atcboy73
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More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:04 am

I think we were talking about Cebu's need to replace its fleet here a few weeks ago.

But I have not seen anything on it in the last few weeks.

Any news?
 
cwapilot
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:05 am

Cebu has apparently gone with A319s
Southside Irish...our two teams are the White Sox and whoever plays the Cubs!
 
cwapilot
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:06 am

See the "Cebu has Chosen Its Aircraft" thread.
Southside Irish...our two teams are the White Sox and whoever plays the Cubs!
 
AGrayson514
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:09 am

There is nothing official in that thread though...
Give a little bit...
 
dutchjet
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:19 am

Has there been any official announcement from anyone that Cebu did in fact order the A319?

There is also the issue of financing to think about, does Cebu have the resources to finance/lease a fleet of new aircraft, regardless of whether those aircraft are A319s, 717s or something else? Are banks, financial markets and/or the leasing companies going to take a change with Cebu and brand new aircraft? Based upon history, the Phillippines is a difficult enviornment for air carriers, and the resources required to acquire new aircraft are quite different that picking up used airliners on the second-and market. Maybe Cebu has made a decision concerning the A319 and is now trying to figure out how to pay for the aircraft.
 
BR715-A1-30
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:31 am

Why would CEBU, or any airline for that matter replace DC9s with something other than the 717? That is my question.
Puhdiddle
 
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solnabo
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 3:34 am

BR715-A1-30:
Maybe they´re tired of butt-engines, and 717 is not A319 Big grin
Airbus SAS - Love them both
 
Theiler
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 6:09 am

I doubt that "butt-engines" have anything to do with their decision.
 
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yyz717
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 6:44 am

I would think the best option for Cebu Pacific is to procure some used M80's which are a good complement to the D9S fleet.
I dumped at the gybe mark in strong winds when I looked up at a Porter Q400 on finals. Can't stop spotting.
 
AA737-823
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 9:13 am

No, Solnabo, the 717 is not the 319. Which is EXACLTY why carriers would choose it. If they wanted an aircraft that did what the 319 does, they'd order the 319 (which they may have). But if they want an aircraft that is designed to make 11 trips a day, they'd order the 717. Because the 319 and 737 weren't designed for that.

I am still holding out for ATA.
 
antares
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RE: More 717 Orders Coming? Cebu Pacific

Fri Jul 09, 2004 8:37 pm

Asia finance contacts have reported Cebu Air's Airbus decision.

There is an underlying strategic reason for this unrelated to the merits and demerits of aircraft types. It is all about having equipment which may be attractive to a takeover or merger party if the carrier participates in consolidation at some time in the future. Your leases or lease purchase arrangements are inherently more attractive in these situations if they are 737s or A320 family jets because these types have the range, size and characteristics more suited to a wider selection of routes than is the case with the range challenged 717.

For myself, I really like flying in 717s but range is a big issue here, and so is the economics of being able to absorb assets without creating a new engineering or flight standards sub set.
 
elwood64151
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RE: More 717 Orders Coming? Cebu Pacific

Sat Jul 10, 2004 12:27 am

Antares:

While you may be absolutely correct, that's a fairly short-sighted way to look at the future for Cebu. Company managers who manage to merge usually end up screwing the company over. Company managers who manage to try to make money mail sometimes fail, but they usually look more attractive for a merger, anyway.

The 717 range "issue" is not really an issue, either. It's a niche aircraft designed to do a few things and do them very, very well.

Think of it this way: If you're going hunting, you could bring a rifle, which is an excellent long-range (400-500 yards) weapon but is more cumbersome at short ranges. Or you could bring a bow and arrows, which are shorter ranged but can still kill a large animal at 200 yards and have excellent short-range characteristics.

In this metaphor, the 717 would be the bow and arrow: Not suitable for everyone, but for certain areas and in certain conditions, better than the rifle.

The real problem the 717 has had is scope: It's a mainline aircraft, and there are or soon will be aircraft that do the same job but at RJ payscales. And I don't believe that this is even that big of an issue, as I have discussed ad-nauseum in the past.

Cheers!
Those who fail to learn history are doomed to repeat it in summer school.
 
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PanAm_DC10
Crew
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RE: More 717 Orders Coming? Cebu Pacific

Sat Jul 10, 2004 12:29 am

From Bloomberg dated July 5th

July 5 (Bloomberg) -- Cebu Air Inc., the second-largest
Philippine airline, said it will probably choose Airbus SAS
aircraft for its $350 million fleet renewal, the first time the
carrier is getting new planes since starting operations in 1996.
``We are in serious discussions with Airbus,'' said Danilo
Mojica, Cebu Air's Chief Operating Officer. ``We have to thrash
out some items first until we sign'' the agreement, and the
airline may make the announcement in two weeks, he said.

Airbus seems well positioned.


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