Qantas cancels order for 35 Boeing 787-9s
By: SIVA GOVINDASAMY SINGAPORE
Qantas has cancelled an order for 35 Boeing 787-9 aircraft to reduce capital expenditure.
Deliveries of 15 787-8s to Jetstar, its low-cost subsidiary, will continue as planned, adds Australia's flag carrier.
The 787-8s will allow the transfer of Airbus A330s from Jetstar to Qantas Domestic, and the eventual retirement of Qantas's Boeing 767 fleet.
The group will retain and bring forward 50 787-9 options and purchase rights by two years, with the aircraft available for delivery from 2016 if needed.
The Oneworld carrier says that the cancellation will help it to reduce capital expenditure commitments by $8.5 billion.
Total cash inflow from the restructuring will be $433 million, with $355 million coming in the 2012/13 financial year alone. These will result in a net impact on underlying profit before tax (PBT) and statutory PBT of approximately $140 million, to be recognised in the first half of 2012/13, says Qantas.
"Qantas continues to practice disciplined capital management and, in the context of returning Qantas International to profit, this is a prudent decision," says chief executive Alan Joyce.
He adds that Qantas has "always maintained flexibility in its fleet plan and made changes when required".
The carrier says that it has "substantially completed" its fleet renewal programme, with 114 new aircraft delivered over the past four years. The average scheduled passenger fleet age is 8.3 years, the lowest since privatisation in 1995.
Qantas has 12 A380s in service across its long-haul network and will complete the reconfiguration of nine Boeing 747-400s by late 2012. Boeing 737-800s will continue to enter the Qantas Domestic fleet, and A330s will be transferred from Jetstar as the 787-8s are delivered to the low-cost carrier.
Jetstar's domestic and Asian fleet requirements will be met over the long term by the existing A320 order book and the arrival of the 787-8s, says Qantas.
http://www.flightglobal.com/news/articles/qantas-cancels-order-for-35-boeing-787-9s-375734/
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Qantas cancels 35 firm 787-9s, posts full-year loss
By Christine Boynton | August 22, 2012
Qantas (QF) has canceled firm commitments for 35 Boeing 787-9s - and reported an A$244 million ($255.1 million) net loss for the year ended June 30.
Its year-end results represent the first net loss QF has reported since it was privatized in 1995 (ATW Daily News, July 6) and is a reversal from the A$249 million net profit earned last year.
Under its altered delivery plan, QF will retain 50 787-9 options and purchase rights, available for delivery from 2016; the cancelation will reduce capital expenditure by US$8.5 billion at list prices, the Group said. Receipt of the first 787-9 will be delayed two years due to the restructure. There are no changes to its plans for the 787-8, with the first of 15 scheduled for delivery in the second half of 2013.
"Qantas continues to practice disciplined capital management and, in the context of returning Qantas International to profit, this is a prudent decision," QF Group CEO Alan Joyce said. "The 787 is an excellent aircraft and remains an important part of our future. However, circumstances have changed significantly since our order several years ago. It is vital that we allocate capital carefully across all parts of the Group.”
Full-year revenues increased 5.6% to A$15.7 billion while fuel costs leapt 18% to A$4.3 billion. Results included one-off costs of A$398 million which QF attributed to its international network turnaround plan and a loss of A$194 million from the grounding of its fleet in November due to industrial action (ATW Daily News, November 29, 2011).
“Qantas has been through an exceptional period in its history over the past 12 months,” Joyce said, adding, "Qantas’ international turnaround plan is on track and set for improvement in 2012/13."
QF in 2009 canceled orders for 15 787-9s, bringing its order book for the aircraft to 50 (ATW Daily News, June 29, 2009), and in May deferred deliveries of Airbus A380s, reducing capital expenditure in 2012-13 by about US$400 million (ATW Daily News, May 7).
"We have 12 A380s in service across our long-haul network and the reconfiguration of nine 747s will be complete by late 2012,” Joyce said. “Boeing 737-800s will continue to enter the Qantas Domestic fleet as part of the Group’s existing fleet plan, while Airbus A330s will transfer from Jetstar as 787s are delivered. And Jetstar’s domestic and pan-Asian fleet requirements will be met over the long-term by our existing A320 order book and the arrival of 787-8s.”
The group launched its new low cost subsidiary in early July (ATW Daily News, July 3), one month after being put on a ratings watch by rating agency Standard & Poor’s which cited concerns about the Group’s international business (ATW Daily News, June 8).
“We appreciate the airline’s full confidence in the 787 Dreamliner with 15 firm orders for 787-8s and options / purchase rights for 50 787-9s,” Boeing said in a statement. “We are committed to working with Qantas to meet its fleet requirements today with 787-8s and 737-800s, and we stand ready to serve them with 787-9s to meet their long-haul fleet needs into the future. Operating in a dynamic environment, our customers’ overall fleet needs evolve and change, and our objective is to support their needs and work with them to adapt as necessary.”
http://atwonline.com/aircraft-engines-components/news/qantas-cancels-35-firm-787-9s-0822
By: SIVA GOVINDASAMY SINGAPORE
Deliveries of 15 787-8s to Jetstar, its low-cost subsidiary, will continue as planned, adds Australia's flag carrier.
The 787-8s will allow the transfer of Airbus A330s from Jetstar to Qantas Domestic, and the eventual retirement of Qantas's Boeing 767 fleet.
The group will retain and bring forward 50 787-9 options and purchase rights by two years, with the aircraft available for delivery from 2016 if needed.
The Oneworld carrier says that the cancellation will help it to reduce capital expenditure commitments by $8.5 billion.
Total cash inflow from the restructuring will be $433 million, with $355 million coming in the 2012/13 financial year alone. These will result in a net impact on underlying profit before tax (PBT) and statutory PBT of approximately $140 million, to be recognised in the first half of 2012/13, says Qantas.
"Qantas continues to practice disciplined capital management and, in the context of returning Qantas International to profit, this is a prudent decision," says chief executive Alan Joyce.
He adds that Qantas has "always maintained flexibility in its fleet plan and made changes when required".
The carrier says that it has "substantially completed" its fleet renewal programme, with 114 new aircraft delivered over the past four years. The average scheduled passenger fleet age is 8.3 years, the lowest since privatisation in 1995.
Qantas has 12 A380s in service across its long-haul network and will complete the reconfiguration of nine Boeing 747-400s by late 2012. Boeing 737-800s will continue to enter the Qantas Domestic fleet, and A330s will be transferred from Jetstar as the 787-8s are delivered to the low-cost carrier.
Jetstar's domestic and Asian fleet requirements will be met over the long term by the existing A320 order book and the arrival of the 787-8s, says Qantas.
http://www.flightglobal.com/news/articles/qantas-cancels-order-for-35-boeing-787-9s-375734/
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Qantas cancels 35 firm 787-9s, posts full-year loss
By Christine Boynton | August 22, 2012
Its year-end results represent the first net loss QF has reported since it was privatized in 1995 (ATW Daily News, July 6) and is a reversal from the A$249 million net profit earned last year.
Under its altered delivery plan, QF will retain 50 787-9 options and purchase rights, available for delivery from 2016; the cancelation will reduce capital expenditure by US$8.5 billion at list prices, the Group said. Receipt of the first 787-9 will be delayed two years due to the restructure. There are no changes to its plans for the 787-8, with the first of 15 scheduled for delivery in the second half of 2013.
"Qantas continues to practice disciplined capital management and, in the context of returning Qantas International to profit, this is a prudent decision," QF Group CEO Alan Joyce said. "The 787 is an excellent aircraft and remains an important part of our future. However, circumstances have changed significantly since our order several years ago. It is vital that we allocate capital carefully across all parts of the Group.”
Full-year revenues increased 5.6% to A$15.7 billion while fuel costs leapt 18% to A$4.3 billion. Results included one-off costs of A$398 million which QF attributed to its international network turnaround plan and a loss of A$194 million from the grounding of its fleet in November due to industrial action (ATW Daily News, November 29, 2011).
“Qantas has been through an exceptional period in its history over the past 12 months,” Joyce said, adding, "Qantas’ international turnaround plan is on track and set for improvement in 2012/13."
QF in 2009 canceled orders for 15 787-9s, bringing its order book for the aircraft to 50 (ATW Daily News, June 29, 2009), and in May deferred deliveries of Airbus A380s, reducing capital expenditure in 2012-13 by about US$400 million (ATW Daily News, May 7).
"We have 12 A380s in service across our long-haul network and the reconfiguration of nine 747s will be complete by late 2012,” Joyce said. “Boeing 737-800s will continue to enter the Qantas Domestic fleet as part of the Group’s existing fleet plan, while Airbus A330s will transfer from Jetstar as 787s are delivered. And Jetstar’s domestic and pan-Asian fleet requirements will be met over the long-term by our existing A320 order book and the arrival of 787-8s.”
The group launched its new low cost subsidiary in early July (ATW Daily News, July 3), one month after being put on a ratings watch by rating agency Standard & Poor’s which cited concerns about the Group’s international business (ATW Daily News, June 8).
“We appreciate the airline’s full confidence in the 787 Dreamliner with 15 firm orders for 787-8s and options / purchase rights for 50 787-9s,” Boeing said in a statement. “We are committed to working with Qantas to meet its fleet requirements today with 787-8s and 737-800s, and we stand ready to serve them with 787-9s to meet their long-haul fleet needs into the future. Operating in a dynamic environment, our customers’ overall fleet needs evolve and change, and our objective is to support their needs and work with them to adapt as necessary.”
http://atwonline.com/aircraft-engines-components/news/qantas-cancels-35-firm-787-9s-0822
