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PanAm_DC10
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MAS May Cancel Planned A320 / B737 Order

Mon Nov 28, 2005 2:31 pm

At least according to this report.


16:12 28Nov2005 OBI-UPDATE: Malaysian Air Drops Plan To Replace Boeing Jets

UPDATE: Malaysian Air Drops Plan To Replace Boeing Jets

(Updates with background and analyst comments)

KUALA LUMPUR (Dow Jones)--Malaysian Airline System Bhd. (3786.KU) has shelved
plans to replace 39 Boeing 737-400s with new planes as it trims costs to regain
profitability, an industry source told Dow Jones Newswires Monday.
The decision not to replace the jets could be a minor blow for Boeing Co. (BA)
and rival Airbus (ABI.YY), but allow the national airline to defer costly capital
expenses amid rising oil prices and plans to trim its overseas and local routes.
"There is overcapacity and there are more plans to trim routes," the source told
Dow Jones Newswires on condition of anonymity. The airline was expected to make a
decision by the end of this year.
Airbus and Boeing executives were not immediately available for comment while a
MAS spokesperson said the airline will discuss this and other issues Wednesday
when it announces earnings for the September quarter.
The decision not to replace the jets is also related to talks between the
national airline and rival AirAsia Bhd. (5099.KU) to carve up domestic routes, a
move that will allow MAS to focus on international routes and the budget airline
to serve more domestic customers.


Regards, PanAm_DC10
Ask the impossible to achieve the best possible
 
Carpethead
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Joined: Mon Aug 02, 2004 8:15 pm

RE: MAS May Cancel Planned A320 / B737 Order

Mon Nov 28, 2005 5:44 pm

That's because AirAsia is blowing MAS out of the waters on regional and domestic routes. Time to re-trench and drawup a solid business plan before ordering up planes that they may not really need.
 
PennPal
Posts: 147
Joined: Wed May 26, 2004 12:35 pm

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 2:15 am

This could turn into a bad news/good news scenario for Boeing...the bad news being you've lost potential orders from MAS, but the good news being that there will be 39 less used airframes glutting the market, and the customers that might have bought/leased those might look to replace them with new examples...
 
ikramerica
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Joined: Mon May 23, 2005 9:33 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 2:22 am

734 is not a bad plane. Airlines are running 733/734/735 efficiently alongside 737NGs in their fleets. Their oldest 734 is only 13 years old and the majority of their 734/735s are between 11 and 13 years old, so putting off the order for a while isn't the end of the world.
Of all the things to worry about... the Wookie has no pants.
 
soundtrack
Posts: 267
Joined: Sat Feb 10, 2001 5:53 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 3:11 am

funny

i was at klia last week and saw a MAS 73 NG with wingtips - anyone know about this?

thanks
 
CRJ900
Posts: 1937
Joined: Wed Jun 02, 2004 2:48 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 4:24 am

Didn't MAS take the last 734s built, up to the year 2000? If so, what's the rush? Those planes will be good for another 10 years. With competition sharpening in the region, I fully understand if MAS needs to save money and fight for their piece of the pie...

Perhaps they'll become launch customers for the next-generation single-aisle jets from A and B instead of going for the current products...
Come, fly the prevailing winds with me
 
ba319-131
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Joined: Sat Jan 13, 2001 1:27 pm

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 5:27 am

To be honest, a good idea.

MAS need to decide what & where they plan to fly the narrowbody's too, especially give all the increases of LCC's in their home territory.

Once done, that will decide exactly how many planes they need, perhaps not as many as they have at the moment..............
111,732,3,4,5,7,8,BBJ,741,742,743,744,752,762,763,764,772,77L,773,77W,L15,D10,30,40,AB3,AB6,A312.313,319,320,321,332,333
 
KL808
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Joined: Thu May 20, 1999 3:49 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 5:45 am

Quoting Soundtrack (Reply 4):
was at klia last week and saw a MAS 73 NG with wingtips - anyone know about this?

they are leasing both B73NG and A320's to, I guess try both types out.

Drew
AMS-LAX-MNL
 
FCKC
Posts: 1630
Joined: Sun Nov 21, 2004 9:39 pm

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 7:25 am

Both 737-800s are leased from Travel Service of Czech Republic.
MAS do not lease any A320s.They have though at this earlier , but this plan seems to be cancelled.
 
lazybones
Posts: 159
Joined: Thu Jan 13, 2005 7:32 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 11:42 am

Quoting Ikramerica (Reply 3):
734 is not a bad plane. Airlines are running 733/734/735 efficiently alongside 737NGs in their fleets. Their oldest 734 is only 13 years old and the majority of their 734/735s are between 11 and 13 years old, so putting off the order for a while isn't the end of the world.

Aint that the truth, we're very quick to write-off old hardware on a.net. Just look at OzJet (www.ozjet.com.au). New service based on the steam driven 737-200. Big grin
 
ikramerica
Posts: 13730
Joined: Mon May 23, 2005 9:33 am

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 2:00 pm

Quoting Lazybones (Reply 9):
Aint that the truth, we're very quick to write-off old hardware on a.net. Just look at OzJet (www.ozjet.com.au). New service based on the steam driven 737-200.

If they were looking to replace 732s with new jets, then MAS would be foolish to postpone. 732s ARE costly to run. I guess doing it all J makes it work?

But the 734 still has legs. MAS also flies 735s, which are a very efficient plane, more so than the 736NG, one reason the 736 isn't selling well while airlines love their 735s. Not to mention that there is no 737NG or A320 series equivalent for the 734, so the transition would mean routes with constantly changing capacity depending on which plane was serving it that day. For example: 734, 73G, 738.

And as a passenger, you can barely tell the difference inside of a 733 or 737, as both are about the same noise level, and on CO, many of their 733s have IFE.
Of all the things to worry about... the Wookie has no pants.
 
Airbus Lover
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Joined: Mon Apr 10, 2000 10:29 pm

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 2:04 pm

MH has stopped operating B735s for many years now.
 
FCKC
Posts: 1630
Joined: Sun Nov 21, 2004 9:39 pm

RE: MAS May Cancel Planned A320 / B737 Order

Tue Nov 29, 2005 5:21 pm

I am sure they are studying 737NG/A320 , but also EMB170/190 , as they already said the Brasilian family came to their mind.

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