Qb001
Topic Author
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AC Losing 1/3 Of Its Fleet?

Fri Jun 27, 2003 12:32 pm

Apparently, this news was published in the National Post, but I could not find a link. And I'm surprised no one mentioned this on A.Net.

In essence, GECAS is threatening to get its planes back. Apparently, that represents roughly a third of AC's fleet.

For those of you who read French, you can read it here
http://www.radio-canada.ca/nouvelles/Index/nouvelles/200306/26/008-aircanagentsdebord.shtml.
Never let the facts get in the way of a good theory.
 
northstardc4m
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RE: AC Losing 1/3 Of Its Fleet?

Fri Jun 27, 2003 12:35 pm

ummm... isnt this why Air Canada is in Bankruptcy protection?????????? Doesnt it protect AC from moves like this???
Those who would give up Essential Liberty to purchase a little Temporary Safety, deserve neither Liberty nor Safety.
 
captaingomes
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RE: AC Losing 1/3 Of Its Fleet?

Fri Jun 27, 2003 12:45 pm

The bankruptcy protection only lasts so long. What confuses me though is that I read recently that the judge extended the protection to September 30th, from the original date of June 30th. GECAS is threatening to seize aircraft as soon as July.

As for this not being posted yet, it is Dash8king's job to post articles on here relating to the aviation scene in Canada, and he hasn't been doing that.  Big grin
"it's kind of like an Airbus, it's an engineering marvel, but there's no sense of passion" -- J. Clarkson re: Coxster
 
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yyz717
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RE: AC Losing 1/3 Of Its Fleet?

Fri Jun 27, 2003 12:57 pm

Aircraft seizing is more common than you think.

When VASP flew to YYZ, an MD-11 was seized by the lessor at YYZ in 1999. It sat at YYZ for months. VASP kept flying.

VARIG just had a 762 and a 772 seized in MIA and CDG, recently. Both were released after money was coughed up.

To seize 1/3 of the AC fleet would not necessarily shut down AC. It would panic the other creditors and COULD result in the entire fleet being seized though.



[Edited 2003-06-27 06:04:26]
I dumped at the gybe mark in strong winds when I looked up at a Porter Q400 on finals. Can't stop spotting.
 
steman
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RE: AC Losing 1/3 Of Its Fleet?

Fri Jun 27, 2003 6:28 pm

I know this is not strictly related to this
but maybe someone of who would like to know that one former AC (previously CP) B767-300ER has been leased by Alitalia for the summer season.
The aircraft is currently at FCO undergoing repaint and reconfiguration for AZ. Moreover it seems that AZ is having problems in finding all the documents of this a/c, which should B767-35H ER, 26389/459 first flown Oct 7th, 1992 destined to China Southern, then flew for Air New Zealand, Airtours and then Canadian Airlines which was eventually merged into Air Canada.
I am not surprised that they have problem in findings all relative docs....

Ciao

Stefano
 
syncmaster
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RE: AC Losing 1/3 Of Its Fleet?

Mon Jun 30, 2003 3:49 pm

Would Canadian Bankruptcy laws protect equipment leased from American companies though? Being that GE Capital Aircraft Services (GEACS) is in the U.S.?
 
slawko
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RE: AC Losing 1/3 Of Its Fleet?

Mon Jun 30, 2003 9:11 pm

So let me get this right here, GE Capital the company that lent Air Canada a Billion Dollars (CAD) For restructuring is now thinking about taking back the airplanes that they lease to Air Canada??? Something doesnt seem right there...
"Clive Beddoe says he favours competition, but his actions do not support that idea." Robert Milton - CEO Air Canada
 
captaingomes
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RE: AC Losing 1/3 Of Its Fleet?

Tue Jul 01, 2003 12:47 am

Slawko, that 700 million U.S. is contingent on many factors, not sure if they have all been met. Also, AC has not dipped into this money anyways.

Syncmaster, you may have a point. Maybe somebody can shed some light on that matter. All I know is the protection was extended, yet GECAS is still making the threat. With Canada 3000, they were in protection when they were threatened as well, forcing them to shut down days after entering bankruptcy protection.
"it's kind of like an Airbus, it's an engineering marvel, but there's no sense of passion" -- J. Clarkson re: Coxster