Paris Air Show Wrap Up and Other News

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SITA
More than 100 of the world’s airlines and airports gathered in Belgium this week as SITA, the air transport IT provider, celebrated its 70th anniversary. The organization, which has been at the heart of the airline industry since 1949, marked the occasion by announcing record revenues of US$1.7 billion in 2018. As SITA recorded a significant turning point in its business, it also showcased its commitment to continuous and collaborative innovation.


Upcoming Show
Aircraft Seating – On the 20 – 22nd of August, Airbus and Boeing will be joining the world’s leading Aircraft Seating Manufacturers and Airlines, at the only North American conference to focus specifically on designing and building the Aircraft Seat of the future. Join the the 4th International Innovative Aircraft Seating Conference is Seattle this August. Partner Content – Get Ready to Connect.


PARIS AIRSHOW AIRPLANE SALES SUMMARIES

AIRBUS – 383 new aircraft + 349 up-sized orders total worth $44.5 Billion (market prices). For a total of 5 different aircraft types, there were 26 customers, 82 firm orders, 236 MOU’s, 65 Options, 349 airplane model swaps.

BOEING – 292 new aircraft worth $33.9 Billion (market prices). For a total of 7 different aircraft types, there were 10 customers, 10 firm orders, 247 MOU’s/LOI’s, 25 options, and no swaps.

Editor’s Note: Remember, announced sales has 3 types: firm orders/ memorandum of understanding/ letters of intent. Please note that they are in order of expectability. If you want more data, check out ANALYSIS: Paris air show 2019 order tracker – update


AIRBUS

JETBLUE AIRWAYS
JetBlue Airways will add the A321XLR to its already large fleet of Airbus aircraft and increase its existing order for Airbus A220s. JetBlue has contracted to convert 13 existing A321neo orders into firm orders for the new A321XLR, which Airbus revealed this week at the Paris Air Show. Also, JetBlue has firmed up an order for an additional 10 A220-300 aircraft from existing options. JetBlue, a New York-based low-cost airline that differentiates itself with a high-quality passenger experience, will integrate the A321XLR and the A220-300 into its growing network of routes to a variety of key destinations. JetBlue now operates 193 A320 and A321 aircraft, has orders for 85 A321neos, and previously ordered 60 A220-300s. In April, JetBlue converted 13 A321neo aircraft in its existing order to the LR (long range) version.

FLYNAS
Flynas, Saudi Arabia’s first low-cost airline, has signed a Memorandum of Understanding (MoU) with Airbus for 10 A321XLR aircraft, the longest range variant of the A320. As part of the commitment, the airline will also upsize 10 of the A320neo it currently has on order to the A321neo. Flynas operates a fleet of 30 A320ceos and 2 A320neos. Since its inception in 2007, Flynas has set ambitious growth plans to continuously develop its fleet in order to carry more passengers. In 2018 the airline carried around 6.6 million passengers on 60,000 domestic and international flights.

The A321XLR is the next evolutionary step from the A321LR which responds to market needs for even more range and payload, creating more value for the airlines. From 2023, it will deliver an unprecedented Xtra Long Range of up to 4,700nm – 15% more than the A321LR and with 30% lower fuel burn per seat compared with previous generation competitor aircraft. This will enable operators to open new world-wide routes such as India to Europe or China to Australia, as well as further extending the Family’s non-stop reach on direct transatlantic flights between continental Europe and the Americas.

NORDIC AVIAION CAPITAL
Nordic Aviation Capital (NAC), signed a Memorandum of Understanding (MoU) for 20 A220 Family aircraft. The deal was signed at the Paris Air Show between Martin Møller, NAC Chairman and Christian Scherer, Airbus Chief Commercial Officer. NAC serves over 76 well established airline customers in 51 countries. The agreement represents the first major order for the A220 from a leading regional lessor confirming the versatility of the aircraft to support mainline and regional airline network expansion. The A220 is the only aircraft purpose built for the 100-150 seat market; it delivers unbeatable fuel efficiency and widebody passenger comfort in a single-aisle aircraft. The A220 brings together state-of-the-art aerodynamics, advanced materials and Pratt & Whitney’s latest-generation PW1500G geared turbofan engines to offer at least 20 percent lower fuel burn per seat compared to previous generation aircraft. The A220 offers the performance of larger single-aisle aircraft.

AMERICAN AIRLINES
American Airlines, the world’s largest airline, will acquire 50 Airbus A321XLR aircraft, the new longer-range version of Airbus’ hugely successful A321neo. The purchase agreement includes the conversion of 30 of American’s existing A321neo slots to A321XLRs and incremental orders for an additional 20 A321XLRs. The A321XLR will have the longest range of any single-aisle commercial jetliner. The added range of up to 4,700 nm will allow airlines to operate the aircraft from U.S. East Coast airports to medium-size European cities. As a further enhancement of the A321neo and A321LR, the A321XLR will have a maximum takeoff weight of 101 metric tonnes without sacrificing performance. The A321XLR is powered by the same engines, and has more than 90 percent commonality with the A321neo. American, based in Fort Worth, Texas, is the largest Airbus operator in the world with 422 Airbus aircraft. Including today’s announcement, American has outstanding orders for 115 A321neos and A321XLRs from Airbus.

SKYWISE
Accenture, Capgemini, FPT Software, IBM, and Sopra Steria have signed agreements with Airbus to become early adopters of the Skywise Partner Programme. As part of the programme, these world-leading companies will benefit from dedicated training and certification so they develop more robust, richer applications within Skywise on behalf of an airline. Certified partners will have access to their own working space on Skywise and to additional platform features. The Partner Programme builds on the exponential growth of the Skywise platform and aims to further accelerate innovation by connecting Skywise users with a global network of leading developers. As such, the programme paves the way for an open Aerospace ‘app-store’ to speed up the industry’s digital transformation.

ACCIPTER
Dublin-based leasing company Accipiter Holdings signed a Purchase Agreement to acquire 20 A320neo aircraft. The order, which was disclosed during the Paris Air Show by Paul Sheridan, Accipiter CEO and Isabelle Floret, Head of Leasing Markets, had been completed in March 2019, and was listed in the order books as undisclosed. The new single-aisle aircraft will further expand the portfolio of Accipiter Holdings, which aims to be a leading player in the global leasing market and is wholly owned by Hong Kong’s CK Asset Holdings Ltd. Together with Vermillion, its joint venture with Mitsubishi Corporation subsidiary MC Aviation Partners (MCAP), Accipiter manages a total portfolio of just under 150 owned and committed aircraft.

CHINA AIRLINES
Taiwan’s China Airlines (CAL) signed a Memorandum of Agreement (MoA) for 11 A321neo aircraft and will acquire another 14 aircraft of the type on lease. CAL has selected the A321neo to meet future requirements in the single aisle category. These 25 aircraft will join the Airbus fleet at the airline currently comprising 23 A330s and 14 A350 XWBs. With the A321neo, China Airlines will be able to operate their single aisle flights with unmatched levels of efficiency and comfort, benefitting from the highest commonality of the Airbus product range. The A321neo is a member of the best-selling A320 Family incorporating the very latest technologies including new generation engines and Sharklets, which together deliver at least 20 percent fuel savings by 2020. At the end of May 2019, the A320neo Family had received more than 6,500 firm orders from over 100 customers worldwide.

INDIGO PARTNERS
Indigo Partners and three of its airlines will acquire 50 of the new Airbus A321XLR long-range, single-aisle jetliners. The Memorandum of Understanding includes new orders for 32 A321XLRs and the conversion of 18 existing A320neo family orders. Indigo Partners LLC, based in Phoenix, Arizona, is a private equity fund focused on worldwide investments in air transportation. Indigo has major ownership stakes in four low-cost airlines, including Frontier Airlines (U.S.), JetSMART (Chile), Volaris (Mexico) and Wizz Air (Hungary). The four carriers now operate a combined 295 Airbus planes and, with the new commitments, have 636 on order. Twenty of the A321XLRs will be allocated to Wizz Air, 18 to Frontier, and 12 to JetSMART.


BOEING
Boeing Chairman, President and Chief Executive Officer Dennis Muilenburg reports that the board of directors  declared a regular quarterly dividend of two dollars and five and one-half cents ($2.055) per share.

Boeing and Turkmenistan Airlines announced the airline’s plan to extend its long-haul operations by adding a fourth 777-200LR (Long Range) airplane to its fleet. The commitment, valued at $346.9 million at list price, will be reflected on Boeing’s Orders and Deliveries website once it is finalized. The Boeing 777-200LR is the longest range commercial airplane in the world, capable of connecting virtually any two cities in the world nonstop. It has a maximum range of 15,843 kilometers (8,555 nmi) and carries more passengers and revenue cargo farther than any other jetliner. The 777-200LR is equipped with the powerful GE90-110B1L commercial jet engine, and can seat up to 317 passengers in two-class configuration.

ASL
ASL Aviation Holdings DAC (ASL) and Boeing signed a Memorandum of Understanding (MoU) for 20 737-800 Boeing Converted Freighters (BCF), bringing the world’s first Next-Generation 737-800 freighter conversion to 120 orders and commitments, from eight customers. The agreement includes 10 firm orders and 10 purchase rights. Operating on six continents, ASL provides network solutions to express freight integrators, transporting more than 357,000 metric tonnes of cargo in 2018. Boeing predicts that 2,650 freighters will be delivered between 2018-2037, with more than 60 percent of these deliveries comprised of passenger-to-freighter conversions. The 737-800BCF carries more payload – up to 23.9 tonnes (52,800 lbs.) – and flies farther – 2,000 nautical miles (3,750 km) compared to 737 Classic freighters. It also offers operators improved fuel efficiency, lower operating cost, and higher reliability than previous standard-body freighters.

QATAR AIRWAYS
Qatar Airways, one of the world’s leading air cargo carriers, announced a commitment to purchase five additional 777 Freighters from Boeing. The deal, valued at $1.8 billion at list prices, was unveiled at the Paris Air Show and signed in the presence of His Excellency Jassim Saif Ahmed Al-Sulaiti, Qatari Minister of Transport and Communications. Qatar Airways has rapidly grown its air cargo operations to serve more than 60 global destinations, becoming one of the top international air freight operators in the world. The latest freighter deal builds on the airline’s 777 Freighter order book as the airplane has become the backbone of Qatar Airways freighter fleet. It currently operates 23 freighters, including 16 Boeing 777 Freighters. The 777 Freighter is the world’s largest and most capable twin-engine freighter. It can fly 4,970 nautical miles (9,200 kilometers) with a payload of 224,900 lbs (102,010 kg). The airplane’s long range translates into significant savings as fewer stops mean lower landing fees, less congestion, lower cargo handling costs and shorter delivery times.

CHINA AIRLINES
Boeing and China Airlines announced the airline’s intent to order up to six 777 Freighters to modernize its cargo fleet. China Airlines plans to transition to the world’s largest and longest range twin-engine freighter as it launches operations from Taipei to North America and Europe – two key markets that provide higher yields for the carrier. The order will be reflected on Boeing’s Orders and Deliveries website once it is finalized. The 777 Freighter is capable of flying 4,970 nautical miles (9,200 km) with a maximum payload of 102,010 kg (224,900 lbs). The airplane will allow China Airlines to make fewer stops and reduce associated landing fees on these long-haul routes, resulting in the lowest trip cost of any large freighter and superior ton-mile economics. In addition, the 777 Freighter features market-leading capacity for a twin-engine freighter, accommodating 27 standard pallets, measuring 96 inches by 125 inches (2.5 m x 3 m) on the main deck. This allows for lower cargo handling costs and shorter cargo delivery times. China Airlines operates 51 Boeing airplanes. The addition of 777 Freighters will enable the carrier to streamline maintenance and parts for its 777 fleet. The carrier uses a number of Boeing Global Services solutions to support their operations, including Boeing’s Airplane Health Maintenance and Maintenance Performance Toolbox on all of their 777, 747-400 and Next-Generation 737 aircraft. These data-driven platforms track real-time airplane information, providing maintenance data and decision support tools that allow technicians to quickly and correctly resolve issues. On the ground and in the air, China Airlines’ entire fleet uses Jeppesen’s FliteDeck Pro and access to digital navigation charts to optimize performance and enhance situational awareness.


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