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IAG signs LOI for 200 737MAX - some for BA LGW

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IAG signs LOI for 200 737MAX - some for BA LGW

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Old Jun 18, 2019, 9:24 am
  #16  
 
Join Date: Oct 2018
Location: London, UK
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I am shocked!

Why would IAG order the 737MAX given the troubles it is having? Surely it would have been more sensible to increase their A320Neo order, unless the MAX has cheaper running costs for the low fares required at VY, VK and BA LGW.

They will also have to retrain pilots and crew for this new type!
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Old Jun 18, 2019, 9:28 am
  #17  
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Eeewww. MAX issues aside, the 737 is an inferior experience as a passenger. Very disappointing
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Old Jun 18, 2019, 9:29 am
  #18  
 
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Originally Posted by binman
BA clearly of the view that the deal they have got outweighs the risk of the "self loading freight" noticing what aircraft type it is and then knowing that two had crashed and others came close as a result of faulty software and keeping pilots in the dark.
That’s assuming it’s still only two by 2023.
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Old Jun 18, 2019, 9:30 am
  #19  
 
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List price on these being bandied about is $24bn, my guess is IAG have got them for a single digit amount.
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Old Jun 18, 2019, 9:35 am
  #20  
 
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Originally Posted by lost_in_translation
List price on these being banded about is $24bn, my guess is IAG have got them for a single digit amount.
Yes, discounts on aircraft appear to be similar to what you get off a new kitchen. 70% off list seems to be a ballpark figure.
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Old Jun 18, 2019, 9:39 am
  #21  
 
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This is surprising but surely has to be motivated by 2 things 1) availability of production slots but, more importantly, 2) one hell of a deal as Boeing gets behind the aircraft and starts the process of rebuilding market confidence. I suspect that Boeing offered planes to IAG at a price it simply couldn’t refuse - and it is important that this has been announced as an ‘intent to buy’, which presumably gives Boeing time to sort the airplane’s issues out whilst giving IAG a get out if the issues aren’t fixed as expected and/or customer confidence proves to have been permanently damaged.

It it will be really interesting to hear any market whispers around the likely size of the discount IAG obtained on the order.
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Old Jun 18, 2019, 9:49 am
  #22  
 
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Relax people - this is just an LOI to buy, it's perfect clout to get a discount off airbus and earlier delivery slots. I would start worrying when the order moves into firm and it's confirmed BA will get these ( I know they are supposed too but still seems a bit up in the air for me). 4 years to change your travel plans too!
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Old Jun 18, 2019, 9:53 am
  #23  
 
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Originally Posted by BAeuro
I am shocked!

Why would IAG order the 737MAX given the troubles it is having? Surely it would have been more sensible to increase their A320Neo order, unless the MAX has cheaper running costs for the low fares required at VY, VK and BA LGW.

They will also have to retrain pilots and crew for this new type!
The NEO is sold out for years. Boeing can delivery earlier.
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Old Jun 18, 2019, 9:56 am
  #24  
 
Join Date: Mar 2015
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Originally Posted by binman
I don't do Gatwick so this probably wont affect me but I cant say I would be willing to get on board one of these birds anytime soon. Not never but it would need to be flying a long time without incident to entice me on board.

BA clearly of the view that the deal they have got outweighs the risk of the "self loading freight" noticing what aircraft type it is and then knowing that two had crashed and others came close as a result of faulty software and keeping pilots in the dark.

I would be interested in BA pilots view and that of BALPA on this as one imagines even Walsh would have consulted on this with them ahead of putting name to paper.
"Your safety is our number one priority". But, clearly, it isn't. It's about cuts to make as much money as possible (noting the IAG share price just went up 1.5%).

Walsh needs better balance than this. It looks bad on an already down-the-hill BA, which has a very good safety record. This may not affect that, but it affects my consumer confidence.
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Old Jun 18, 2019, 10:05 am
  #25  
 
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Assuming they have got a huge discount and a cast iron get out clause if the problems aren't solved, whats not to like about this?

If it's 4 years down the line its presumably 3 years until they would have to commit and by then the Max should have over 2 years clear flying, if it doesn't have a completely clear safety record and outlook at that point just bin the deal.

I'd rather they save money this way rather than some of the other ways they have/could find savings.
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Old Jun 18, 2019, 10:11 am
  #26  
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Originally Posted by LGWClosedAgain


That’s assuming it’s still only two by 2023.


I would have thought that if it were more than two, this would kill off the 737 MAX for good so the issue would simply not arise as the aircraft would never be delivered.
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Old Jun 18, 2019, 10:11 am
  #27  
 
Join Date: Nov 2012
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Originally Posted by Trent900
The NEO is sold out for years. Boeing can delivery earlier.
There's a reason for that. I'm not happy flying on an aircraft with a design flaw that requires software to correct it. Bad move by BA
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Old Jun 18, 2019, 10:14 am
  #28  
 
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Originally Posted by RobDBA
Assuming they have got a huge discount and a cast iron get out clause if the problems aren't solved, whats not to like about this?
The fuselage is narrower than the A320 series, so the seats are also narrower. It's an inferior passenger experience compared to Airbus.
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Old Jun 18, 2019, 10:15 am
  #29  
 
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Call me naive (i'm sure some will) but the one major confidence I have in BA is that the safety of it's passengers always has and always will come first.

I'm sure that by the time it lands at Gatwick, BA's MAX's will be the safest plane in the sky, and i'd have no issue flying it.

I have confidence their pilots wouldn't touch, and BALPA wouldn't let them, if there were any doubts.

But I understand peoples reluctance.

Last edited by Sam Bee; Jun 18, 2019 at 10:56 am
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Old Jun 18, 2019, 10:17 am
  #30  
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If there is a risk of my ending up on it with BA, I'd actually start booking Easyjet ex-LGW* to avoid the inconvenience of having to offload myself from the flight upon discovering it is operated by Max.

I am intending to fully boycott this aircraft unless they fundamentally change the design (not just the software band aid).


(Besides that, I actually actively dislike 737s)

*Or more likely to fly ex-LHR and then connect to where-ever rather than flying out of LGW in the first place as it's a bit inconvenient anyway. I guess that means I'm more likely to be flying with Lufthansa Group given which way I'm heading, e.g. RHO)
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