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MAB Signed MOU for 8 787-9 and 8 737 Max 8 During Najib-Trump Visit

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Since 787-9 is now thrust into the picture, perhaps MAB should establish a separate division for that kind of fleet specifically for Ultra Long Haul routes. MAB should make it work.

 

West coast of North America is within reach from KUL.

 

787-9 had always been in the picture. MH has been evaluating the 787-9 v A330neo for quite a while now. It gives MH the flexibility of continuing the regional expansion and when the numbers are right, explore the ultra long haul.

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What if MAB drops the a330neo for more 787 to replace the current a330s in the future?

If you look at the current orders of 6 A350s and 8 B787s - that is 14 aircraft, roughly similar in number to the B777s they used to have. These aircraft should be configured for the long haul network with crew rest areas.

 

They will still need a regional aircraft to operate the Asia Pacific routes. Lets wait and see whether Airbus took the warning and give them a better price this time...

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With all the talks about expansion to the US, Europe etc, does MH planning to stop with its existing agreement with Emirates? For how long the agreement has to be effective before any review to it can be done? 5 years?

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Bellew's currently in ireland overlooking at the thomson vantage solo and xl also evaluating thomson vantage config for the 787s.

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Bellew's currently in ireland overlooking at the thomson vantage solo and xl also evaluating thomson vantage config for the 787s.

And also to go home for a break?

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Boeing 737 Fleet

 

In 2016, we made 25 firm orders for the 737-MAX8 aircraft and 25 options. The aircraft were ordered as pure replacements for existing planes and arrive on the same month that the other aircraft are retired.

 

In June 2017, we made a new agreement with Boeing to allow us to choose their new larger MAX10 aircraft for 10 out of the firm order of 25.

 

In September 2017, we signed a non-binding MOU with Boeing to facilitate our negotiations with Boeing to change 8 of the firm 737 orders to 8 Boeing 787-9 Dreamliner aircraft. In addition to this, we also placed purchase rights for an additional 8 737MAX8, all while maintaining the total firm order at 25.

 

In all of this, I would like to reiterate that as of now, we have a firm order of 25 Boeing 737 aircraft with everything else being optional.

 

(text emphasis is mine)

If one is allowed to read between the lines, you do get the sense that Mr Bellew isn't particularly keen on the Dreamliner but strongly believe in the MAXes :)

See that three months after changing their mind on the mix of MAXes, they are made to change mind again to fit in the Dreamliners into their future !

Anyone else noticed POTUS' crossed arm body posture when PM was reading out MH's order proposal ? Maybe he already had a sneak peek beforehand :D

Edited by BC Tam

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After reading multiple articles on this deal, the B789 deal has stumped many. It has too great a range...

It works only if MAS is planning some long range thin routes ie US cities or European cities?

 

The A330neo has the best fit in terms of capacity, range, maintenance.

 

On a personal note, would be great if MAB flew to Hawaii with EK providing the feeder service. Not sure if there is a good enough demand though....(yes maybe too many players with AAX and Scoot in the mix)

Edited by Vicknesh PS

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After reading multiple articles on this deal, the B789 deal has stumped many. It has too great a range...

It works only if MAS is planning some long range thin routes ie US cities or European cities?

 

The A330neo has the best fit in terms of capacity, range, maintenance.

 

On a personal note, would be great if MAB flew to Hawaii with EK providing the feeder service. Not sure if there is a good enough demand though....(yes maybe too many players with AAX and Scoot in the mix)

 

That is why the general consensus is that this MoU is a politically motivated one. Lets see if it comes to fruition.

 

As for Hawaii, even Scoot is not confident of demand from SIN - that is why they are operating it via Japan. Hawaii is an expensive leisure destination and I doubt we will see a direct service anytime soon.

Edited by flee

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(text emphasis is mine)

If one is allowed to read between the lines, you do get the sense that Mr Bellew isn't particularly keen on the Dreamliner but strongly believe in the MAXes :)

See that three months after changing their mind on the mix of MAXes, they are made to change mind again to fit in the Dreamliners into their future !

Anyone else noticed POTUS' crossed arm body posture when PM was reading out MH's order proposal ? Maybe he already had a sneak peek beforehand :D

That is what I make of the situation too.

 

If PB was so convinced about the B787, he would have placed a 15-25 aircraft order with options for more, locking out the A330-900. It would be a brand new order - no need to tie it to the B737Max order.

 

They might not need to pay any more because the deposits for the Max should cover the 787 as it will be a conversion of the Max order. So this was a kind off FoC announcement.

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Maybe possible if Malaysia can be included in Visa Waiver Program.

Speaking of the VWP... MO1 seems to be eerily quiet about it after his visit. So much for the fanfare about it before the trip.

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Media statement by Malaysia Airlines on Boeing MoU


KLIA, 21 September 2017: Malaysia Airlines refers to media reports and statements regarding its aircraft fleet plans, including the Memorandum of Understanding (MoU) with Boeing recently.


We would like to reiterate that as of now, we have a firm order of 25 Boeing 737 aircraft with everything else being optional. The options, as well as a variety of other arrangements including the recent MoU with Boeing, will allow us to have some flexibility in deciding which aircraft suits our operational environment best. Malaysia Airlines will continue to carefully evaluate all options available to us to ensure our purchases make both business and operational sense. This is necessary and in line with ongoing prudent fleet management and cost containment efforts across the Group.


Please also note that funding for all aircraft are planned on a sale-and-operating leaseback or simple operational lease.


Firm Orders on Narrowbody Aircraft

Malaysia Airlines currently has 54 aircraft in its fleet of 737-800 with 48 actually operating, as six of these aircraft are being handed back to lessors in December 2017 and are currently going through a lease return maintenance programme. In 2018, we will operate 44 737-800 aircraft daily, with three in maintenance and one available spare. The 48 operating aircraft in the 737-800 fleet start reaching end of lease from early 2019.


In 2016, we made 25 firm orders for the 737-MAX8 aircraft and 25 options. The aircraft were ordered as pure replacements for existing planes, due for replacement beginning 2019 as stated above. The 737 MAX aircraft has been designed to offer customers exceptional performance, flexibility and efficiency, with lower per-seat costs and an extended range that will open up new destinations.


In June 2017, we entered into a new agreement with Boeing to allow us to choose their new larger 737-MAX10 aircraft for 10 out of the previous firm order of 25 737-MAX8. With this agreement, Malaysia Airlines can decide to take either the MAX8 or MAX10. The MAX10 aircraft are expected to commence delivery in early 2021.


Optional orders for Widebody Aircraft

As widely communicated before, Malaysia Airlines has been exploring various options for widebody aircraft, for possible delivery in 2018 and 2019, to address the rapid growth in international sales which requires additional widebody aircraft.


The recent MOU to potentially add eight of the widebody Boeing 787-9 Dreamliner aircraft to our fleet from Quarter 3 in 2019 is to add capacity to the airline’s widebody fleet and provide a high level of quality on its most lucrative routes. The 787-9 has one of the longest ranges of any commercial aircraft and can operate non-stop from Kuala Lumpur to any point in Europe as well as key cities on the west coast of the United States. The same aircraft can similarly operate high quality services to Tokyo or flights of up to 17 hours, offering great flexibility for the airline to manage a variety of market opportunities over the next 20 years.


The list price for the eight Boeing 787-9 Dreamliner aircraft is some USD$2.5 billion. The airline will negotiate extensively to ensure the best value on confirmation of order.


If the order is confirmed, the initial 787-9 Dreamliner deliveries are planned for operating Asian services. The growth of the Malaysian economy and the increasing globalisation will allow these aircraft to commence new long haul services from 2020 onwards if sufficient profitable demand exists.


The airline is also considering options with either used Airbus A330-200/300 or new Airbus A330neo aircraft for expansion and replacement of existing aircraft.

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MAS: Dr M's claims on aircraft purchase 'quite inaccurate'
Read more at https://www.malaysiakini.com/news/396488#8aKfvMo0gvzU7APL.99

 

.....

 

“I have read everything on the blog; some of it has been reported to me. A lot of it is quite inaccurate, and nobody contacted me or our company to check any of the stuff that was on there.

“I believe the essence of it was that somebody said we are not buying the aircraft and other kinds of stuff. We do plan to conclude the deal to buy the aircraft directly off Boeing

 

..... wasn't there something written recently about the birds to be leased from lessors instead as that is the thing to do nowadays, if they do conclude some deal to bring them in at the end of the day that is :)
Edited by BC Tam

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Haha, Dr. M accusing MAS purchasing aircraft to please Najib in the expense of sensible business decisions.

 

In case he had gotten too old and forgot it all, wasn't he the guy who initiated this during his time as a PM!?

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PB's answer is weird. Normally an aircraft is purchased around a plan but this one sounds like a plan has to be made around the aircraft purchase.

 

I do hope he is not leaving the ship soon citing "family" as an excuse.

He is indeed leaving. So it took just 32 days. Always trust your gut feeling.

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Not necessarily so, SQ's deal is for the 787-10, not the 787-9 which MH promised to talk about with Boeing - devil in the details sort of perspective

Furthermore, that SQ's current CEO isn't a foreign mercenary recruited to undertake savage retrenchments and purported cost slashes (tasks which likely no right thinking local 'talent' worth his/her salt would have dared taken on at start anyway) all in the name of salvaging an already sinking ship (well, sort of anyway) and whose said tasks have now been largely accomplished ...... but then, what do I know ?! :D

Edited by BC Tam

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SIA have already concluded this deal with Boeing earlier this year. This is just more of a PR show as PM of Singapore is there to meet Trump.

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SIA have already concluded this deal with Boeing earlier this year. This is just more of a PR show as PM of Singapore is there to meet Trump.

For MH, it was the total opposite.

 

PR show dictates that MH will do a song-and-dance about the possibility of buying the 789s and the possibility of more Boeing products.

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PR show dictates that MH will do a song-and-dance about the possibility of buying the 789s and the possibility of more Boeing products.

Not a squeak further on GE engines for Air Asia though :)

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