May 10, 2003 at 3:56 pm
Over the next few months, at least two major orders are to be made from Aer Lingus and US Airways.
Aer Lingus Is in talks with both Airbus and Boeing to place an order to replace its short-haul fleet of 27 aircraft. Aer Lingus operates 8 B737-500s, 3 B737-400s, 4 A320s, 6 A321s and 6 BAe 146s. The airline is considering either the Airbus A320 or Boeing 737-800.
And
US Airways Is expected to place an order for several hundred regional jets shortly.
Also yesterday JAL took delivery of the 150th 777-200.
By: pierrepjc - 13th May 2003 at 08:29
Is this the order that was awaited
http://www.precise-press.co.uk/baesystems/
Paul
By: Saab 2000 - 11th May 2003 at 20:19
Well Aer Lingus were always working towards fleet commonality with the Airbus aircraft just never completed it. With Airbus they could save a lot on things like crew conversions on short haul and long haul aircraft. With political pressure does it really mater? Sure Ireland benefits hugely from the EU but Ireland and Aer Lingus are relatively small players so would it be probable that it would be up to EI alone?
I think the idea of Aer Lingus taking on AA’s 738s seems a very valid idea and certainly would give incentive to give them a good deal. Plus the dollar exchange rate is also looking pretty good. I guess it would be like Qantas all over again.
With my comment on business strategy, Aer Lingus are looking very much like Ryanair at the moment. Airbus aircraft I think have slower and tend to have more ground handling compared to Boeing, could it be a contributing factor?
By: pierrepjc - 11th May 2003 at 19:47
Consider also that Airbus are able to provide any mix across the Single Aisle Family (A318,19,20&21) during a buyers order, and with the Easy Jet order now in place the future second hand values are more assured. ie more A319 on the second hand market.
Always worth a read
http://seattletimes.nwsource.com/html/boeingaerospace/
OUR CUSTOMERS NOW HAVE CHOICES! Alan Mulally Boeing
By: mongu - 11th May 2003 at 19:17
This is becoming an interesting debate. I think they will go for Airbus:
1. Compatibility with existing A320/321 fleet and a limited amount of compatibility with their A330’s.
2. The idea that the Irish-American lobby would demand Boeings doesn’t seem to apply so much these days. By contrast, Ireland is more closely integrated in Europe than they used to be so any political lobbying (however distasteful that might be) would be directed towards Toulouse rather than Seattle.
3. Somebody mentioned the 737NG giving EI interopability with AA – well, they cooperate extensively on short hauls with BA (they share the revenues of a number of routes, esp. DUB/LHR) and BA is moving to the Airbus family.
4. I’m dubious about Kabir’s assertion that 737’s are trouncing A320’s for resale values in the 2nd hand market. But if he is right, then that is all the more reason to be expedient and sell all their 737’s rather than their A320’s, surely?
5. As a matter of opinion the A320 is too large for some of their routes. The A321 is a nice size for the short haul trunk routes and the 320 has a place too, but I see the bulk of the order being A319 based (735 to 320 is a big jump in capacity!)
By: Saab 2000 - 11th May 2003 at 17:06
Depends what sort of operation Aer Lingus is going to on short haul, if they are going low cost then there really is no need for anything smaller than a 737/A32X as the optimum size. Anyway, do they really need 146s except for LCY,which could easily be changed to BA?
By: EGNM - 11th May 2003 at 16:47
what about RJs – EI need something smaller than a B737-700 (i can’t see them going for 736) to support their regional routes currently run on 146-300s
By: petertenthije - 11th May 2003 at 15:03
I think Aer Lingus will actually go for the 737. 😮
Aer Lingus is a close partner of American Airlines, and AA has a lot of 737s on the order book. At the moment AA can not use these planes because they have an overcapacity already.
Cancelling this order will be expensive due to the fees and everything. AA can avoid the fees by accepting the 737s and selling them on to Aer Lingus.
This will make Boeing happy because no planes are cancelled. Moreover, it would make Aer Lingus a future candidate for more 737NG’s and possibly even 7E7’s(?).
AA would be very happy because they do not have to renegotiate their delivery schedule, prices etc. As a bonus it helps out a partner in need.
Aer Lingus will be happy because they receive good planes at a bargain rate. A bonus is that the planes will be delivered quickly (they are already on the production line), and are interoperable (sp?) with AA.
By: KabirT - 11th May 2003 at 14:01
Airbus has definately smaller resale value……B737 can be sold to other airlines much easily than a A320.
By: mongu - 11th May 2003 at 12:24
Originally posted by KabirT
If they are on a economic and cost-saving kick Airbus will not be the choice. B737s, cheap, efficient, and most importantly still hold the market for re-sale.
Why?
Are you saying Airbus are more expensive to operate? They certainly have no problems holding values for resale.
By: Bhoy - 11th May 2003 at 12:02
Didn’t someone say a while ago that 320 Family aircraft depreciated less in value than 737’s?
ok, I suppose that means anyone looking for a cheap second hand plane would go for a 737…
By: KabirT - 11th May 2003 at 10:33
If they are on a economic and cost-saving kick Airbus will not be the choice. B737s, cheap, efficient, and most importantly still hold the market for re-sale.
By: Saab 2000 - 11th May 2003 at 10:27
….but there are also very good ties with Europe. Anyway, who will take the old aircraft is another factor. No one wants the 146s and can you see Boeing wanting A320s and Airbus 737s? But I still ask if Airbus fits EI’s new business plan?
By: KabirT - 11th May 2003 at 10:19
Boeing will offer Aer Lingus a better deal, and seeing the ties between USA and Ireland i wont be surprised if Boeing takes it.
By: Saab 2000 - 11th May 2003 at 10:17
Would the A32X fleet suit the new Aer Lingus business plan?
By: Bhoy - 10th May 2003 at 21:10
not quite… easyjet have A319’s on order, not A320’s… 😉
By: pierrepjc - 10th May 2003 at 20:27
Yea would be a sure bet that Airbus would take the orders,—-but can’t see Boeing or their back-up boys letting go that easy.
As i write these words an Easy Jet 737 flys over my house soon to be replaced by a A320—– YES!!!!!!
I feel so better.
Paul
By: Saab 2000 - 10th May 2003 at 16:41
Generally I see an Airbus order, seems logic. With an all Airbus fleet you would have commonality on both short haul and long haul and would not cost a lot with crew conversion.