the way the Chinese economy is going surely there will be a demand for 500 pax plus capable aircraft to move people around over there?

[msbbarratt]

Almost certainly yes. One possible reason (I'm guessing here) it hasn't sold there yet is because, with all that space, the Chinese are able to build huge airports far more easily than we can in Europe. More airports = more slots = A330 will do nicely, thank you. When they decide that buying bigger aircraft is cheaper than building yet another huge gleaming airport, they'll want them.

I'm fascinated by the power plays that are clearly going on, almost in public. Over the past few years Emirates has clearly been looking in the mirror asking itself, "What is it that we sell?". I think they've decided that, to a large extent, they're in the business of selling seats on A380s, and not just any old jet. Having decided that, keeping A380 production going becomes essential, even if that means ordering aircraft for which there isn't a clear use for just yet.

So let's consider the 777X. Emirates has the largest order for those too by a long way, and may find themselves in the same position with that (i.e. having to place an order otherwise the production line closes). So the big question could be, would Emirates prop up the 777X too? It's not going to be especially better than the old 777; 10 across is still going to be a fairly miserable experience. Somehow I can't see them being as enthusiastic, especially if they're already propping up A380. And if they're buying A380s that aren't immediately needed, will they still buy all of those 150 777x in the first place?

[Odins Raven]

It's not going to be especially better than the old 777; 10 across is still going to be a fairly miserable experience. Somehow I can't see them being as enthusiastic, especially if they're already propping up A380. And if they're buying A380s that aren't immediately needed, will they still buy all of those 150 777x in the first place?

You do realise the A380 can be configured 11-across, despite the current operators choosing 10?

Remember, EK was one of the first to put 10 on the triple, and with the way the world economy is going, the age of decadence for the average man is over. The future will be high yield from as many economy/premium economy pax crammed into your ship as possible. If I had to bet on a future for the A380 I would say it’s best sales will lie in the Chinese markets where no one will complain about 11-across and 650 seats on a four hour flight from Urumqi to Beijing, along with the slot constrained EUR-US transatlantic routes which it already serves perfectly well.

[777-Up]

Good point, Odins. Looks like the A380 will survive, and prosper. At least in about 10 years time, perhaps.

[Frozen Turtle]

Sir TC announced IT Mercator mess creator Mr Patrick Naef is leaving due to “family”; effective IMMEDIATELY Herr Meuller has taken over EK IT as heir to that portfolio. Naef departs in June

TCAS and PN were mutual "fans", no fan base left it seems :\

[777-Up]

So are we going to park the new ones as well or will they just replace the ones we have parked already?

Good one. Not arriving for 4-years, tho

[falcon12]

If the new A380's are to replace some of the older aircraft they own, then EK will, as has happened before with the A340 fleet, consider parting them out to lower ongoing maintenance costs.

[GrahamO]

I thought that EK was close to broke.

No, just not making as much profit as before.

Others go into the red, EK just makes less. Its one of the reasons the US hate them so much.

[GrahamO]

So let's consider the 777X. Emirates has the largest order for those too by a long way, and may find themselves in the same position with that (i.e. having to place an order otherwise the production line closes). So the big question could be, would Emirates prop up the 777X too? It's not going to be especially better than the old 777; 10 across is still going to be a fairly miserable experience. Somehow I can't see them being as enthusiastic, especially if they're already propping up A380. And if they're buying A380s that aren't immediately needed, will they still buy all of those 150 777x in the first place?

*Cough*

So the 787 order recently announced has no effect on an ageing 777 fleet ?

Emirates aren't 'propping up the A380' as they are getting the aircraft they want at a very good price.

Propping it up would involve paying over the odds and there is zero evidence for that happening.

[atakacs]

If the new A380's are to replace some of the older aircraft they own, then EK will, as has happened before with the A340 fleet, consider parting them out to lower ongoing maintenance costs.
I still can't find out if those will be 380 plus or not...

[JammedStab]

Emirates aren't 'propping up the A380' as they are getting the aircraft they want at a very good price.

Propping it up would involve paying over the odds and there is zero evidence for that happening.

I read an article today about the A380 that was interesting. As you may know, Airbus received launch aid from Europe which does not have to be paid back if they program is not profitable. Seems like a good deal and it is for Airbus.

But...at the low rate that they are now going to be producing the aircraft, they lose money on each airframe, a cost that is not covered. This order just extends the period of low airframe production meaning more loss for a longer time.

What is needed is new fleets created at other airlines but with each A380 sold to EK, it is less likely that another airline will start an A380 fleet as their potential A380 pax go to EK instead.

[recceguy]

Don't worry too much for Airbus :

Airbus Beats Boeing in 2017 Orders With Late Selling Spree | Fortune (http://fortune.com/2018/01/15/airbus-boeing-orders-2017/)

I remember the level of sarcasm when the A320 came on the market ...

[msbbarratt]

You do realise the A380 can be configured 11-across, despite the current operators choosing 10?

Yes I do realise that, but it is notable that no airline has. Probably a case of no airline having a route with that much demand. And it would diminish the appeal.

[msbbarratt]

*Cough*

So the 787 order recently announced has no effect on an ageing 777 fleet ?

Emirates aren't 'propping up the A380' as they are getting the aircraft they want at a very good price.

Propping it up would involve paying over the odds and there is zero evidence for that happening.

Er, I think if Emirates are the only airline buying then, by definition, they are propping it up. It would cease to exist if no one bought it. Unless Airbus were engaging in a large and expensive game of bluff.