Gulf Air to replace 9* 767s at $900 Mln
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Gulf Air to replace 9* 767s at $900 Mln
MUSCAT, Feb 6 (Reuters) - Gulf Air announced on Monday plans to spend $900 million to replace 9 aging Boeing 767s but did not name the aircraft it intended to buy.
James Hogan, chief executive officer of Gulf Air, told reporters the airline would seek a long-term loan to finance the purchase once approved by the airline owners, the governments of Bahrain and Oman.
Gulf Air, which returned to profitability in 2004 after years of losses, carries a debt of about $500 million.
"Our idea is to change the type of aircraft to two within ten years from four now," he said after a board meeting in Muscat, which will become the airline's other hub in March.
Hogan said the Manama-based Gulf Air, which operates a fleet of 34 aircraft, would start placing orders by May. He said the airline also plans to refurbish its fleet but did not give further details.
Abu Dhabi, which launched its own airline in 2004, has announced its intention to withdraw from Gulf Air. Abu Dhabi and other former co-owner Qatar have injected millions of dollars to keep the airline afloat in its red years.
James Hogan, chief executive officer of Gulf Air, told reporters the airline would seek a long-term loan to finance the purchase once approved by the airline owners, the governments of Bahrain and Oman.
Gulf Air, which returned to profitability in 2004 after years of losses, carries a debt of about $500 million.
"Our idea is to change the type of aircraft to two within ten years from four now," he said after a board meeting in Muscat, which will become the airline's other hub in March.
Hogan said the Manama-based Gulf Air, which operates a fleet of 34 aircraft, would start placing orders by May. He said the airline also plans to refurbish its fleet but did not give further details.
Abu Dhabi, which launched its own airline in 2004, has announced its intention to withdraw from Gulf Air. Abu Dhabi and other former co-owner Qatar have injected millions of dollars to keep the airline afloat in its red years.
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fleet new base
good to here about the renewal of the B763 fleet ,after the pullout of abudhabi any ideas about the fleets new base , if its seeb international
what preperation they have? aircraft groundhandling maintenance.....?
i'm sure this will increase the amount of airtraffic over there goodluck to the ATC guys over there.
what preperation they have? aircraft groundhandling maintenance.....?
i'm sure this will increase the amount of airtraffic over there goodluck to the ATC guys over there.
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Even if GF ordered the planes (assume 787's), it will be till 2010-2011 before they get them. If they order A350's, even later (2012-2013). Unless of course they find a way to lease some 330's from someone (at a hefty price).
As for the two types of aircraft they intent to have, that is a tough question. GF needs three types in total in my humble view. Two types of long-haul aircraft esp. for routes in which cargo plays an important part in route profitability, and another type for short hauls. The A330 cannot make it to Manilla (just one example) unless it is weight restricted (hence it uses 340's). GF could loose a lot of money reducing its A340 passenger capacity to particular markets (such as LON and FRA) to that of the A330 esp. during peak months of travel.
It will be interesting.
As for the two types of aircraft they intent to have, that is a tough question. GF needs three types in total in my humble view. Two types of long-haul aircraft esp. for routes in which cargo plays an important part in route profitability, and another type for short hauls. The A330 cannot make it to Manilla (just one example) unless it is weight restricted (hence it uses 340's). GF could loose a lot of money reducing its A340 passenger capacity to particular markets (such as LON and FRA) to that of the A330 esp. during peak months of travel.
It will be interesting.
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The press release leads one to believe the 767 replacement will occur over the next three years, as mentioned above, new-build not available for some time yet...interim fleet on the horizon??? Never boring
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I heard from a GF management guy: fleet renewal in two steps:
1st Step: short term :
In the short term, they have to quickly replace the aging B767 so they might go for 340s (or 330 but as you mention earlier capacity is not the same)... and these airplanes might come "soon" (within the next 3 years as you mentionned)
2nd Step: long term :
Commitment to one manufacturer and 2 types of airplane, no more short haul airplane. it might be B787 / 777 (no 737) or A350 / A330 (no more 320). This will happen around 2010.
Future will be interesting. I read also that they aim at having 45 airplanes by 2010, is that 45 total, or 45 new airplanes?
Also I think they are about to refurbish the 340s with the "award wining" A330 Business and First Class, thanks to our Chartered Union Bank loan.
I was amazed to read in GDN, that Gulf Air newly appointed Board President(M. Kanoo) did not deny that GF could get in the future some oil subsidies ... After all every airline in the gulf is getting cheap or free oil so why not gulf air?
anybody heard about these rumours ?
BD
1st Step: short term :
In the short term, they have to quickly replace the aging B767 so they might go for 340s (or 330 but as you mention earlier capacity is not the same)... and these airplanes might come "soon" (within the next 3 years as you mentionned)
2nd Step: long term :
Commitment to one manufacturer and 2 types of airplane, no more short haul airplane. it might be B787 / 777 (no 737) or A350 / A330 (no more 320). This will happen around 2010.
Future will be interesting. I read also that they aim at having 45 airplanes by 2010, is that 45 total, or 45 new airplanes?
Also I think they are about to refurbish the 340s with the "award wining" A330 Business and First Class, thanks to our Chartered Union Bank loan.
I was amazed to read in GDN, that Gulf Air newly appointed Board President(M. Kanoo) did not deny that GF could get in the future some oil subsidies ... After all every airline in the gulf is getting cheap or free oil so why not gulf air?
anybody heard about these rumours ?
BD
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Hadn't heard about the oil/fuel, but why not?!, like you said some other carriers here do it, not too sure which ones, and to what extent...interesting times ahead for sure...
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If two fleet is the way to go, then there can be no more 320's. All will have to be wide-bodies (787 & 777 or 350 & 340 as mentioned above). Assuming the 350 and 787 will have similar (or close) operating costs, the 777 might have an advantage over the 340 esp when yoiu compare operating a 2-engine aircraft vs a 4 engine one. Last year was a record setting year for the 777 and a very bad one for the A340.
As far as I know, none of the owner states gave discounted fuel prices to GF (even AUH which is overflowing with oil), which means the loses this year could hit a record (unless the owner states help out).
As far as I know, none of the owner states gave discounted fuel prices to GF (even AUH which is overflowing with oil), which means the loses this year could hit a record (unless the owner states help out).
