American Airlines orders 460 Boeing and Airbus aircraft

[freegeeks]

One of the biggest order in aviation history!!!
New planes are badly needed, just flew Brussels-San Francisco-Las-Vegas-Chicago-Brussels with AA and I have to say they are pretty ghetto, very old planes.
Big win also for airbus, AA just like the other big US carriers is mostly a Boeing shop

http://www.bbc.co.uk/news/business-14222042

 

[EagleKeeper]

Allows AA to replace the old MD frames that they are still using

 

[Dulanic]

I primarily fly AA and I will be happy to not have to fly on one of those MD80s lol. They should have started this years ago and done it over a longer period of time.

 

[PottedMeat]

is it true that AA is basically snapping up all the 737/A320's being produced for the next ~2 years?

 

[ichy]

Potted Meat: Some of the planes they've ordered are still being designed, so I doubt that's the case.

From what I understand the main reason this order was split was because it was easier for AA to get the enormous amount of financing they needed that way.

 

[a777pilot]

The best part of this announcement is that something should have done years ago is part of this total restructuring, they are finally going to sell of American Eagle. This along with the new aircraft purchases should allow them to concentrate on their core business.

I don't like the Airbus part of this but then I understand it is a political reality.

 

[Thump553]

Bigger win for Airbus than Boeing (260 vs. 200 planes), and big loss for Pratt & Whitney-no P&W engines ordered at all (they are trying to break back into this market segment).

From what I've heard Potted Meat has a point-this deal is supposed to soak up basically all the production capacity for a few years, leaving the other airlines out to dry.

 

[PottedMeat]

Bigger win for Airbus than Boeing (260 vs. 200 planes), and big loss for Pratt & Whitney-no P&W engines ordered at all (they are trying to break back into this market segment).

From what I've heard Potted Meat has a point-this deal is supposed to soak up basically all the production capacity for a few years, leaving the other airlines out to dry.

anyone know who's providing the engines? GE? Rolls?


an article mentioned AA has option for 100+ planes, maybe boeing could come out ahead

 

[a777pilot]

Both Boeing and Airbus have inked massive orders for new aircraft during the past few months at various air shows world wide. This AA deal is just a part of the totals.

 

[ichy]

I don't like the Airbus part of this but then I understand it is a political reality.

God forbid that a private, for-profit company buy a product that meets their needs

Apparently conservatives are all for capitalism and free markets until it conflicts with their jingoism.

 

[a777pilot]

God forbid that a private, for-profit company buy a product that meets their needs

Apparently conservatives are all for capitalism and free markets until it conflicts with their jingoism.

Actually, I was only speaking as a retired AA Captain. But now that you mention it, I wish AA had bought more Boeing aircraft. Not only is Boeing a better product is it made in the USA.

Thanks for the reminder.

 

[ichy]

Actually, I was only speaking as a retired AA Captain. But now that you mention it, I wish AA had bought more Boeing aircraft. Not only is Boeing a better product is it made in the USA.

So what? Aren't you in favor of capitalism and free markets? If you are then you should want AA to buy from whatever company offers them the best deal. "Buy American" is just another form of socialism.

 

[alphatarget1]

Airbus aircrafts aren't safe as safe as Boeing aircrafts. Look at AF447.

 

[ichy]

Airbus aircrafts aren't safe as safe as Boeing aircrafts. Look at AF447.

Are you retarded? AF447 was the first in-service crash of an A330 (one crashed without passengers during testing) EVER. Compare that to, oh I don't know, every other widebody airliner in service.

 

[Genx87]

Some of these airlines need to drop their older models for more fuel efficient birds. Delta is still using DC-9s from Northwest that were acquired from Northwest's merger with Republic airlines in 1986. Embraers, A319s, and 737s are great candidates to replace those old ass planes.

 

[ichy]

Delta's DC-9s may be old fuel guzzlers but they're also fully paid for. Airlines need to balance the cost of fuel against the cost of paying for new airplanes.

 

[BlahBlahYouToo]

So what? Aren't you in favor of capitalism and free markets? If you are then you should want AA to buy from whatever company offers them the best deal. "Buy American" is just another form of socialism.

it is? i thought it was protectionism.

i'm pretty conservative and in favor of capitalism, but i put my country above all else.

 

[K1052]

is it true that AA is basically snapping up all the 737/A320's being produced for the next ~2 years?

Not exactly, the A320neo won't see deliveries until 2015-16 and the 737 re-engine about a or so year after. Part of the orders are for current production models.

I think the larger issue is production slots. Boeing holds a lot of the 737 slots for their best customers on top of the several year backlog of firm orders for the plane. American wants to cut fuel costs by dumping the rest of the MD-80s and 757s on a schedule that's more aggressive then Boeing's production capacity can meet. That and I assume Airbus made American a rather good deal to crack back into majors which have been very heavily (or exclusively) Boeing for decades.

This happened before when American bought the A300s since Boeing couldn't churn out the 767s as fast as American needed them. I assume the willingness to purchase Airbus on occasion also keeps Boeing pricing down.

 

[Genx87]

Delta's DC-9s may be old fuel guzzlers but they're also fully paid for. Airlines need to balance the cost of fuel against the cost of paying for new airplanes.

They are also fully depreciated.

 

[ichy]

it is? i thought it was protectionism.

i'm pretty conservative and in favor of capitalism, but i put my country above all else.

If you believe that a company should buy American rather than buying the product that is best for their business then you are not in favor of capitalism.

 

[K1052]

Delta's DC-9s may be old fuel guzzlers but they're also fully paid for. Airlines need to balance the cost of fuel against the cost of paying for new airplanes.

Delta will be done phasing them out of the fleet by next year.

Their operating costs were way too high. Factor what you've be paying in fuel versus the financing cost of a new or newer plane and the decision is made.

 

[werepossum]

God forbid that a private, for-profit company buy a product that meets their needs

Apparently conservatives are all for capitalism and free markets until it conflicts with their jingoism.

Apparently progressives are all for America until it threatens their European socialism.

Whee! I never would have imagined it, but it IS fun being mindless!

Hint: Conservatives are for America.

 

[ichy]

For America? America is about free trade, free markets and capitalism. That means you buy the best product at the best price, regardless of where it was made. Liberals are often even worse about being pro-free trade.

 

[Thump553]

Potted Meat: According to the local paper, AA is going to use LEAP-X engines from CFM (partnership of GE & Safran from France) to power the new 737s. I don't know what engines will be used in the other planes.

 

[PottedMeat]

Potted Meat: According to the local paper, AA is going to use LEAP-X engines from CFM (partnership of GE & Safran from France) to power the new 737s. I don't know what engines will be used in the other planes.

ah thanks -

looks like half will be older A320s -
with IAE V2500 series or CFM International CFM56-5 series

and the other half will be A320neos with -
CFM International LEAP-X and the Pratt & Whitney PW1100G