SQ to lease up to 8 B777’s to BA
Apr 25, 2018, 5:29 am
#7
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Which works if oil prices remain low, but that’s not what is happening. Brent currently at $73.76/barrel, up from around 50 a year ago.
Apr 25, 2018, 6:17 am
#9
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Meanwhile, there is a twitter rumor that 2 747s are coming home from the desert in California to cover out of service 787s.
more Rockwell Collins IFE for all!
more Rockwell Collins IFE for all!
Apr 25, 2018, 7:25 am
#11
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Former Singapore A380s aren't worth having; they're pensioning off their oldest examples which are overweight (by quite a few tons).
BA short-term leasing some 777s to use their newly-acquired bonanza of LGW slots and cover for the ongoing and growing 787 problems makes a lot more sense than buying a superannuated overweight A380. Keeping hold of those slots is critical to BA's long term future.
The idea of operating older aircraft for cheap works for BA's 747s because they own them outright and they're great for cargo and hot/high airports (and BA do their own maintenance, too). So total cost of operations (lease/finance cost + fuel cost + crew cost) is acceptable because the lease/finance cost is zero. If BA bought or long-term leased old 777s they'd be paying lease/finance cost, plus more fuel, and that's not nearly as sure to be attractive.
BA short-term leasing some 777s to use their newly-acquired bonanza of LGW slots and cover for the ongoing and growing 787 problems makes a lot more sense than buying a superannuated overweight A380. Keeping hold of those slots is critical to BA's long term future.
The idea of operating older aircraft for cheap works for BA's 747s because they own them outright and they're great for cargo and hot/high airports (and BA do their own maintenance, too). So total cost of operations (lease/finance cost + fuel cost + crew cost) is acceptable because the lease/finance cost is zero. If BA bought or long-term leased old 777s they'd be paying lease/finance cost, plus more fuel, and that's not nearly as sure to be attractive.
Last edited by flatlander; Apr 25, 2018 at 7:29 am Reason: clarify long and short term
Apr 26, 2018, 8:08 am
#12
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If BA are taking SQ 772s then they are old! Mostly about 20 years so I suppose they will fit in quite well with the BA 772s. SQ use RR engines so I guess that is commonality. SQ are replacing theirs with 787-10s as the launch customer and of course there are already some replaced with A359s.
Apr 26, 2018, 8:53 am
#13
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Apr 26, 2018, 8:57 am
#14
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If BA are taking SQ 772s then they are old! Mostly about 20 years so I suppose they will fit in quite well with the BA 772s. SQ use RR engines so I guess that is commonality. SQ are replacing theirs with 787-10s as the launch customer and of course there are already some replaced with A359s.
Apr 26, 2018, 10:02 am
#15
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@Scotflyer80BA said they are interested with second hand B777-300ERs. But SQ is not selling any as their fleet planning won't allow.Mostly likely BA will take the SQ B777-200 for the interim solution. If it is for longer term it could be B77-300ER but then BA would have purchased the birds rather than lease.So it could be ex-Scoot birds or ex-SQ birds. We will have to wait and see.