Ceilidh From , joined Dec 1969, posts, RR: Posted (12 years 2 weeks 2 days 22 hours ago) and read 1724 times:
FedEx cancels Swissair order
Mon, 26 Nov 01 - 12:02
American courier service Federal Express has cancelled a deal with Swissair, to buy 15 of the collapsed airline's McDonnell Douglas wide-body jets. According to an article in Flight International magazine today, FedEx has decided to suspend the deal in an effort to 'rein in capacity.' Swissair was rescued from bankruptcy by a last minute Government loan earlier this month and has since restructured around its former subsidiary Crossair.
Reuters reports today that the MD-11 was already an unpopular model of aircraft even before the industry slowdown began a year ago and that since September 11th, demand has been almost totally wiped out. The 15 Swissair jets, which the company had leased from its own unit Flightlease, are to be held by a group of unnamed banks until another buyer can be found.
Gibberish From Switzerland, joined Sep 2000, 424 posts, RR: 2 Reply 4, posted (12 years 2 weeks 2 days 21 hours ago) and read 1497 times:
Those are excellent aircraft and they're in very good shape. I really do wonder what will happen to them.
At least some of them will stay at Crossair until they too will eventually have to be replaced. They'll stay longer than they were planned to at Swissair, no doubt. That's cool though because the MD-11 is one of my favorite aircraft.
Swissair has a current total of 19 MD11, so what will happen to the other 4 (ex-LTU) aircraft?
Aviasian From Singapore, joined Jan 2001, 1472 posts, RR: 15 Reply 15, posted (12 years 2 weeks 2 days 6 hours ago) and read 1101 times:
MD-11s unpopular with passengers?
Not me . . . or my friends who have flown in them! They are spacious, they are powerful . . . really powerful and have superb take-offs!
I flew on HB-IWB and HB-IWN (Swissair asia) about five weeks ago, and I love it. Also enjoyed my flight on the MD-11s of EVA Air, Thai Airways International, Finnair, Malaysia Airlines (lsd fm World AW) and JAL.
Perhaps we will soon see them operating Haj flights for Garuda . . . in hybrid colours please.
VH-BZF From Australia, joined Oct 1999, 796 posts, RR: 0 Reply 17, posted (12 years 2 weeks 2 days 3 hours ago) and read 1049 times:
This was from the Reuters news service:
Fedex drops buy of 15 Swissair wide-bodies - Flight
Monday November 26, 6:04 AM EST
LONDON, Nov 26 (Reuters) - U.S. express shipper Fedex Corp (FDX) has dropped a plan to buy 15 McDonnell Douglas MD-11 wide-body airliners from collapsed Swissair Group (SWSZn), industry weekly Flight International reported on Monday.
Unnamed banks would end up owning the planes, which Swissair operates on lease from its own Flightlease unit, Flight said.
The magazine quoted the lessor as saying the deal had been "suspended". Fedex was trying to rein in capacity, it said, citing industry sources.
Swissair is trading under protection from creditors and has debts exceeding assets. It is expected eventually to be wound up, with some of its operations undertaken by affiliate Crossair AG (CROZn).
The group's bankruptcy had entitled Fedex to cancel the planes, but the U.S. company would still be interested in the planes if it could get them in two or three years, Flight said.
Whoever eventually buys the MD-11s is unlikely to pay as much as Fedex agreed to pay for them in 1998, and the loss of value may be carried partly by the banks who financed them.
The MD-11 was already an increasingly unpopular type of aircraft before the global aviation sector entered a slowdown a year or so ago. Then the September 11 attacks crushed demand for air travel, leaving the industry with little interest in operating types that are fairly costly to run, such as the MD-11.
Before the attacks, 15 MD-11s would have been worth almost $1 billion, depending on their age.