Can Someone Clarify This?

[PHX PHLyer]

Link


US filed this with the SEC. This certain statement struck me:

In addition, on October 2, 2007, US Airways and Airbus entered into a term sheet which, subject to US Airways' board approval, will add an additional five A330-200s to the Airbus A330 Purchase Agreement.

I don't know exactly if this means subject to board approval will bring the firm order count to 15, or subject to board approval this will bring the purchase rights to 5 or up by 5. But there was mention earlier in the filing about A330-200 purchase rights.

The Airbus A330 Purchase Agreement provides for the purchase by US Airways of ten firm order A330-200 aircraft, with deliveries in 2009 and 2010. The Airbus A330 Purchase Agreement also provides US Airways with purchase rights for the acquisition of additional A330-200 aircraft, subject to certain terms and conditions.

So what's going on here? Anyone know. Are they looking to take firm order of 15....possibly to get rid of the 767-200s ASAP (rather than keeping some initially to allow growth) and then add an extra 5 for growth before the A350s begin to arrive?

Maybe USA320 or someone who either has some knowledge or 'claims' to can comment. Or maybe even kinglobjaw can press speed dial and talk to Kirby.

 

[YVINTERN]

If this is the case...I would hope that US keeps the 767s and use them on Transcons unlike those slave ships outta Vegas or the Airbus Series(319/320/321)..

Seriously who uses A319s on DCA-PHX but the flight loads I saw weren't too terrible.

 

[nycbusdriver]

I would hope that US keeps the 767s and use them on Transcons unlike those slave ships outta Vegas or the Airbus Series(319/320/321)..

I can see the configuration for LAS now. Row 1 would be first class (6 seats) and 393 squeezed into coach for a total of 399. After all, we don't want 400 and have to pay for another flight attendant.

 

[usfa304]

How true...LAS Shuttle....what a marketing concept

 

[NAPAUS]

If this is the case...I would hope that US keeps the 767s and use them on Transcons unlike those slave ships outta Vegas or the Airbus Series(319/320/321)..

Seriously who uses A319s on DCA-PHX but the flight loads I saw weren't too terrible.

767's cant fly into DCA, Dulles yes. Would be great for US to fly 767's coast to coast. They cant get them off transatlantic quick enough- they are in dire need of TOTAL ( not piecemeal ) refurbushing- ASAP!

 

[USstew23]

767's cant fly into DCA, Dulles yes. Would be great for US to fly 767's coast to coast. They cant get them off transatlantic quick enough- they are in dire need of TOTAL ( not piecemeal ) refurbushing- ASAP!

It's a shame!! Those airplanes are wonderful, easy to work, and they've never failed me. I'd love to see them stay around and be used on domestic/Caribbean/Latin America/Hawaii. They've been put to the test, used and abused and still serve us well. They've still got a lot of life left in them and should be used accordingly. After all is said and done there will still be some 757's left in the fleet and with the commonality could still fit in.

 

[CynicalResAgent]

I could have sworn back in the day I saw a L10 in DCA once.

 

[rvolkcpa]

Link
US filed this with the SEC. This certain statement struck me:
I don't know exactly if this means subject to board approval will bring the firm order count to 15, or subject to board approval this will bring the purchase rights to 5 or up by 5. But there was mention earlier in the filing about A330-200 purchase rights.
So what's going on here? Anyone know. Are they looking to take firm order of 15....possibly to get rid of the 767-200s ASAP (rather than keeping some initially to allow growth) and then add an extra 5 for growth before the A350s begin to arrive?

Maybe USA320 or someone who either has some knowledge or 'claims' to can comment. Or maybe even kinglobjaw can press speed dial and talk to Kirby.

We had our first flight on a 330-200 about 3 weeks ago. It was an Air France flight from EWR to CDG, with a 321 connecting flight to NAP. The 330-200 was very comfortable, and the Air France Tempo coach service made it the best transatlantic flight I've ever been on. We returned on an Alitalia 777-200 from FCO to EWR. In the past I've never given much thought to seating configuration, but the 2-4-2 of the 330 was much better than the 3-3-3 on Alitalia. I thought there were going to be some fist fights prior to our Rome departure, because so many couples were split up on the 777.

 

[zethya]

The 5 additional 332s are OPTIONS and not part of the 10 332 firm Order/Contract. If US exercises the Option for 1 or more at some future time, then they become part of the Order, but are (likely) subject to different delivery dates by Airbus. I would guess an example of this would occur if US had to actually acquire several (2-4) new 340-300s for Asia as substitutes for the same number of 332s (an existing contract provision), because they were not 2nd source available. This reduction in 332s (767 replacements) could then be offset by exercising the Option.

 

[JMM]

Yes we are getting them to start PHX-FRA and PHX-LHR.

KIDDING! But, that is the latest rumor out of PHX.

 

[FlyDCJets]

Yes we are getting them to start PHX-FRA and PHX-LHR.

KIDDING! But, that is the latest rumor out of PHX.

Additional A330-200's are being looked for delivery next year (2008) that would replace the B767's on TAs. The B767's would be transfered to transcon domestic, Hawaii.....

"News and Film at 11"
Regards
DC

 

[zethya]

Additional A330-200's are being looked for delivery next year (2008) that would replace the B767's on TAs. The B767's would be transfered to transcon domestic, Hawaii.....

"News and Film at 11"
Regards
DC

I find that hard to believe. US using 767s for transcon would be a significant departure from current conservative strategies and surely erode profit. Hawaii - possibly, but that was always a possibility after the 332s arrive in 2009/2010. 332s by June 2008 would require them to be in the production queue now. It's not impossible and I'd love to see that to enable TLV, Moscow and/or Istanbul next year. Further, I really doubt Parker would actually remove any 767s from high Yield TA routes, even if he got a few early 332s, in order to place them on relatively lower yield Hawaii or transcon routes. IF (and a BIG IF) US gets any 332s in 2008, I'd speculate they'd be for added destinations and the 767s would essentially remain where they are (with their new Envoy suites). I'd like to be wrong on this and so would the majority of US transcon FFs.

 

[zethya]

After reviewing the (new) filing more thoroughly, this is my interpretation:
They revised and finalized the entire Agreement with AIRBUS to the following:
a. Firm Order for 10 332s for delivery in 2009/2010, which was really the original Order, but now marked as a "New" Order.
b. Instead of canceling the "Old" 10 - 332 Order, they Optioned it for deliveries in 2014 and 2015. Possibly as a backup for the A350-XWB.
c. They added 5 additional 332s to the Purchase Agreement and there is no mention of "options", or delivery dates for these aircraft, as I earlier thought. However that may still be the case. As I mentioned earlier, I believe these may be replacements (offsets) for any 332s which would be automatically canceled in favor of 2-5 new A340-300 purchases - if a 2nd source cannot be found in the next few months. I have always believed that if Parker wants India and more Asia, in addition to China, he will need 4-6 A340s or face possibly insurmountable competition by waiting until 2014. That gives a total of 25 potential 332s/340s through 2015 - a phenomenal increase in previous strategy.
d. They clarified that 18 of the 350-XWBs are - 800s and 4 are -900s, which previously they had not done.

In summary, US could have a fleet of at least 47 new long haul aircraft by 2015, if they exercised all the options.
I'm a little suspicious Parker is doing this based only on his own current (stand alone) growth plans. In any event, it certainly moves US into the big (or at least bigger) league of international carriers.

 

[ALCARLOS]

After all, we don't want 400 and have to pay for another flight attendant.

Another FA would not be good.

 

[Clipper]

Additionally, according to the link and the official SEC filings the order for 15 318s seem to still be on the books. I was under the impression that the orders were converted to 320s...what gives?