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SIA orders more A380s, A350s for capacity growth, fleet renewal

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Just in:

 

Singapore Airlines has decided to buy five more Airbus A380 superjumbos and another 20 A350s for additional capacity growth and fleet renewal.

 

The order is worth US$7.5 billion at list prices, the airline said on Wednesday.

 

More info: http://www.straitsti...-a350s-20121024

 

FlighGlobal also tweeted that Scoot will take over SQ's 20 B787 on order. And SQ is to end EWR and JFK non-stop service.

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SIA will continue to stop hiring of cadet pilots as the global economic slowdown begins to rear its head over this part of the region.

SIA's fiscal year ended March showed a 40% drop in profit.

Flying cadet-pilots on B777 will have their flight time shortened from 60 to 50 hours a month.

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Good for Airbus to get a repeat order for the A380 from another customer after EK.

 

The additional order of A350s and the transfer of the B787s to Scoot might indicates (at least to me) that the former is far superior than the latter.

 

It is sad that the 2 world's longest non stop services are going to be terminated. I suppose it is due to the current economic condition which may resulted in demand to plunge. I wonder what will SQ do to the the 5 frames of A345 that are doing these ultra long non stop mission. Are they going to be retired, sold to 3rd parties or kept within the fleet while waiting for the economic condition to improve (it's cyclical anyway) in a few years time and relaunched the non stop services?

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Looks like Scoot has not much choice but to cover JetStar's B787 services. Otherwise, it will not be able to match their operating costs.

 

SQ has decided that the A350s are more suited to their network than B787s. Looks like they think that the B787s are still too small for them.

 

I wonder what will SQ do to the the 5 frames of A345 that are doing these ultra long non stop mission. Are they going to be retired, sold to 3rd parties or kept within the fleet while waiting for the economic condition to improve (it's cyclical anyway) in a few years time and relaunched the non stop services?

I think Airbus are prepared to buy them back - see below PR.

 

SIA To Place US$7.5B Order For More A380s and A350s

 

24 October 2012

Singapore Airlines has agreed to order five more Airbus A380s and another 20 A350s for additional capacity growth and fleet renewal.

 

The firm order commitments are valued at US$7.5 billion based on Airbus’ published list prices. Deliveries are due to begin in 2017.

 

SIA currently operates 19 A380-800 superjumbos and already had firm orders in place for 20 A350s, for delivery from 2015. As with the earlier A350 order, the A350-900 variant has been selected for the 20 additional aircraft, all powered by Rolls-Royce Trent XWB engines. Trent 900 engines will power the additional A380s.

 

“This major order will provide us with additional growth opportunities and is consistent with our longstanding policy of maintaining a young and modern fleet. It demonstrates our commitment to the Singapore hub, and our confidence in the strength of the market for premium full-service travel,” said SIA CEO Mr Goh Choon Phong.

 

“The aircraft will enable us to further enhance our network, providing more travel options to our customers. They will also feature the next generation of in-flight cabin products to keep us at the forefront of airline product innovation.”

 

SIA’s A380s now serve 10 destinations, namely Frankfurt, Hong Kong, London, Los Angeles, Melbourne, New York, Paris, Sydney, Tokyo and Zurich, and they have carried more than 9 million passengers since entering service on 25 October 2007. The A350s are intended for use on medium and long-haul routes.

 

As part of the deal, Airbus has agreed to acquire SIA’s five A340-500s, which will be removed from service in the fourth quarter of the 2013 calendar year, in line with the Airline’s policy to maintain a young fleet. This will result in the cessation of non-stop flights between Singapore and Los Angeles and between Singapore and Newark, in the absence of replacement aircraft in the SIA fleet with sufficient range and operating economics.

 

“Although disappointing that we will be halting these services, we remain very committed to the US market. Over the past two years we have increased capacity to both Los Angeles and New York by deploying A380 superjumbos on flights via Tokyo and Frankfurt. We will also continue to explore additional options to enhance our US services,” added Mr Goh.

 

With the new commitments announced today, SIA will have firm purchase or lease orders in place with Airbus and Boeing for 68 new widebody aircraft, including 15 additional A330-300s and eight additional B777-300ERs ordered last year. This excludes 20 B787s on firm order that will be transferred to low-cost subsidiary Scoot to support its growth plans, as well as regional arm SilkAir’s recent order commitments for at least 54 B737 aircraft.

 

Source: Singapore Airlines

Edited by flee

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Singapore Airlines to order more A380s and A350 XWBs

 

 

Maximum comfort and efficiency for medium and long haul routes

 

24 October 2012

Singapore Airlines (SIA) has announced that it will order 25 more widebody aircraft from Airbus, comprising five double deck A380s and 20 A350-900s. The aircraft will be operated on the carrier’s long range and regional services, offering maximum comfort and efficiency for high density and medium capacity routes.

The latest A380 order will be the third to be placed by the airline, bringing the total number of A380s ordered by SIA to 24. The airline, which was the launch operator for the A380, now has 19 aircraft in service, flying to 10 destinations in Europe, the US and the Asia-Pacific region from its Singapore base. In the mid-size category, the new A350 XWB order will see the airline double its backlog for the all-new aircraft to 40. The A350-900s will be used by the airline on both medium and long haul routes.

 

“This major order will provide us with additional growth opportunities and is consistent with our longstanding policy of maintaining a young and modern fleet. It demonstrates our commitment to the Singapore hub, and our confidence in the strength of the market for premium full-service travel,” said Goh Choon Phong, CEO, Singapore Airlines. “The aircraft will enable us to further enhance our network, providing more travel options to our customers. They will also feature the next generation of in-flight cabin products to keep us at the forefront of airline product innovation.”

 

“This announcement from one of the world’s most prestigious carriers underscores the unrivalled comfort and efficiency offered by Airbus widebody aircraft,” said John Leahy, Chief Operating Officer, Customers, Airbus. “As Singapore Airlines has shown, the A380 has proven itself to be a game changer at the top end of the market. We are now set to bring new levels of efficiency to the mid-size segment with the arrival of the A350 XWB. We are extremely proud to count Singapore Airlines as a leading airline partner on both of these innovative aircraft programmes.”

 

Since first entering service with Singapore Airlines in 2007, the A380 has joined the fleets of nine world class carriers. Typically seating 525 passengers in three classes, the aircraft is capable of flying 8,500 nautical miles or 15,700 kilometres non-stop, carrying more people at lower cost and with less impact on the environment. The spacious, quiet cabin and smooth ride have made the A380 a firm favourite with passengers, resulting in higher load factors wherever it flies. To date, Airbus has recorded 257 firm orders for the A380 from 20 customers.

 

The A350 XWB (Xtra Wide-Body) is an all-new mid-size long range product line comprising three versions and seating between 270 and 350 passengers in typical three-class layouts. The new Family will bring a step change in efficiency compared with existing aircraft in this size category, using 25 per cent less fuel and providing an equivalent reduction in CO2 emissions. Scheduled for entry-into-service in 2014, the A350 XWB has already won 558 firm orders from 34 customers worldwide.

 

Source: Airbus

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General assumption is that they won't be letting any pilots go, voluntarily or otherwise with the freeze in cadet pilot intake?

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Airbus is taking back all the 345. How awesome SIA is in closing deals :good:

 

What a turn of event eh ? Just a few years ago, SIA was operating an almost all Boeing planes. Anyway, this means SIA now has 40x Airbus 350 on order. It is a logical choice i guess. 3-3-3 on the 350 certainly is more comfortable than the 787 in a similar seating configuration.

Edited by Isaac

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SQ A350.

 

420486_10151238535958679_882068265_n.jpg

 

This is the latest computer-generated picture of our A350s, which are to be delivered from 2015. Together with today's announcement, Singapore Airlines has a total order of 40 of these medium to long-haul aircraft!

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SQ A350.

 

420486_10151238535958679_882068265_n.jpg

 

This is the latest computer-generated picture of our A350s, which are to be delivered from 2015. Together with today's announcement, Singapore Airlines has a total order of 40 of these medium to long-haul aircraft!

 

Heavily inspired by the B787s... It feels like Samsung Galaxy 1 vs. iPhone 3GS.

 

Airbus is taking back all the 345. How awesome SIA is in closing deals :good:

 

Agreed! What a way to get rid of something others do not want!

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Airbus is taking back all the 345. How awesome SIA is in closing deals :good:

 

What a turn of event eh ? Just a few years ago, SIA was operating an almost all Boeing planes. Anyway, this means SIA now has 40x Airbus 350 on order. It is a logical choice i guess. 3-3-3 on the 350 certainly is more comfortable than the 787 in a similar seating configuration.

It's quite common in aviation industry to trade in some 'unwanted'/ older aircraft, rather than letting the airline to decide to scrap it or fall into your competitor's hand. The infamous one would be SQ's A343 fleet trade in with Boeing for B777 order in 1998. I think Airbus is more than willing for make leeway to satisfy their customers. Maybe Thai Airways, Qatar Airways and Emirates can also engineer same agreement.

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It's quite common in aviation industry to trade in some 'unwanted'/ older aircraft, rather than letting the airline to decide to scrap it or fall into your competitor's hand. The infamous one would be SQ's A343 fleet trade in with Boeing for B777 order in 1998. I think Airbus is more than willing for make leeway to satisfy their customers. Maybe Thai Airways, Qatar Airways and Emirates can also engineer same agreement.

Not exactly common as SIA is the one that has been doing this again and again :)

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Yes, SQ are tough negotiators and they know that it will be difficult to dispose of the A345s in the open market without substantial losses. For Airbus, a mere 5 frames would not be an issue and the same should go for RR, who could use the Trent 500s as spares for their Total Care support packages.

 

It would appear that the A380s were ordered to replace SQs first 5 (9V-SKA to 9V-SKE) planes. These are leased from Doric Asset Finance and SQ will have the option of extending the leases if biz is good and they need the new A380s for capacity expansion. Alternatively, the aircraft could be returned and be replaced by the newer and improved versions of the A380 that will be delivered at that time (from 2017). We can expect SQ to order more A380s in future, as their A380 fleet ages.

 

As for the B787-9s heading to TZ, SQ realises that they do need a unique selling proposition as flying with used B772s was never going to be a long term measure. Well, SIN will see both JQ and TZ flying B787s. Very interesting developments in the LCC market.

Edited by flee

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Scoot to consider a mixed 787 fleet

 

 

 

Long-haul low-cost carrier Scoot could take a mix of Boeing 787s instead of all 20 of the -9 variants ordered by its parent Singapore Airlines.

Details are being worked out with Boeing and Scoot would ideally like to have a mix of aircraft, say company sources. This could include both the -8 and the prospective -10 variants.

The airline declines to comment on the possible mix and will only confirm that the order, as it stands, is for 20 -9 variants.

SIA ordered the 20 aircraft in 2006 for delivery between 2011 and 2013, but the massive delays to the 787 programme mean that the first aircraft will not arrive until 2014. The Star Alliance carrier has since ordered 40 Airbus A350-900 aircraft, including 20 that it announced on 24 October.

The airline also said on 24 October that the 787s will be transferred to Scoot, which began operations earlier this year on medium and long-haul routes out of Singapore. It says the first aircraft will start arriving from late 2014.

Scoot's fleet comprises four Boeing 777-200s that it acquired from SIA and refurbished for its own use and the airline says it expects to receive only one more of the type before the 787s begin to arrive. Having a small fleet of five aircraft is likely to allow Scoot to focus on increasing their utilisation and keeping its costs low.

The airline flies to Sydney and Gold Coast in Australia, Bangkok, Taipei in Taiwan and various destinations in China. It will fly to Tokyo's Narita airport from Taipei starting 29 October. It has also signed an interline agreement with SIA associate Tiger Airways, a Singapore-based short-haul low-cost carrier.

 

http://www.flightglo...7-fleet-378060/

Edited by alberttky

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The additional order of A350s and the transfer of the B787s to Scoot might indicates (at least to me) that the former is far superior than the latter.

 

Well, up to this end, the 787s have seen much stronger demand worldwide than the A350. I don't think this new decision is due to either being superior or inferior. After all, it is not a fair assessment at this juncture because the A350 is still in development.

 

The transfer to Scoot is largely because of the aging 772 frames. It is paramount that Scoot keeps its operational costs considering its low-cost outlook. As for SQ, the 787 was meant as a replacement for the 772. Right now, SQ has a steady stream of leased A333 coming in taking over most of the 772 routes. So, unlike Scoot, there is no urgency for replacement as of yet and SQ still has to shed off all of those leases. The 787 coming oin would have resulted in an over-bloated fleet.

 

The A350 was probably the likely candidate as SQ often likes to keep its fleet young and refreshed. So, the A350 was a natural choice over the 787 considering it would come into service as a brand new aircraft at the end of the decade.

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If I remember correctly, the A333 leases are for 6 or 7 years only. That was perhaps why SQ issued a top up order of 15 A333s.

 

The A350-900 will probably begin its deliveries to SQ in 2015 - so they will gradually replace the B772s and early leased A333s. I think that SQ has decided that the A350 is more suitable for their network.

 

As for Scoot, this looks like a change in thinking. I read somewhere that their B772 fleet will now be pegged at 5 aircraft and the 6th aircraft in their fleet will be the B787. CAPA has also done an analysis that came to the conclusion that Scoot needs smaller aircraft to ply the thinner routes: http://centreforaviation.com/analysis/sias-scoot-needs-feed-from-tiger-airways-and-smaller-aircraft-to-achieve-profitable-growth-84407

 

Lets wait and see how all this pans out! :)

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Airbus: Singapore Airlines Firms Up Order for More A380, A350 XWB Aircraft

By Nadya Masidlover | Dow Jones Newswires | 11 January 2013 Friday

 

Singapore Airlines Ltd. (C6L.SG) has firmed up an order for more Airbus A380 and A350 XWB aircraft, Airbus said Friday.

 

Airbus, a unit of European Aeronautic Defence & Space Co. NV (EAD.FR), said Singapore Airlines firmed up an order for 25 more wide-body aircraft, including five of the A380 model, and 20 A350-900s.

 

The move comes after the airline made an initial order in October valued at US$7.5 billion.

 

Singapore Airlines has placed three consecutive orders for the A380, making it the second-largest customer of the model, and it now has 19 of the aircraft in service.


Read more: http://www.foxbusiness.com/news/2013/01/11/airbus-singapore-airlines-firms-up-order-for-more-a380-a350-xwb-aircraft/#ixzz2HfBBXqbZ

 

 

 

Edited by xtemujin

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I was surprised to see 9V-SKC in ZRH last week. As far as I know, this one has Y seats in the upper deck. Wonder if it was just a seasonal C class downgrade?

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Singapore Airlines to bump up A380 seat count in revenue push

 

SINGAPORE (Reuters) - Singapore Airlines (SIAL.SI) will spend $850 million to increase the overall seat count by up to a quarter in its fleet of A380 superjumbos, and halve the number of first-class suites, as it seeks to combat lower airfares and boost its competitiveness.

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