kalakaua
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Malaysia Airlines Plans To Buy 39 New Jets

Wed Nov 03, 2004 8:48 pm

Associated Press
Malaysia Airlines Plans to Buy 39 New Jets
http://www.forbes.com/infoimaging/feeds/ap/2004/11/03/ap1629006.html
11.03.2004, 12:28 AM

Flagship carrier Malaysia Airlines is planning to purchase 39 new jetliners in an estimated $1 billion plan to replace nearly half its fleet, a company executive said.

The plan indicates that Malaysia Airlines hopes to expand its routes and capacity despite rising fuel prices and competition from Asia's emerging low-cost carriers.

The carrier expects to reach a decision by the end of April on possibly buying the planes from Airbus SAS or Boeing Co., Low Chee Teng, chief executive of airline operator Malaysian Airline System Bhd., said in an interview with Dow Jones Newswires.

Passenger comfort and fuel economy were the main reasons for the plan to replace the carrier's 39 narrow-body Boeing 737 planes, Low added. Malaysia Airlines flies 97 aircraft.

The cost of a new narrow-body passenger jet is between $25 million and $35 million, so the total cost of the planned purchase could exceed $1 billion, Low said.

Jet fuel will probably account for more than 30 percent of the carrier's total costs in the fiscal year ending March 2005, up from 23 percent in the previous year, he added.

Low declined to say how much he expects the higher fuel cost to affect net profit.

Capacity is forecast to rise between 10 percent and 20 percent in the current financial year, mostly due to more flights to Australia, China and India, Low said. Those flights have been added even though low-cost carriers also plan to penetrate markets in China and Australia.


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Joule
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Wed Nov 03, 2004 11:42 pm

MH have been saying this for the past 12 months, so it's really not new. They've delayed the fleet renewal announcements so many times already and they are no closer to any decision at the moment. Both Boeing and Airbus are really pushing hard for the slice of narrowbody market in Malaysia.
 
DAYflyer
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Wed Nov 03, 2004 11:52 pm

I would bet that they go with Airbus. Just a gut feeling.
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DeltaWings
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 12:35 am

They are going to replace the 737-400s, Fokker 50s and the DHC6s. Personally I think the 737-800 will replace the -400s, while Embraers will replace the props.

DeltaWings
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keno
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 1:34 am

I don't think MH's fleet of 5x DHT6 Twin Otter really need replacement. They are only used for rural services in Borneo and the routes are highly subsidised as a service for the people of the interior. So MAS don't really make money on them. They may be relatively quite old compared to other aircrafts in the fleet, but with thorough maintainance, I believe they have many years of service ahead of them.

Other than the 5x weekly B744 flight that goes to TPE (and onwards to LAX), all other flights that serve Taiwan (TPE & KHH) are now operated on B734. The same goes to the flights to ASEAN countries, most of which are operated on B734 (except for CGK/BKK flights which are operated on A330 & B772). An equipment upgrade is really needed for key destinations like TPE, MNL, SGN & SUB if we were to compete with SQ.

As for domestic flights, many people I know also prefer to travel on widebodies between KUL & BKI/KCH but currently choices are very limited with only a few widebodies flights a week, so these flights are very sought after. Perhaps MAS can introduce at least one or two daily widebody flights for this sector in the future, and perhaps a bit more during weekends.
 
elcapi1980
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 5:33 am

Well...let's wait a see...I hope they go for the EMB 170/ and 190........great planes
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Lufthansa
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 8:59 am

I'm expecting MAS to go against the trend in the Area and order 737s. Possibly a mixed fleet of 73G/738s. I think MAS may have to seriously consider fitting some of these aircraft out in high-density seating arrangements. With Air Asia, Jetstar Asia and the others all just aound the corner, they've got the fight of their life comming up on these shorter segments. The 737-700, in say a 136 seat configuration would probably suit them well for flights to places like Phuket, shuttles to Singapore and KL, and to Indonesia.

However, Asia's flights are over longer distances, and with the ever increasing price of Fuel, i could see 737-800s with winglets being ordered for flights to Hong Kong, Tiawan, China, etc. The longer routes over 3+ hrs. They could probably squeeze just under 170 ppl into the 738 and still over business class... or go for All economy at about 177-180.
 
isz1
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 9:28 am

I made this earlier. MH 737-800 with Winglets!  Big thumbs up  Big thumbs up  Big thumbs up

This is Malaysian Hospitality. This is MH.
 
AA737-823
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 9:40 am

Well, let me voice my unpopular opinion-
I, for one, hope they replace the props with... new props!
And 737s elsewise.
That 738 with winglets looks spiiiicy, Fairizuan.
 
behramjee
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 12:25 pm

With so many A 320s lying idle around the world and plus with Airbus able to offer heavier discounts than Boeing can on its B 738s, I will not be surprised that MAS choose the cheaper option and get A 320s.

But U.S. govt can play a hand here with some incentives to pursuade MAS to order B 737NGs instead. And since MAS has been a B 732 then B 734 customer, it would make more sense to stick with the B 737 family and order -800s to replace the -400s.

Btw...MAS will NEVER EVER FLY A NARROW BODY TO HKG...Asians of that region hate narrow bodied aircraft and demand for KUL-HKG-KUL demand level is v high on a daily basis for MAS and CX!!!
 
n949wp
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 5:18 pm

MH does indeed operate flights to HKG using 734's, although not necessarily out of KUL.


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Lufthansa
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 5:55 pm

Behramjee

Things have changed in Asia in the last year. There are now LCC flying the Golden triangle, and offering good prices using A320s. People will fly an A320 if it is only $200 and the A330 is $700.... it is only 3 hrs, its not like they're going all the way to europe.
 
keno
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 6:00 pm

Asians of that region hate narrow bodied aircraft and demand for KUL-HKG-KUL demand level is v high on a daily basis for MAS and CX!!!

That's why I'm very surprised as to why KUL-Taipei & Kaohsiung flights are the only East Asian sector still operated on 734 (except KUL-TPE-LAX flights). All of these flights make a stop at BKI, but that shouldn't be an excuse.

MH no longer operate B734 on KUL-HKG sector. However, it still does on flights between KCH/BKI and HKG. These flights do not originate from KUL.
 
9v-svc
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 6:17 pm

Ohhh yes, the 737-800 does looks great in MH colours, perhaps more A332s and B738s for MH ? That's my guess ! :P
Airliners is the wings of my life.
 
knoxibus
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 9:35 pm

With so many A 320s lying idle around the world

Pulokovo (PLK) just signed for 2 B737-500 as no A320 are available but they are still looking to use some, so I do not know where that comes from?

Do we have that many A32x lying around and not flying?
No matter what anybody tells you, words and ideas can change the world.
 
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scbriml
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Thu Nov 04, 2004 9:37 pm

With so many A 320s lying idle around the world

Where exactly are all these A320s lying?
Time flies like an arrow. Fruit flies like a banana!
 
knoxibus
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RE: Malaysia Airlines Plans To Buy 39 New Jets

Fri Nov 05, 2004 1:26 am

Well actually, he is kind of right in a specific way:

I just did some industry research, and Volare (VLE) is going to file for bankruptcy soon. All top management have resigned, and lessors are on site to repossess the A/C (18 A320s and 2 A330s).
No matter what anybody tells you, words and ideas can change the world.

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