Massive QF aircraft orders
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I roughly calculated about 20 additional airframes after the B734's have been replaced. But by the time the last of the order is coming through, Jetconnects aircraft will be even older. I can see them being replaced by the earlier QF 738's, roughly 10 or so.
It will still be an increase to mainline, but I think only by about 10 or so. I like to see mainline increasing also, but it looks like Jetstar will have almost the same amount of aircraft the way it is going.
It will still be an increase to mainline, but I think only by about 10 or so. I like to see mainline increasing also, but it looks like Jetstar will have almost the same amount of aircraft the way it is going.
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Business`laify
FULLY FRANK
JONN BEVER1DGE
HEARD ANYTHING?
PHONE 9292 2756
FAX: 9292 1634
Dixon ahead of schedule
YOU have to getup early to beat the boy from Wagga Wagga.
Just last week Qantas chief executive Geoff Dixon announced
the great coup of buying an extra 99 planes just before the airline's
annual meeting.
Coming on top of an already impressive stack of orders and
options to buy a further 89, the extra spending of at least $6 billion served
a number of purposes at the meeting It blunted a union attack on
Qantas. And how could any union complain about more planes and
more jobs? And it was a terrific distraction from any simmering
shareholder resentment about the Macquarie-led buyout of Qantas
which foundered in May.
It was only later that plans to hire more cabin attendants offshore
leaked out. And there has been no word from Airbus or Boeing
confirming the giant orders.
I believe that's because the orders are yet to be confirmed with cold,
hard cash inthe form of deposits. Once the cash is handed over, the
manufacturers will trumpet the sale. So while the Qantas board and the
manufacturers have shaken hands on deals, they have not progressed
far beyond that. Which is why the delivery timetable Dixon released was fairly
light on detail. The first plane to arrive is an A321 in February next year.
The remaining firm orders would be delivered over six years and the
options delivered through to 2017. What the big orders did indicate -
coming on top of orders for the longhaul giant Airbus A380 Superjumbo
and the high-tech Boeing 787 Dreamliner- is that Qantas will
defend its 65 per cent grasp on the domestic market with an iron fist.
Having a flexible supply of the efficient narrow-bodied jets will
allow Jetstar to compete very aggressively with newcomer Tiger
and the established Virgin Blue. So Dixon is trying to grab the Tiger
by the tail and fling it back to Singapore where he thinks it belongs
Copyright Agency Limited (CAL) licensed copy
Herald Sun
Tuesday 20/11/2007
Page: 35
Section: Business News
Region: Melbourne Circulation: 535,000
Type: Capital City Daily
Size: 200.64 sq.cms.
Published: MTWTFS
Business`laify
FULLY FRANK
JONN BEVER1DGE
HEARD ANYTHING?
PHONE 9292 2756
FAX: 9292 1634
Dixon ahead of schedule
YOU have to getup early to beat the boy from Wagga Wagga.
Just last week Qantas chief executive Geoff Dixon announced
the great coup of buying an extra 99 planes just before the airline's
annual meeting.
Coming on top of an already impressive stack of orders and
options to buy a further 89, the extra spending of at least $6 billion served
a number of purposes at the meeting It blunted a union attack on
Qantas. And how could any union complain about more planes and
more jobs? And it was a terrific distraction from any simmering
shareholder resentment about the Macquarie-led buyout of Qantas
which foundered in May.
It was only later that plans to hire more cabin attendants offshore
leaked out. And there has been no word from Airbus or Boeing
confirming the giant orders.
I believe that's because the orders are yet to be confirmed with cold,
hard cash inthe form of deposits. Once the cash is handed over, the
manufacturers will trumpet the sale. So while the Qantas board and the
manufacturers have shaken hands on deals, they have not progressed
far beyond that. Which is why the delivery timetable Dixon released was fairly
light on detail. The first plane to arrive is an A321 in February next year.
The remaining firm orders would be delivered over six years and the
options delivered through to 2017. What the big orders did indicate -
coming on top of orders for the longhaul giant Airbus A380 Superjumbo
and the high-tech Boeing 787 Dreamliner- is that Qantas will
defend its 65 per cent grasp on the domestic market with an iron fist.
Having a flexible supply of the efficient narrow-bodied jets will
allow Jetstar to compete very aggressively with newcomer Tiger
and the established Virgin Blue. So Dixon is trying to grab the Tiger
by the tail and fling it back to Singapore where he thinks it belongs
Copyright Agency Limited (CAL) licensed copy
Herald Sun
Tuesday 20/11/2007
Page: 35
Section: Business News
Region: Melbourne Circulation: 535,000
Type: Capital City Daily
Size: 200.64 sq.cms.
Published: MTWTFS
Join Date: Oct 2007
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Here comes the slow up?
The Centre for Asia Pacific Aviation (CAPA) has reported that airlines in the United States have signalled to the market that they plan to reduce or slow capacity growth in 2008. CAPA has stated the recent plans are the direct result of a softening market and excessive competition, with both airlines and analysts agreeing that the future profit outlook is grim and that market consolidation is essential- an attitude which CAPA sees as evidence that capacity needs to be reduced.
US Airlines has announced that it is set to reduce capacity in its primary US operations by 3-4% next year, stating that it “sees no business case to grow domestically.” US Airlines is not alone in working to stay competitive, with Southwest Airlines, Continental Airlines, American Airlines and Delta Air Lines stating that they will cut back or reduce capacity expansion in 2008.
Some of the capacity being taken out of the US market will find its way offshore, into international markets, with British Airways announcing a 5% growth in its strong long-haul market which includes the North Atlantic.
"You will have a recession some time, and the impact on the airline industry will be dramatic… All of that leads to consolidation, I think," said Gary Kelly, CEO, Southwest Airlines.
“We'll be growing international in relatively unabated terms... We're also looking at the consolidation question," said Ed Bastia, President, Delta Air Lines.
Whilst mergers have been a topic of discussion, the actual implementation of a consolidation is quite difficult. To merge, large US airlines first have to receive the approval of reluctant anti-trust authorities and then actually consummate a complex combination of networks, unions, cultures and brands. Such a task is more than challenging and the airlines will more than likely have to wait till consolidation is suggested by another organisation.
CAPA has suggested that such difficulties may soon become a world wide problem, noting the falling levels of consumer confidence in the US and the falling house prices and tighter credit at The Bank of England. The bank recently reduced interest rates by 0.25%, stating, “Conditions in (UK) financial markets have deteriorated and a tightening in the supply of credit to households and business is in train, posing downside risks to the outlook for both output and inflation further ahead.”
US Airlines has announced that it is set to reduce capacity in its primary US operations by 3-4% next year, stating that it “sees no business case to grow domestically.” US Airlines is not alone in working to stay competitive, with Southwest Airlines, Continental Airlines, American Airlines and Delta Air Lines stating that they will cut back or reduce capacity expansion in 2008.
Some of the capacity being taken out of the US market will find its way offshore, into international markets, with British Airways announcing a 5% growth in its strong long-haul market which includes the North Atlantic.
"You will have a recession some time, and the impact on the airline industry will be dramatic… All of that leads to consolidation, I think," said Gary Kelly, CEO, Southwest Airlines.
“We'll be growing international in relatively unabated terms... We're also looking at the consolidation question," said Ed Bastia, President, Delta Air Lines.
Whilst mergers have been a topic of discussion, the actual implementation of a consolidation is quite difficult. To merge, large US airlines first have to receive the approval of reluctant anti-trust authorities and then actually consummate a complex combination of networks, unions, cultures and brands. Such a task is more than challenging and the airlines will more than likely have to wait till consolidation is suggested by another organisation.
CAPA has suggested that such difficulties may soon become a world wide problem, noting the falling levels of consumer confidence in the US and the falling house prices and tighter credit at The Bank of England. The bank recently reduced interest rates by 0.25%, stating, “Conditions in (UK) financial markets have deteriorated and a tightening in the supply of credit to households and business is in train, posing downside risks to the outlook for both output and inflation further ahead.”
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I roughly calculated about 20 additional airframes after the B734's have been replaced. I can see them being replaced by the earlier QF 738's, roughly 10 or so. It will still be an increase to mainline, but I think only by about 10 or so.
Would be nice to see mainline getting some capacity too, I agree
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I didn't think of those, but most of those cover the aircraft that are "leased to Jetstar". I think when they all the A330-200's arrive there will be one or two more than QF had before Jetstar Int.
With all the aircraft retirements and moving to Jetconnect, I'll revise my figure to 10-15 extra aircraft. I don't think it will be a massive increase in mainline at all. The massive increase will be in Jetstar Int.
With all the aircraft retirements and moving to Jetconnect, I'll revise my figure to 10-15 extra aircraft. I don't think it will be a massive increase in mainline at all. The massive increase will be in Jetstar Int.
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Quote- "I don't think it will be a massive increase in mainline at all. The massive increase will be in Jetstar Int."
Plans may change when Qantas is finally rid of the elephants scrotum..........
Plans may change when Qantas is finally rid of the elephants scrotum..........
When J* Intl get the first 15 B787's, the 6 A332's that they currently operate will be returned to QF mainline. They will join the 6 new A332's being delivered to mainline. Thus the A330 fleet will have 12 additional hulls over the existing 10 A333's. Eight A332's will be in domestic config and the other four will be international - long range aircraft in domestic config, I really don't understand managements decision making.
