Is Southwest Launch Customer for new Boeing

FM2436

Veteran
Jan 8, 2003
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Aviation Week article mentiones that Southwest would be a launch customer for a new Boeing narrow body aircraft.

http://www.aviationweek.com/aw/generic/story_generic.jsp?channel=aviationdaily&id=news/avd/2010/05/20/02.xml&headline=Analyst: Boeing Will Opt For New Narrowbody
 
Aviation Week article mentiones that Southwest would be a launch customer for a new Boeing narrow body aircraft.

http://www.aviationweek.com/aw/generic/story_generic.jsp?channel=aviationdaily&id=news/avd/2010/05/20/02.xml&headline=Analyst: Boeing Will Opt For New Narrowbody
I read that Monday July 19, 2010 Boeing will be unveiling the NG 737 at the Farnsborough 2010 Airshow.

News of Plane
 
Air Transport World

- 06/25/2010 -
Southwest Airlines Executive VP and COO Mike Van de Ven yesterday called on aircraft manufacturers to develop a new narrowbody aircraft, saying that today's 737NG and A320s are unable to deliver the "step change" in efficiency that the airline industry needs.

Delivering the opening keynote address at ATW's Eco-Aviation Conference in Washington, he said, "The time has come to develop a replacement to the workhorse narrowbodies." He added that today's single-aisle aircraft only enable airlines to make "marginal improvements" in fuel burn efficiency, adding that "marginal improvements won't allow us to meet our environmental responsibilities and economic challenges. Our industry needs better economics…I believe that a new narrowbody aircraft will produce one of the single most significant steps toward meeting our economic challenges."

Southwest COO pushes for narrowbody replacement
 
Southwest confirmed Friday that it is kicking the tires of Boeing Co.'s 737-800 planes, which are larger and can carry more passengers than the series -700, -500 and -300 Boeing 737s that Southwest currently flies.

Southwest Airlines looking at flying larger planes :D


Do you think that the -800 will be the LUV bird to Hawaii or is this going to start the Mexican/Canadian? The announcement makes me wonder if they test the -800 out and then venture to the -900?
 
Do you think that the -800 will be the LUV bird to Hawaii or is this going to start the Mexican/Canadian? The announcement makes me wonder if they test the -800 out and then venture to the -900?
Not sure about the 900's but the 800's can give SW scheduling flexibility by allowing for additional capacity in high-demand, slot-controlled,
or gate-restricted markets. It will also set the stage for
new long-haul route opportunities.
The consensus is...Canada :D, sometime in the future.

We're anxious to start growing our fleet again.
 
My understanding is that ETOPS certification is very costly to prove, maintain and support, and that probably has a lot to do with not having service to Hawaii.
Not that bad since a good chunk of the cost is one time only and the 737NG is already flying ETOPS (so aircraft upgrades for ETOPS have already been established). Now if WN wanted to do it with an airplane type that had never been ETOPS certified it would be a different, and much longer story. For the NG's there are two components - any equipment changes already specified for making it ETOPS capable, and the FAA ETOPS certification on the airline (mostly paperwork, some ETOPS training for crews, ETOPS certification flights and some extra maintenance checks either daily or between flights)).

More toward the thread topic, ETOPS with a theoretical 737X follow-on, who knows. Boeing would probably do the airplane qualification part of ETOPS if WN or someone else ordered an ETOPS version, so that cost would be included in the purchase price. So WN would only have to do the airline part.

Jim
 
Southwest Flight Attendants Approve 737-800 Choice
Sep 20, 2010

Southwest Airlines' flight attendants have approved an agreement with the carrier to bring 737-800 equipment into the company's fleet.

"Southwest has been evaluating the opportunity to introduce the Boeing 737-800 into our fleet as part of our domestic network, and an important step in our due diligence was to discuss contract re-opener provisions for a new aircraft with our flight attendant and pilot unions," explained Southwest Executive Vice President and COO Mike Van de Ven. If the company pursues the acquisition of 737-800 aircraft, a joint committee would meet to work on the logistical details related to scheduling and bidding procedures that adding a fourth flight attendant will require, he said. He added that the decision to add the 737-800 "still isn't final."
 
Southwest Flight Attendants Approve 737-800 Choice
Sep 20, 2010

Southwest Airlines' flight attendants have approved an agreement with the carrier to bring 737-800 equipment into the company's fleet.

"Southwest has been evaluating the opportunity to introduce the Boeing 737-800 into our fleet as part of our domestic network, and an important step in our due diligence was to discuss contract re-opener provisions for a new aircraft with our flight attendant and pilot unions," explained Southwest Executive Vice President and COO Mike Van de Ven. If the company pursues the acquisition of 737-800 aircraft, a joint committee would meet to work on the logistical details related to scheduling and bidding procedures that adding a fourth flight attendant will require, he said. He added that the decision to add the 737-800 "still isn't final."
Southwest Airlines Flight Attendants, represented by the Transport Workers Union (TWU) Local 556, have voted to ratify a tentative agreement reached with the Company in September to add the Boeing 737-800 to the current collective bargaining agreement. With this positive vote, the Flight Attendants’ current contract will also be extended by one year, becoming amendable May 31, 2013, and will include the potential for wage rate increases based on the Company’s financial performance. TWU 556 is made up of more than 9,700 Flight Attendants.

Southwest flight attendants OK contract changes
 
The 73G is too small to generate significant revenues in long haul heavily leisure oriented markets such as Hawaii. WN's cost advantage diminishes pretty quickly against the network carriers when flights approach the length of flights to Hawaii.
Even in shorter leisure oriented markets like Mexico, network carriers are able to keep costs down by using the 757 as well as widebodies with lots of seats on them.
WN's revenue formula is based on being able to pick off premium revenue with frequent service. That formula doesn't work to leisure markets.

WN likely will fly to large parts of the western hemisphere before too long but they will succeed because they will have the same type of formula for costs and revenue on longer and leisure oriented flights as the network carriers.

I do hope that Boeing moves forward with a completely new design for a narrowbody. Besides WN, AA, DL, and the new UA all will have hundreds of narrowbody aircraft that will need to be replaced in the next 5-10 years.. so there is a huge opportunity from just a few key customers. It is not lost on Boeing that they need to make a leap forward instead of the modest improvements that Airbus will make on the 320....

signed,
someone who loves Boeing but ALWAYS appreciates the extra space the 320 family offers.
 
WT,

I would agree with you that WN has been very profitable using the 737 multiple times on short hops. The -800 is being used by AS on several routes from the West Coast to HA and from ANC to HNL. Their fare's are all resaonable for last minute travel and WN could easily match them. I would assume that if WN did choose to enter the Hawaiian market that it would quickly become the top market for Rapid Rewards redemption and I'm sure that they are taking that into consideration.
 
Your correct on that Hawaii is FF redemtion flight, at American marketing keeps beging for more aircraft to fly to the Hawaiian Islands due to the FF rewards demand. I'd think it wouldn't be huge on a money maker for WN for their model is different than the other airlines. A differnt but in the seat of the plane 4-5 times at $175-$350 for aprox 2,500-3,000 miles is more profitable than $200-$500 for 1 2,500-3,000 mile nonstop stage length.

But who knows what tomorrow will bring
 

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