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Project Winton- Airbus

Old 15th Dec 2021, 20:56
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Keg

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Project Winton- Airbus

Looks like QF is going the Airbus route for domestic fleet replacement. Interesting times.

  • Airbus A320neo and Airbus A220 families selected as preferred aircraft types.
  • In-principle agreement for up to 134 orders and purchase right options over 10 plus years with deliveries from FY24 onwards.
  • Combines with existing Jetstar order to give the Qantas Group significant flexibility on timing and aircraft type/size.
  • Order is expected to be finalised by the end of FY22.
Qantas has selected the Airbus A320neo and Airbus A220 families as the preferred aircraft for the long-term renewal of its domestic narrow-body fleet.

A firm commitment for 40 aircraft – 20 A321XLR (extra long-range) and 20 A220 aircraft – is expected to be placed with Airbus by the end of FY22, following discussions with employees about arrangements to operate the new aircraft types and a final decision by the Qantas Board.

Qantas will also have a further 94 purchase right options[1] on aircraft over a 10-plus year delivery window as its existing Boeing 737-800s and 717s are gradually phased out.

The order is in addition to Jetstar’s existing agreement with Airbus for over 100 aircraft in the A320neo family. Part of this new deal includes combining these two orders so that the Group can draw down on a total of 299 deliveries across both the A320 and A220 families as needed over the next decade and beyond for Qantas, QantasLink and Jetstar.

Once finalised, this will represent the largest aircraft order in Australian aviation history.

Financial details of the deal are commercial in confidence but represent a material discount from list prices.

Today’s announcement follows a detailed review by the airline’s engineering, flight operations, customer experience, network, fleet procurement and finance teams. The airline conducted detailed evaluation of the A320neo and B737 MAX families as well as the smaller A220 and Embraer E190/195-E2s.

SELECTED AIRCRAFT

The initial firm order concentrates on the larger, single-aisle A321XLR, and the mid-size A220-300 with purchase right options for the smaller A220-100, giving Qantas a fleet mix that can deliver better network choices and route economics.

The XLR can carry around 15 per cent more passengers on each flight than the airline’s existing B737-800s, making it well suited to busy routes between capital cities like Melbourne, Sydney and Brisbane. Its longer range means it can also be used to open up new city pairs.

The small and medium size A220s provide the Group with flexibility to deploy these aircraft throughout most of its domestic and regional operations. They could be used during off peak times between major cities and on key regional routes to increase frequency.

Both aircraft types will be powered by Pratt & Whitney GTF™ engines and will deliver fuel savings of between 15-20 per cent, contributing to the airline’s broader emission reduction efforts.

CEO COMMENTARY

Qantas Group CEO Alan Joyce said the airline had called the renewal of its domestic fleet Project Winton after the town where the national carrier was born 101 years ago, because it’s a key strategic decision for the future of Qantas Domestic.

“This is a long-term renewal plan with deliveries and payments spread over the next decade and beyond, but the similarly long lead time for aircraft orders means we need to make these decisions now.

“Qantas is in a position to make these commitments because of the way we’ve navigated through the pandemic, which is a credit to the whole organization.

“This is a clear sign of our confidence in the future and we’ve locked in pricing just ahead of what’s likely to be a big uptick in demand for next-generation narrow-body aircraft. That’s good news for our customers, our people and our shareholders.

“We’ll be having discussions with our people to ensure we have the arrangements necessary to support such a large investment.

“Can I thank Airbus, Boeing, Embraer and the engine manufacturers for the efforts they put into this process. This was a very tough choice to make. Each option delivered on our core requirements around safety, capability and emissions reductions. But when you multiply even small benefits in areas like range or cost across this many aircraft and over the 20 years they’ll be in the fleet, Airbus was the right choice as preferred tenderer.

“The Airbus deal had the added advantage of providing ongoing flexibility within the order, meaning we can continue to choose between the entire A320neo and A220 families depending on our changing needs in the years ahead. The ability to combine the Jetstar and Qantas order for the A320 type was also a factor.

“The A320 will be new for Qantas Domestic, but we already know it’s a great aircraft because it’s been the backbone of Jetstar’s success for more than 15 years and more recently operating the resources industry in Western Australia.

“The A220 is such a versatile aircraft which has become popular with airline customers in the United States and Europe because it has the capability to fly regional routes as well as longer sectors between capital cities.

“The combination of small, medium and large jets and the different range and economics they each bring means we can have the right aircraft on the right route.

“For customers, that means having more departures throughout the day on a smaller aircraft, or extra capacity at peak times with a larger aircraft. Or the ability to start a new regional route because the economics of the aircraft make it possible.

“We have some exciting plans for the next-generation cabins we’ll put on these aircraft, which will offer improvements for passengers that we’ll share in coming months.

“Importantly, these aircraft will deliver a step change in reducing fuel burn and carbon emissions compared with our current fleet, which gets us closer to the net zero target we’ve set,” added Mr Joyce.

AIRCRAFT SPECIFICATIONS

Note: Aircraft information has been sourced from manufacturers’ websites. Specifications are indicative only and not reflective of the specifications of any potential aircraft order by Qantas.
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Old 15th Dec 2021, 21:29
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That’s a lot of new type ratings.
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Old 15th Dec 2021, 21:36
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Originally Posted by ThunderstormFactory View Post
That’s a lot of new type ratings.
I guess they are hoping pilots sell themselves short to win these new shiny jets, that way the type ratings will be effectively free.
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Old 15th Dec 2021, 21:36
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following discussions with employees about arrangements to operate the new aircraft types and a final decision by the Qantas Board.”

Expect the usual “this is the price you need to be at” type of discussions to take place among the various AOC’s
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Old 15th Dec 2021, 21:39
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Different engine to Jetstar?
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Old 15th Dec 2021, 21:39
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Originally Posted by bazza stub View Post
I guess they are hoping pilots sell themselves short to win these new shiny jets, that way the type ratings will be effectively free.
type ratings normally come as part of the package with the new aircraft
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Old 15th Dec 2021, 21:43
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So they’ll end up with a new fleet of….. 12.
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Old 15th Dec 2021, 21:43
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You’ve would have had to been pretty naive not to see this coming, it’s probably a smart move being able to move aircraft around between Domestic and Jetstar.

Does bring up the concern over crewing though, with a ready made entity already operating in Perth I think AIPA are about to earn their fees!
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Old 15th Dec 2021, 21:49
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Let the games begin..

Whilst it seems inevitable that mainline will operate the A320 and NJS the A220, popcorn will be the perfect accompaniment to the IR theatre about to begin.

The old stalking horse of EFA will be joined by network as the ‘alternative operators……’

Wonder how the JQ gang will go with mainline operating the same aircraft on the same route for 30% more? Right pilot right customer?

Haircuts for all I’d say
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Old 15th Dec 2021, 22:19
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Interestingly the post has been removed from Instagram
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Old 15th Dec 2021, 22:38
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Perhaps a sigh of relief in Canberra? Does that make up for the submarines and will Scotty & Micron kiss and make up at the signing in TLS?
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Old 15th Dec 2021, 22:38
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The savings and efficiencies just on containerised baggage and freight will be huge.
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Old 15th Dec 2021, 22:57
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Mainline Pilots:

“NJS and Network are going to get given even more of our flying 😡”

NJS Pilots:

“Mainline and Network are going to get given all our flying 😵”

Network Pilots:

“Let’s get as much of Mainline and NJSs flying as we can 😃”

Sunstate/Eastern Pilots:

“This is our chance to get a jet and take all of NJS and Networks flying 😃”
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Old 15th Dec 2021, 22:59
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Originally Posted by ANCDU View Post
You’ve would have had to been pretty naive not to see this coming, it’s probably a smart move being able to move aircraft around between Domestic and Jetstar.

Does bring up the concern over crewing though, with a ready made entity already operating in Perth I think AIPA are about to earn their fees!
Ohh here we go

It’s a simple replacement for the 737’s, why the f**k would they try and farm the flying out . Shit there’s some paranoid ones amongst you.

Great news for Qantas. Hope the sane crews enjoy flying them, because I’ll certainly enjoy being down the back on them compared to the 737’s.
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Old 15th Dec 2021, 23:33
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Company email stated that ‘discussions’ with work groups about the arrangements to be put in place to fly these aircraft will start in the new year. Also made the statement that no payments towards the new aircraft wouldn’t be made until the new agreements were finalised. Get ready for the pineapple!
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Old 15th Dec 2021, 23:45
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Originally Posted by Ollie Onion View Post
Company email stated that ‘discussions’ with work groups about the arrangements to be put in place to fly these aircraft will start in the new year. Also made the statement that no payments towards the new aircraft wouldn’t be made until the new agreements were finalised. Get ready for the pineapple!
A321 to replace A330 on regional and domestic flying.

Negotiations with employee groups will be about it not being flown on the LH award.

That’s where the battle will be.
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Old 16th Dec 2021, 00:17
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Hands were sort of tied as the 110 odd A320/1 existing order couldn’t be reduced or changed, unless the company wanted to increase its order. Jetstar Japan, Singapore, now dead Vietnam, originally was going to source from this 2011 order. That changed a few years ago to now not. Gives them the flexibility to also change delivery dates now.

Not great for Boeing and whatever follows the MAX next decade.

Will be a large pay gap between the Star and Mainline on the bus though, especially as one of those groups works more.
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Old 16th Dec 2021, 00:20
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Originally Posted by dr dre View Post
A321 to replace A330 on regional and domestic flying.

Negotiations with employee groups will be about it not being flown on the LH award.

That’s where the battle will be.
Unfortunately the short haul award is only applicable to the Boeing 737 and the company apparently wouldn't change Boeing 737 to Narrow Body aircraft.
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Old 16th Dec 2021, 00:34
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I believe that this is the right decision for quite a number of reasons. The A320/321 cabin is so much more comfortable than the sardine can B737 Max cabin so this means that the Qantas Group will offer a superior product than Virgin, Rex & Bonza.

By combining the Mainline Domestic & Jetstar fleets gives the fleet size to achieve significant operational and maintenance savings. The A321XLR’s payload/range makes it very flexible for many routes such that they may be able to do the Jetstar Asian routes thus allowing the B787-8’s to be disposed of - a further reduction in costs.

Boeing kicked an own goal when they took Bombardier to court, it resulted in the “C” Series being given to Airbus to be marketed as the A220 and it perfectly complements the A320/321 range.

Originally Posted by morno View Post
Shit there’s some paranoid ones amongst you.
The paranoia comes from the 13 years experience of Joyce’s brutal management style - he’s never missed an opportunity to strip wages and conditions off his employees. The one positive is that he has finally ordered some new aircraft for Qantas Mainline (the B787-9’s were ordered by his predecessor).
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Old 16th Dec 2021, 00:59
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Originally Posted by Going Boeing View Post
I believe that this is the right decision for quite a number of reasons. The A320/321 cabin is so much more comfortable than the sardine can B737 Max cabin so this means that the Qantas Group will offer a superior product than Virgin, Rex & Bonza.

By combining the Mainline Domestic & Jetstar fleets gives the fleet size to achieve significant operational and maintenance savings. The A321XLR’s payload/range makes it very flexible for many routes such that they may be able to do the Jetstar Asian routes thus allowing the B787-8’s to be disposed of - a further reduction in costs.

Boeing kicked an own goal when they took Bombardier to court, it resulted in the “C” Series being given to Airbus to be marketed as the A220 and it perfectly complements the A320/321 range.



The paranoia comes from the 13 years experience of Joyce’s brutal management style - he’s never missed an opportunity to strip wages and conditions off his employees. The one positive is that he has finally ordered some new aircraft for Qantas Mainline (the B787-9’s were ordered by his predecessor).
Except for one minor detail is that he still hasn't ordered them yet. Same as the 350's for project sunrise, they are the "preferred" option.
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