Aeroflot finally decides on longhaul aircraft: A350XWB

[Pieter C. 5]

Aeroflot Picks Airbus A350s For Long-Haul

 

March 15, 2007

Russian airline Aeroflot will sign a contract within the next few weeks to buy 22 of Airbus's proposed new long-distance A350 planes instead of Boeing 787s, its chief executive Valery Okulov said on Thursday.

 

"Our documents for buying the Airbuses are in a fairly high state of readiness. The deal will be done in the next few weeks," Okulov told reporters. "Yes, we're signing for 22, and it's a firm contract."

 

He said the delivery of the planes would begin in 2015 under a financial lease agreement. In the meantime, the firm would use Airbus A330s under an operating lease. They will be delivered in the fourth quarter of 2008.

 

Russia's state-owned bank VTB holds a 5 percent stake in Airbus's parent company EADS.

 

"The contract for the 787s is frozen," Okulov said. "It's hard to say how deep that freeze is."

 

(Reuters)

 

Personally, I believe the current 'frozen' relationship between Russia and the USA has something to do with this too...

 

[TW Teo 0]

That in addition to 80 A350s from Qatar! Much needed boost for Airbus.

[Andrew Ong 1]

Official annoucement from Airbus and Aeroflot on the order of 22 A350XWB:

 

Aeroflot commits to Airbus A350XWB

22 March 2007

 

The Russian flag carrier Aeroflot signed today the Memorandum of Understanding for 22 Airbus A350XWB aircraft. Aeroflot's decision brings the total number of orders and commitments for the Airbus A350XWB to 248. Aeroflot will also further increase its Airbus fleet with ten new A330-200s, which will be acquired on operating lease.

 

Aeroflot was the first Airbus customer and operator in Russia, with A310s entering service back in 1992. It was also the first airline in the CIS to operate the A319 and A321. Aeroflot currently operates 26 A320 Family aircraft, and is amongst the leading operators of the type in terms of operational reliability and daily utilization.

 

"When we launched the A350XWB programme, we set our sights on a totally new aircraft, with the widest fuselage in its category, offering unprecedented levels of comfort in the 270 to 350 passenger segment. This aircraft will meet the challenge of high fuel prices, rising passenger expectations and increasing environmental concerns. The outstanding result is unprecedented comfort, combined with the lowest operating costs and lowest seat mile cost of any aircraft in this category. We are delighted Aeroflot has chosen our aircraft for its next generation long-haul fleet", said Fabrice Bregier, Airbus COO.

 

Conceived from the outset as a family of aircraft, the A350XWB will be available in three basic passenger versions, carrying between 270 and 350 passengers with ranges up to 8,500 nm / 15,750 km, at a cruise speed of Mach 0.85. There will also be a freighter version as well as an extra long range passenger version. Moreover, the fly-by-wire A350 XWB will have handling and flight deck operational commonality allowing airlines to benefit from the Airbus family concept of cross crew qualification and mixed fleet flying.

 

According to its latest Global Market Forecast, Airbus estimates the demand for passenger and freighter aircraft in this category, for the next 20 years, at some 5,700 planes representing 41 per cent in terms of value of all new aircraft delivered above 100 seats.

 

So far Airbus has more than 1,100 aircraft in the A330/A340/A350 family range on order.

 

Airbus is an EADS Company.

 

[Pieter C. 5]

Lot's of aircraft purchases are politically motivated: why isn't Cubana buying Boeing aircraft, just to name one airline ?

 

Besides, Aeroflot is a large Airbus operator already, making it easier and 'cheaper' for the cockpitcrew to type-rate...

[Pieter C. 5]

Some other (positive) Aeroflot news:

 

Aeroflot this week confirmed that it achieved a RUB7.98 billion ($309.4 million) profit in 2006, a figure nearly identical to a third revision reported last month and representing a 32.3% increase from 2005 earnings of RUB6.03 billion. "Reliability of annual financial statements is confirmed by the conclusions of the auditing commission and corporate auditor," SU said. Revenue rose 13.5% to RUB71.35 billion on an 8.7% gain in passenger numbers to 7.3 million. Pre-tax profit climbed 36.7% to RUB11.43 billion.

 

Separately, SU announced an expansion of its St. Petersburg operation, which it considers "one of the priority directions of development." From June 1 it will operate flights to Munich (thrice-weekly), Berlin Schoenefeld (twice-weekly) and Hamburg (twice-weekly) aboard A320 family aircraft. "With respect to priority development of tourism in St. Petersburg in 2008, Aeroflot plans to resume regular flights from St. Petersburg to North America and Japan," it said. It also announced the May 18 launch of five-times-weekly Moscow Sheremetyevo-Surgut service aboard Tu-154Ms.

 

 

[Pieter C. 5]

If Finnair ain't operating into KUL before 2010, you guys won't be able to see them at all anymore :

 

Finnair said it will sell the last two MD-11s it owns to Aeroflot. The aircraft will be transferred in November 2008 and July 2009. Value of the sale is at least €30 million ($40.6 million). Finnair operates seven MD-11s, five of which are under leasing agreements that expire by the end of 2010, when it plans to have retired all MD-11s and operate a long-haul fleet of A330s and A340s.

[Pieter C. 5]

Russia Links EADS Stake To Joint Aircraft Deal

 

May 21, 2007

Russia sees no benefit in holding on to its stake in aerospace firm EADS if it does not strike a deal on the joint production of new-generation aircraft, a Kremlin aide said on Monday.

 

Russia's state-controlled VTB bank holds a 5 percent stake in EADS. Russia's state-run United Aviation Corporation (UAC) is in talks with EADS on joint production.

 

"If there is partnership between EADS and UAC on joint aircraft production, then it makes sense to talk about stakes. If there is no partnership, there is no benefit in holding that stake, and there is no sense in keeping it," President Vladimir Putin's senior economic aide, Arkady Dvorkovich, told reporters.

 

(Reuters)

 

[Pieter C. 5]

Aeroflot is really in an expanding mood

 

See this story:

 

Aeroflot, which remains alive in the bidding for SkyTeam partner Alitalia, also has made an offer to buy Serbia's Jat Airways, according to press reports. Serbian Minister of Infrastructure Velimir Ilic told reporters in Belgrade that SU offered to settle Jat's debts, purchase new aircraft and maintain the carrier's workforce. The Russian carrier reportedly is not the only interested buyer. "So far Aeroflot has made the best and the most concrete offer," a Jat official told Reuters. The airline reported a $5 million profit in 2006, according to the news agency.

 

Separately, SU told Reuters that it planned to borrow €800-€900 million ($1.08-$1.21 billion) to finance its bid for the Italian government's stake in Alitalia and is considering Eurobonds to refinance the debt.

 

[Pieter C. 5]

Another airline aiming for JAT:

 

Air-India Considers Alliance With JAT

 

June 4, 2007

Air-India is considering a strategic alliance with Serbia's state-owned carrier, Jugoslavenski Aerotransport (JAT), and may bid for a stake at a later stage, an official for the Indian airline said on Monday.

 

"We are conducting due diligence and the first step would be a strategic alliance," a spokesman for Air-India said.

 

"They are open to the idea of Air-India as a strategic partner, and we might then take an equity stake if we are able to agree on the valuation and sharing of profits," he said.

 

The two airlines had been in talks for several months, and the due diligence of the Serbian carrier was scheduled to be completed by the end of the month, the spokesman said.

 

"A joint venture or partnership will help us extend our footprint in Europe and we can consolidate routes in markets such as North America and Australia," the Air-India spokesman said.

 

The Financial Times reported on Monday that Air-India was considering an offer for JAT, setting up a potential bidding war with Russia's Aeroflot.

 

Serbia's government has said the privatization of JAT would be among its priorities. A JAT official recently said Aeroflot had made the best proposal so far for JAT.

 

Air-India, India's state-owned international carrier, is in the process of being merged with domestic carrier Indian to take on growing competition in the fast-growing Indian market.

 

(Reuters)

 

[KK Lee 5]

Believe for A350 XWB to be more popular, Airbus should offer a shorten version (220 pax in 3 class configuration).