So there would be a need for a complete new product to cater to this market.”Īcumen Aviation © 23 March All Rights Reserved. But the economics of the operation given the higher lease rentals may not make it the most suited option. The B787-8 may be a larger wide body aircraft but can be toned down to be a good alternative to the B757 and 767 products. But unless there is a viable alternative for the B757 and 767, there is likely to be a void which cannot be filled in simply by stretching the existing narrow body aircraft to the structural limits. An immersive, multi-discipline education program for the commercial aviation industry, presented by ISTAT, in partnership with PwC National Experimental Polytechnic University of National Armed. Today’s narrow body aircraft (A320 family and B737 family) are able to cater to the entire narrow body market spectrum but are also pushing the boundaries of the middle of market segment. However, as the narrow body jets have increased in size and capacity, this band has been shrinking. Historically, the B757 and 767 programs have been successful in catering to the middle of market segment with the ideal range and passenger pay load capacity that was demanded in this segment. The A321 is ideally the answer, at least for now.Īmeya Gore commented “I agree with the views being presented here on this subject.There is a void created by the B757 phase out which is not being adequately addressed and the 190-280 seat segment is not being addressed by any of the current Boeing products.Cancellations must be emailed for refunds to be issued. No refunds for registrations cancelled after 27 February 2017. After that time, there will be a cancellation fee of 500 until 27 February 2017. 250 processing fee for all other cancellations before 9 January 2017. However, at the other lessor and appraiser panels, the general view was that the A321 is a more suitable product in that segment. Cancellation Policy: 100 cancellation fee for airline members.Boeing did show significant indications that the Boeing 737 Max 10 product will be coming into the market and that they are focussed on getting that product through certification.The Middle of Market segment was an important topic being discussed at the ISTAT americas with Airbus showcasing the A321 to be the answer to this segment. In the sixth of our Thought Leadership series Ameya Gore AVP-Asset Management last week attended the ISTAT Americas conference in San Diego and discusses Boeing MoM (Middle of Market) project. But with the profit margins being stretched to the limit, the financial community may want to play it safe and place their bets on the mature product lines rather than the new products, especially in the existing single aisle and twin aisle markets.”Īcumen Aviation © 16 March All Rights Reserved.Thought Leadership: ISTAT Americas Boeing MoM project There could be some innovative solutions coming into the market and we might hear some new products being launched. Middle of market segment being watched closely but will remain a grey area with the phase out of B757 and B767 products.Īmeya Gore commented “It will be interesting to see how the next 2 -3 years pan out for the industry.Interesting to see the Large Regional Jets market in the near future as we see the Bombardier C -Series, Embraer E2 Jets and Mitsubishi Regional Jets (MRJ) programs gain traction. In 2017, SAS sold two slot pairs to American Airlines for US 75,000,000.Thereafter, depending on the market situation, we may see a downward trend. Peak of the financial cycle still another 2-3 years away.Demand for narrow body single aisle aircraft will be continue to be upward.Fuel prices expected to be stable for the next 2-3 years at least.In the fifth of our Thought Leadership series Ameya Gore AVP-Asset Management last week attended the ISTAT Americas conference in San Diego and discusses the industry outlook for the next 2-3 years. Thought Leadership: ISTAT Americas Industry Outlook
0 Comments
Leave a Reply. |