Boeing 737-823 New Configuration Orders & Replacement of MD-80 (consolidated)
Feb 23, 2007, 10:18 pm
#1
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Boeing 737-823 New Configuration Orders & Replacement of MD-80 (consolidated)
AA managment has finally realized that their MD80's are not fuel efficient.
Various press releases today from AA filings. Rip Van Gerard must have finally woke from a time warp in the executive suites in Dallas.
"AMR, which intends to trim costs by $300 million in 2007, has said it needs to replace its fuel-guzzling Boeing MD-80 airplanes".
Can they buy/lease lots of Eagles with 1800 mile range?
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MODERATOR'S NOTE
This thread focuses on orders of AA's new Boeing 738 aircraft and the replacement of the MD-80 fleet. Discussion of the rollout of these new aircraft, with specifications, videos, and first-hand experiences can be found in the sister thread here:
http://www.flyertalk.com/forum/ameri...solidated.html
dstan
AA Forum Co-Moderator
Various press releases today from AA filings. Rip Van Gerard must have finally woke from a time warp in the executive suites in Dallas.
"AMR, which intends to trim costs by $300 million in 2007, has said it needs to replace its fuel-guzzling Boeing MD-80 airplanes".
Can they buy/lease lots of Eagles with 1800 mile range?
----------------------------------------------------------------------------------------------------------------------------------
MODERATOR'S NOTE
This thread focuses on orders of AA's new Boeing 738 aircraft and the replacement of the MD-80 fleet. Discussion of the rollout of these new aircraft, with specifications, videos, and first-hand experiences can be found in the sister thread here:
http://www.flyertalk.com/forum/ameri...solidated.html
dstan
AA Forum Co-Moderator
Last edited by dstan; Apr 14, 2009 at 12:45 pm
Feb 23, 2007, 10:26 pm
#2
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Feb 23, 2007, 11:14 pm
#3
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AA says may need more money before able to replace aging, gas-guzzling MD-80s
http://yahoo.reuters.com/news/articl...mktNews&rpc=44
CHICAGO, Feb 23 (Reuters) - AMR Corp., parent of American Airlines, on Friday said it may need to raise additional funds as it considers replacing some of its older aircraft.
While AMR said it should have sufficient liquidity to fund operations for the foreseeable future, the parent of the world's largest airline said it may require more cash to manage its debt and pension obligations in the next several years.
[...]
AMR identified several possible sources of new funding, including issuing shares, selling and leasing back some of its aircraft, and issuing bonds or debt backed by new aircraft deliveries.
But the company said the availability of financing is jeopardized by its level of indebtedness -- it had $16.3 billion in net debt at the end of 2006 -- and by historically weak revenues, high fuel prices and low credit ratings.
[...]
AMR, which intends to trim costs by $300 million in 2007, has said it needs to replace its fuel-guzzling Boeing MD-80 airplanes.
The carrier, which has been Boeing Co.'s largest customer historically, said in its filing that it is evaluating the benefits of replacing some of its older aircraft before 2013.
[...]
CHICAGO, Feb 23 (Reuters) - AMR Corp., parent of American Airlines, on Friday said it may need to raise additional funds as it considers replacing some of its older aircraft.
While AMR said it should have sufficient liquidity to fund operations for the foreseeable future, the parent of the world's largest airline said it may require more cash to manage its debt and pension obligations in the next several years.
[...]
AMR identified several possible sources of new funding, including issuing shares, selling and leasing back some of its aircraft, and issuing bonds or debt backed by new aircraft deliveries.
But the company said the availability of financing is jeopardized by its level of indebtedness -- it had $16.3 billion in net debt at the end of 2006 -- and by historically weak revenues, high fuel prices and low credit ratings.
[...]
AMR, which intends to trim costs by $300 million in 2007, has said it needs to replace its fuel-guzzling Boeing MD-80 airplanes.
The carrier, which has been Boeing Co.'s largest customer historically, said in its filing that it is evaluating the benefits of replacing some of its older aircraft before 2013.
[...]
Feb 23, 2007, 11:34 pm
#4
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That is going to be one MASSIVE airplane order when it happens. 
Feb 24, 2007, 12:14 am
#5
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What's 300 738s/797s among friends? 
Feb 24, 2007, 12:15 am
#6
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DC-9 -> MD-80 -> B717. Boeing did not make the MD80s that AA is flying around... why can't reporters ever get anything related to aviation right?
Feb 24, 2007, 12:27 am
#7
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Actually, Boeing did. It was just called McDonnell Douglas at the time.
Feb 24, 2007, 1:21 am
#8
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I feel like Arpey is positioning for a buyout and huge personal payday. Putting out this kind of story - 'gee we need a lot of financing but all the options are unsatisfactory' - seems to me to be part of that process.
Feb 24, 2007, 2:12 am
#9
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http://www.embraercommercialjets.com...ts/emb_190.asp
As long as they install some type of Premium Class seating [Like AC and US]and can get Eagle type Union Agreement, this is ideal and only 2 FA's. Plus Seat Back Video System.
http://www.aircanada.com/en/about/me...raer_cabin.jpg
As long as they install some type of Premium Class seating [Like AC and US]and can get Eagle type Union Agreement, this is ideal and only 2 FA's. Plus Seat Back Video System.
http://www.aircanada.com/en/about/me...raer_cabin.jpg
Feb 24, 2007, 2:30 am
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More info in http://flyertalk.com/forum/showthread.php?t=664079 this thread, which was sitting on the front page about 5th from the top when this one was started.
Feb 24, 2007, 4:15 am
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More info in http://flyertalk.com/forum/showthread.php?t=664079 this thread, which was sitting on the front page about 5th from the top when this one was started.
Feb 24, 2007, 6:27 am
#12
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Sounds like the PEK route
Hey Gerald,
You need money and manpower. You announced PEK with no pilots agreement. Now you announce the need for aircraft with....tah dah...no pilots agreement. See http://www.flyertalk.com/forum/showthread.php?t=663248
You need money and manpower. You announced PEK with no pilots agreement. Now you announce the need for aircraft with....tah dah...no pilots agreement. See http://www.flyertalk.com/forum/showthread.php?t=663248
Feb 24, 2007, 7:19 am
#13
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It's just an excuse to park the S80s in the desert and replace them with RJs.
Feb 24, 2007, 7:51 am
#14
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It's also a tactic for negotiating a new contract. Is is management saying, hey pilots, play nice and we'll get some nice shinny new airplanes for you.
Feb 24, 2007, 11:00 am
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MD's to go?
What's next, I thought the 717's they did have from the TW merger would have been great, and they just missed that opportunity when Airtran and Midwest grabbed the last two. Would Boeing reopen the assembly line for , let's say an order of 250? Beats the RJ's. What real alternative do they have except more 737-800's unless they go the Embraer route (175-190 that is).Or the reengine program , I bet they could get a really great deal on IAE V2500's and winglets or maybe the BMW/RR 715's.Much better than NW's hushkitted nines.