IAG LOI for 200 737 MAX

[CaptainProp]

I bet Walsh squeezed Boeing real good on this one.

For Level and Vueling? I thought, still think, Level has no chance to survive long term. Will be interesting to see how that develops.

https://www.forbes.com/sites/marisagarcia/2019/06/18/loi-for-200-737-max-planes-is-cant-lose-for-iag-and-no-loss-for-airbus/amp/

[nuisance79]

Yep, just like O’Leary did with the NG’s as a result of the downturn post 9/11.

[Giant Bird]

Ordering the MAX while it is still grounded I see as as poor ethics and a slap in the face to passengers it makes a mockery of safety comes first. I am personally boycotting BA in future on principal.

[Locked door]

Right up until they come up cheapest on a route you want to fly. Just like almost every other passenger.

[arearadar70]

Don`t tell o`leary about 1 or 0 pilot operations

[TheiC]

The very worst of the industry, laid bare. With special thanks to locked door.

[Andy_S]

Ordering the MAX while it is still grounded I see as as poor ethics and a slap in the face to passengers it makes a mockery of safety comes first. I am personally boycotting BA in future on principal.

Being in Melbourne, that's probably not a big deal for you......

[Groundloop]

Ordering the MAX while it is still grounded I see as as poor ethics and a slap in the face to passengers it makes a mockery of safety comes first. I am personally boycotting BA in future on principal.

Considering it is pretty certain that Boeing will have to do a lot of work to prove that the MAX is safe before EASA allows it to fly in service again how you can you possibly say this order makes a "mockery of safety"?

[MPN11]

i see it as Walsh (who is not stupid) squeezing Boeing to get a very good deal. And it's only a LOI ... which will NOT convert to orders until the Max is fully re-certified.

[clipstone1]

and Boeing needed a public showing of faith in the company and product, so they tempted IAG with a rediculous deal (which if it goes through includes retraining all of the LGW based crew back from Airbus to Boeing) to announce it now during the grounding.

[kwaiyai]

Is Germany allowing Max's back into German Airspace yet?
I saw a Norwegian Max got turned away recently and had to
land in Paris etc. So I presume not,

[ZFT]

and Boeing needed a public showing of faith in the company and product, so they tempted IAG with a rediculous deal (which if it goes through includes retraining all of the LGW based crew back from Airbus to Boeing) to announce it now during the grounding.

And with a Boeing Training Centre already in Crawley, no peripheral costs to BA either.

[Lake1952]

FWIW, at this point it is a letter of intent, not an order as yet.

[Hotel Tango]

Is Germany allowing Max's back into German Airspace yet?
I saw a Norwegian Max got turned away recently and had to
land in Paris etc. So I presume not,

I can only assume that if it was a MAX it may have been a ferry flight. And very surprised that they hadn't sought the necessary clearances for the flight. Perhaps a cock-up somewhere.

[Smythe]

LOI means little these days, especially at an airshow...Probably got a real good break on the 787 orders for that 'announcement'
I dont think BA even has any single aisle Boeings in the mix, do they?

One very interesting bit of news from the Airshow, Boeing is now actually considering renaming the MAX....

[DaveReidUK]

One very interesting bit of news from the Airshow, Boeing is now actually considering renaming the MAX....

Not so much renaming, just ditching the MAX tag and using the certificated designation, as evidenced in yesterday's IAG press release:

IAG signs letter of intent for 200 Boeing 737-8 and 737-10 (https://www.iairgroup.com/en/newsroom/press-releases/newsroom-listing/2019/iag-signs-letter-of-intent-for-200-boeing-737-8-and-737-10)

[ProPax]

I wonder which party will do the paying.

[Maxfli]

Ordering the MAX while it is still grounded I see as as poor ethics and a slap in the face to passengers it makes a mockery of safety comes first. I am personally boycotting BA in future on principal.

Why boycott BA? The LOI is from IAG and I think it likely that the safety aspects will be resolved by first delivery in 2023.
WW is in a class of his own.

"The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself.
Therefore all progress depends on the unreasonable man."
George Bernard Shaw, Man and Superman (1903) "Maxims for Revolutionists"

[Astir 511]

Ordering the MAX while it is still grounded I see as as poor ethics and a slap in the face to passengers it makes a mockery of safety comes first. I am personally boycotting BA in future on principal.
Poor Ethics?? The aircraft wont be delivered until long after the current challenges have been addressed. People need to get a grip, the MAX issue is a huge challenge to Boeing, but it will get addressed just like the other historical grounding events 787 Battery Issue, or DC10 Cargo Door/Pylon issues. The world keeps on turning.

[Lord Bracken]

https://www.bloomberg.com/news/articles/2019-06-20/airbus-will-challenge-boeing-to-undo-showstopping-737-max-deal?srnd=premium-europe

Airbus claiming they never even received an invitation to tender for the deal...

[Maxfli]

https://www.bloomberg.com/news/articles/2019-06-20/airbus-will-challenge-boeing-to-undo-showstopping-737-max-deal?srnd=premium-europe

Airbus claiming they never even received an invitation to tender for the deal...

Not yet they haven't, the term leverage comes to mind.

[Out Of Trim]

Not much leverage available if pax won't travel on the Max in the future!

[PiggyBack]

This is just good business.

The negotiating position of Boeing is as weak as it is ever likely to be and they will be desperate for some good news so this is very best the time to make a deal knowing that the current issues will have to be resolved before any actual purchase and because it is only an LOI there is no commitment and the eventual outcome may be to enable a better deal from Airbus.

[Andy_S]

Not much leverage available if pax won't travel on the Max in the future!

The majority of pax won't even be aware.

[bvcu]

lots of jobs for baggage handlers then no containers on the old design !

[golfyankeesierra]

lots of jobs for baggage handlers then no containers on the old design !
always thought most 320 operators don’t use the containers anymore because it uses up too much volume?

[SMT Member]

always thought most 320 operators don’t use the containers anymore because it uses up too much volume?

Most A320 operators never used containers to start with, but a rather large number still do. It does eat into your payload, both weight and volume wise, but on the other hand it allows for shorter turn-arounds, less manual handling and reduced staff requirements; a handling agent I know of does containerised A320 series with a ramp team of just two persons, and still easily achieves minimum turn-around times. One of their customers, incidentally, is BA.

[triploss]

always thought most 320 operators don’t use the containers anymore because it uses up too much volume?
Most of the big ones in Europe do. BA, Iberia, Lufty, Swissy, Austrian (but not SN), Finnair, AF mostly (I don't think AF and BA do on the A318's though). Mind you the loco's don't, but some of their airfields barely have a set of stairs nevermind equipment to load containers.

On the other side of the world, I seem to remember NZ and Jetstar using them.

The US is of course the big exception, but they're "special" in many many ways.

[bvcu]

If you recall the BA 737 fleet finished up in Gatwick for the end of their service to get rid of baggage handlers at Heathrow and shorten turnaround times , so wouldn't be surprised to see it being used to get a very good deal out of Airbus as there is no 'order' yet ..........

[Giant Bird]

In my view there is very little difference between accepting an exceptionally low price to sign a letter of intent for the MAX in the current circumstance and accepting a cash payment to sign a letter of intent. Both as like accepting a bribe. I would like to see IAG charged with accepting a bribe and let them defend their actions. It is about time we set the bar a lot higher for corporate ethics and start sending directors to goal for poor ethics. If directors had gone to goal during the GFC maybe we would not have had MAX deaths.

[punkalouver]

Glad to see a major sale to a premiere customer.

[andyjoy]

This is just good business.

The negotiating position of Boeing is as weak as it is ever likely to be and they will be desperate for some good news so this is very best the time to make a deal knowing that the current issues will have to be resolved before any actual purchase and because it is only an LOI there is no commitment and the eventual outcome may be to enable a better deal from Airbus.

I think thats very much the case sign an LOI and then ask Airbus what they can offer. Good business id say