News: Boeing wins Qantas Order
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News: Boeing wins Qantas Order
Boeing wins Qantas business
From AAP
28oct01
QANTAS has chosen Boeing over its European rival Airbus to provide Australia's major airline with 15 new aircraft as part of its $1.5 billion domestic expansion plan.
As well as an initial order for 15 new generation Boeing 737-800 aircraft, Qantas has also taken options on another 60 aircraft to progressively replace existing 737-300 and 737-400 aircraft and to provide for growth.
Qantas chief executive Geoff Dixon said the first of the new batch of aircraft would be in service as early as January, thanks to an alliance with American Airlines.
The remainder of the 15 aircraft would be progressively introduced between February and July 2002.
Qantas would not immediately give a value for the deal.
Today's announcement by Qantas follows weeks of negotiations with the US-based Boeing and its rival Airbus SAS for new aircraft it hopes will secure up to 70 per cent of the domestic market after the collapse of Ansett.
Qantas' expansion will be partly funded by a $300 million share offer.
Originally Qantas said it would buy 15 of either the Airbus A320 or Boeing 737-800 aircraft types, as well as two Dash 8 regional aircraft.
Today Mr Dixon said Qantas had worked closely with Boeing and its alliance partner, American Airlines, to facilitate the speedy introduction of the chosen aircraft.
The aircraft would come from existing orders that American Airlines had in place with Boeing.
"American Airlines will assist Qantas with technical advice, simulator training for pilots, spare parts and engines," he said.
Mr Dixon said the new aircraft would have Qantas interiors, more spacious cabins, more headroom and larger windows. They will be fitted progressively with new slimline seats.
Mr Dixon said Qantas had decided to enter into a 10-year strategic alliance with American Airlines, the world's largest airline.
He said details of the agreement would be finalised in the next few weeks and would involve:
Qantas using American Airlines specifications as standard for the replacement of the Qantas single aisle fleet, creating opportunities for short-term leasing between the airlines to cater for peaks and troughs in demand;
Joint purchasing, with Qantas progressively relocating to the American Airlines terminal at Los Angeles airport; and
Qantas commencing Auckland-Dallas-Auckland non-stop services when the new, long range Boeing 747-400 is delivered in late 2002.
Mr Dixon noted Dallas was a major worldwide hub for American Airlines, particularly to all major North American and South American cities.
The alliance will also mean an expansion of the codeshare and frequent flyer agreements between the two carriers.
Mr Dixon said Qantas had made a huge financial commitment to purchasing the new 737-800 aircraft despite real concerns about Federal Government decisions to subsidise both the operations of Ansett Mark II and the expansion of Virgin Blue.
"As an airline, we have been outspoken against government ownership of airlines, which is the ultimate form of subsidy in the international market," he said.
Mr Dixon said that after six years of very effective performance for Australia as a fully privatised company, it was not realistic to expect Qantas to prosper if its competition was subsidised.
From AAP
28oct01
QANTAS has chosen Boeing over its European rival Airbus to provide Australia's major airline with 15 new aircraft as part of its $1.5 billion domestic expansion plan.
As well as an initial order for 15 new generation Boeing 737-800 aircraft, Qantas has also taken options on another 60 aircraft to progressively replace existing 737-300 and 737-400 aircraft and to provide for growth.
Qantas chief executive Geoff Dixon said the first of the new batch of aircraft would be in service as early as January, thanks to an alliance with American Airlines.
The remainder of the 15 aircraft would be progressively introduced between February and July 2002.
Qantas would not immediately give a value for the deal.
Today's announcement by Qantas follows weeks of negotiations with the US-based Boeing and its rival Airbus SAS for new aircraft it hopes will secure up to 70 per cent of the domestic market after the collapse of Ansett.
Qantas' expansion will be partly funded by a $300 million share offer.
Originally Qantas said it would buy 15 of either the Airbus A320 or Boeing 737-800 aircraft types, as well as two Dash 8 regional aircraft.
Today Mr Dixon said Qantas had worked closely with Boeing and its alliance partner, American Airlines, to facilitate the speedy introduction of the chosen aircraft.
The aircraft would come from existing orders that American Airlines had in place with Boeing.
"American Airlines will assist Qantas with technical advice, simulator training for pilots, spare parts and engines," he said.
Mr Dixon said the new aircraft would have Qantas interiors, more spacious cabins, more headroom and larger windows. They will be fitted progressively with new slimline seats.
Mr Dixon said Qantas had decided to enter into a 10-year strategic alliance with American Airlines, the world's largest airline.
He said details of the agreement would be finalised in the next few weeks and would involve:
Qantas using American Airlines specifications as standard for the replacement of the Qantas single aisle fleet, creating opportunities for short-term leasing between the airlines to cater for peaks and troughs in demand;
Joint purchasing, with Qantas progressively relocating to the American Airlines terminal at Los Angeles airport; and
Qantas commencing Auckland-Dallas-Auckland non-stop services when the new, long range Boeing 747-400 is delivered in late 2002.
Mr Dixon noted Dallas was a major worldwide hub for American Airlines, particularly to all major North American and South American cities.
The alliance will also mean an expansion of the codeshare and frequent flyer agreements between the two carriers.
Mr Dixon said Qantas had made a huge financial commitment to purchasing the new 737-800 aircraft despite real concerns about Federal Government decisions to subsidise both the operations of Ansett Mark II and the expansion of Virgin Blue.
"As an airline, we have been outspoken against government ownership of airlines, which is the ultimate form of subsidy in the international market," he said.
Mr Dixon said that after six years of very effective performance for Australia as a fully privatised company, it was not realistic to expect Qantas to prosper if its competition was subsidised.
