Company Watch - Boeing.

Boeing

Credit agency boosts Boeing's rating. Moody's Investors Service raised Boeing's credit rating for the first time in nearly nine years. Boeing has reduced its debt and boosted cash flow. Mar 16, 2006

Aer Lingus firms up A330 order as privatization looms. Aer Lingus signed a contract yesterday for the purchase of one A330-200 and one A330-300, confirming an announcement made last month.The aircraft will be delivered in mid-2007 and will be based at Dublin Airport. The dash 200 will seat 24 passengers in Premier and 245 in economy while the dash 300 will carry 24 in Premier and 303 in economy. Both will be powered by GE CF6-80E1s. The airline noted that the aircraft will be used for "new long-haul routes in anticipation of bilateral changes." The order brings the Irish flag carrier's long-haul fleet to nine A330s. Mar 15, 2006

Alaska to retire MD-80s early, transition to Boeing fleet. Alaska Airlines will speed up the retirement of its MD-80s and transition to an all-Boeing fleet by the end of 2008. Alaska Airlines will transition to an all-737 fleet by the end of 2008 by accelerating the retirement of the 26 MD-80s it planned to phase out over the next 11 years, replacing them with 39 737-800s in 2006-08 from an order placed last summer.In addition, the carrier has firm commitments for 13 737-800s, options for 24 and purchase rights for 27 in 2009 and beyond. It also is retiring its seven 737-200s by mid-2007 as well as two 737-700s that will be returned to lessors. The changes will result in a 114-aircraft fleet in December 2008 versus 110 today. The increased efficiency of the winglet-equipped dash 800s means, however, that it will grow ASMs 6% with a net gain of just four aircraft. Replacing the less fuel-efficient MD-80s will result in $118-$130 million in cost savings depending on the price of fuel, Tilden said. Cost per ASM excluding fuel will decline 0.30 cents and 0.45-0.50 cents if fuel is included. Additionally, the 737-800s seat 17 more than the MD-80s in Alaska's configuration and it expects to be able to fly them 11.05 hr. per day versus 9.86 hr. for the MD-80s, meaning 18 737-800s will do the work of 23 MD-80s. Mar 14, 2006

British Airways clarifies long-haul fleet renewal plans. British Airways denied it is at an advanced stage of negotiations with Boeing to acquire up to 20 777-300ERs that would replace some early delivery 747s from 2008, as reported on this website last week. "We have secured options on production slots with Boeing for up to 10 777s for delivery from the end of 2008 through to 2010," Planning Director Robert Boyle said, noting that at this point there is no preference for the dash 300ER. "The agreement does not specify which type. We can do this at a later date closer to the exercising of the options," he said. Boyle preferred not to disclose the financial terms of the agreement but admitted there is a "linkage" with a former option position BA held on 16 777-200ERs dating from 1998, which lapsed after 9/11. The securing of the slots came about "as we were having talks with both manufacturers on our future [long-haul] fleet requirements," he said. BA operates 43 777-200s, 21 767-300s and 57 747-400s on its long-haul routes. "We have to start thinking about the replacement of the latter two types," Boyle stated, while adding the need is "not imminent." Its oldest 747 came into service in 1989 and its first 767 in 1990. Mar 15, 2006

Cargolux emerged as the unidentified customer that placed an order for two new 747-400Fs this month. The Luxembourg-based all-cargo airline simultaneously confirmed it canceled the introduction of a used dash 400F scheduled to join its fleet this year, as that aircraft has been sold in the meantime. The new aircraft, valued at $450 million at list prices, will be delivered in summer 2007 and summer 2008 and will fill the gap until delivery of the carrier's 747-8F fleet starting in September 2009. Cargolux is the new freighter's launch customer and has announced firm orders for 10 and purchase rights for an additional 10. It currently operates 14 747-400Fs. "The 747 freighters play an important part in our business model," President and CEO Ulrich Ogiermann said. "The performance level of the 747-400 freighter within our worldwide network is a cornerstone of our results these last years. With the introduction of the 747-8 freighter by the end of 2009, Cargolux will enter a new era of increased operational efficiency, of further improved environmental performance and of an enlarged potential for better products to benefit our customers." Mar 13, 2006

Etihad Airways has introduced the first of its new fleet of Boeing 777-300ER aircraft on the carrier's daily Gatwick - Abu Dhabi service. Launched on 1 September 2004 the route has been served by leased Airbus A330s and A340s. The twin aisle aircraft is configured 28 in what the airline calls Pearl Zone, featuring 180 degree fully flat beds, and 350 in Coral Zone, which offers a seat pitch of up to 33". In both zones guests can access live television and the internet via their laptop computers, allowing them to send and receive emails using Boeing's Connexions system. The aircraft is also fitted with in-flight mood lighting which aids in reducing the draining effects of jet lag to help guests feel revitalized. Just what passengers on the new Gatwick 'bridge' made of the water spraying for the inaugural. We only hope that some took the time to explain. http://www.etihadairways.com Mar 19, 2006

Boeing and Japan Airlines signed an Integrated Material Management agreement giving the airframer responsibility for purchasing, inventory and logistics for JAL's expendable aircraft parts. Boeing and other suppliers own the parts, which are stored at a location convenient to the customer. JAL will pay for parts on an as-needed basis. Mar 16, 2006

Oasis Hong Kong Airlines acquired two 747-400s previously operated by Singapore Airlines. Aircraft will be delivered in July and enter service later this year on the Hong Kong-London Gatwick route. "They are in excellent condition and perfect for our exclusive new long-haul, nonstop services priced for the budget-conscious traveler," CEO Stephen Miller said. Mar 17, 2006