Emirates In Talks With Airbus To Cancel Some A380 Orders

Emirates is looking to cancel five of its last eight Airbus A380 orders. The UAE-based carrier is planning…

Emirates In Talks With Airbus To Cancel Some A380 Orders

Emirates is looking to cancel five of its last eight Airbus A380 orders. The UAE-based carrier is planning to take on three of the widebody aircraft this year but does not want the remaining three that are due to arrive after. However, Airbus is standing its ground since the planes are already in production.

Emirates and Airbus are facing a tough situation regarding future A380 deliveries. Photo: Emirates

Challenging times

Bloomberg reports that the manufacturer is proposing a deferral of deliveries or payments, rather than a full cancellation. The jumbo is just one of two aircraft types in Emirates’ commercial fleet. The other jet is also a widebody in the form of the Boeing 777. Altogether, the Dubai outfit holds 115 A380s and 153 777s.

However, complications surrounding the coronavirus pandemic have forced Emirates to ground most of its planes over the last few months. Moreover, with both of its models built with high capacity onboard, many of the flights that are still in operation may not be as efficient amid the downturn in passenger activity.

Emirates, Airbus A380, Dubai Air Show
There is plenty of space on offer throughout the cabins of Emirates’ A380s. Photo: Tom Boon – Simple Flying

Troubles with the superjumbo

The A380 has been one of the most affected planes during the virus outbreak. With all the flight suspensions put in place, most of its operators have been storing the jet. Last month, China Southern was the only carrier still flying with the aircraft.

Even before the outbreak, several airlines had already planned to retire the A380, preferring more cost-effective solutions. Subsequently, the pandemic is forcing the early retirement of the plane, with the likes of Air France stopping operations with it already.

Previously, Emirates has shared its love for the jet, initially expecting it to be part of its holdings until 2035. The firm planned for the retirement to be gradual, cutting to around 90-100 units by the middle of this decade. However, with the global health crisis creating such a massive storm within the aviation industry, it would not be a surprise to see the phasing out happen much more swiftly.

Air France, Airbus A380, Retired
Air France’s A380s will remain on the ground even after passenger activity resumes. Photo: Getty Images

A lot at stake

Ultimately, Emirates can’t just back out of the deal as there is a contractual agreement. If the terms are not adhered to, there could be penalties of up to 257 million dirhams ($70 million) per aircraft.

Therefore, the airline will be keen to reach a viable solution with Airbus as it tries to limit the damage. Nonetheless, demand will pick up again, and the firm will be able to fill up its aircraft eventually. However, for now, any reduction in cost will go a long way.

According to Bloomberg, Emirates states that it is in regular dialog with Airbus regarding its fleet requirements. Simple Flying reached out to Emirates for further comment on these talks. We will update the article with any new announcements.

What are your thoughts on Emirates’ decision regarding its Airbus A380s? Do is this a good move for the airline? Let us know what you think in the comment section.

Source : Simple Flying More   

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Lufthansa Scraps Frankfurt Airbus A380 Operations As 50% Of Fleet Retired

Lufthansa is set to end Airbus A380 operations out of its Frankfurt home. The move, as a result…

Lufthansa Scraps Frankfurt Airbus A380 Operations As 50% Of Fleet Retired

Lufthansa is set to end Airbus A380 operations out of its Frankfurt home. The move, as a result of the current aviation depression, also sees the German flag carrier retiring a seventh Airbus A380.

Lufthansa has revealed that it will end its Airbus A380 operations out of Frankfurt. Photo: Getty Images

Last week we reported that Lufthansa had sent a seventh Airbus A380 to the aircraft graveyard located in Teruel, Spain. It seems as though this aircraft also won’t return to the skies given new information reported by Aero.de. The German language Aviation site says that Lufthansa intends to trim half of its Airbus A380 operations, specifically those at its central hub, Frankfurt Airport.

Frankfurt operations scrapped

According to Aero.de, Lufthansa has decided that it will only operate the Airbus A380 from Munich. Late last year, we reported that the airline was planning to shuffle its fleet, so that half was in Frankfurt and the other half in Munich. However, this was long before the current crisis.

Since then, Lufthansa has been set back some 65 years in the space of just 65 days. This has led to the majority of the carrier’s fleet being grounded. After all, there is no point operating empty aircraft, and passengers just don’t want to travel right now.

Lufthansa, Long Haul, Grounded
Lufthansa had already decommissioned six Airbus A380s in April. Photo: Getty Images

A Lufthansa spokesperson told Aero.de:

“After considering various criteria and against the background of making Lufthansa competitive in the long term, the company decided that the A380 will only be used from Munich in the future”

What about the remaining aircraft?

Lufthansa has said that it will only operate the A380 from Munich. However, when will these aircraft fly again? The short answer is probably not for a long time. The German flag carrier is currently anticipating demand to take 2-3 years to return.

Aero.de reports that the airline sees operating the aircraft from both hubs as inefficient, both from a logistical and economic standpoint. It would be logical to assume that the Airbus A380 will likely be one of the last aircraft reactivated by the German flag carrier given its size and difficulty to fill.

Lufthansa, Airbus A380, Frankfurt
Seven Lufthansa A380s are currently in storage at Teruel. Photo: Getty Images

Indeed, adding to the previous comments, a spokesperson told Aero.de:

“The Munich A380 will remain parked, the option to reactivate it will still be available for Munich”

What’s next?

It is still very early days with regards to the industry’s long recovery process. A process that will likely take many years. However, the green shoots of recovery are beginning to poke up.

It is possible that more airlines could announce early Airbus A380 retirements before the current crisis is resolved. Indeed, just earlier today we saw Air France reveal that it would retire its entire Airbus A380 fleet effective immediately. The French flag carrier no longer saw a place for the queen of the skies in its operations.

Lufthansa, Airbus A380, Frankfurt
Earlier today, Air France revealed it had retired its remaining A380 aircraft. Photo: Getty Images

As the Airbus A380 is currently undesirable to most airlines, it is unlikely that these retired aircraft will fly again. Perhaps Hi Fly could take one or two. Although even Emirates, by far the largest A380 operator, is reportedly looking to cut five A380 orders still to be fulfilled.

Will you miss seeing the Lufthansa Airbus A380 in Frankfurt? Let us know your thoughts in the comments!

Source : Simple Flying More   

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