Aviation
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Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 12:11 am

Hi all,
Just wondering why (how) United store such young Aircraft like the recent move of N205UA 777-222ER why do they store an Aircraft thats only 5 years old do they have faults (Engine needs repair, Bad interior etc.) or is it just they hate to have older aircraft in their fleet. If anyone can help me get my mind around why please tell me!

Thanks,
Aaron J Nicoli
Signed, Aaron Nicoli - Trans World Airlines Collector
 
SATL382G
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 12:20 am

If memory serves that airplane is not Uniteds. It belongs to a leasing company. If United can no longer afford the lease payments or believes the lease payments are too high, then the aircraft may sit in storage for a while until a new leasee can be found, in this case Air India.

Just business......
"There’s nothing quite as exhilarating as being shot at and missed" --Winston Churchill
 
SlamClick
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 12:35 am

I'd agree. The reasons are almost certainly economic - relating to ownership, lease status, and where the current cash infusions are coming from.

That being the case, this question could get better answers in the Civil Aviation forum than here in Tech/Ops.

You will find related topics from USAirways in the Civil Aviation archives.
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Aviation
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 12:39 am

Thanks, But I though that that Aircraft was purchased by United can someone verify this (purchaser) or it could just be my mistake.

Thanks,
Aaron J Nicoli
Signed, Aaron Nicoli - Trans World Airlines Collector
 
SATL382G
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 12:56 am

Regardless if leased or owned, no owner in it's right mind is going to let an expensive, modern asset like a 777 sit on the ground doing nothing for a simple technical fault.

If it helps think of this 777 as capital, say 100 million US dollars. If the cash is yours you can earn interest or dividends on it if you invest it. If you have to borrow it you'll pay interest on it. Either way it doesn't make sense to leave the cash in your mattress, or in the case of 777 in the storage yard.

If there is something technically wrong with the aircraft that requires say 1 million US dollars to fix, you invest that 1 mill, to get your 100 mill asset earning dollars again. If you figure that your typical 777 flight is going to bring in say 300000 US dollars in revenue, you can see that it doesn't take long, a day or two, to make your 1 million back.

Here's a site where you can look up the N-number...
http://www.fboweb.com/20/nnumbers/nnumsearch.asp

You're right United owns it....

[Edited 2004-12-18 16:59:54]
"There’s nothing quite as exhilarating as being shot at and missed" --Winston Churchill
 
mandala499
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 1:02 am

It could also be done to preserve the value and life of the aircraft... Flights = Hours and Cycles = reduce aircraft residual value...

if the sh1t really hits the fan, sell them as they would raise more cash than a 10 yr old 744...

Mandala499
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SATL382G
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 1:06 am

It could also be done to preserve the value and life of the aircraft... Flights = Hours and Cycles = reduce aircraft residual value...

You do know United is in Bankruptcy, right?
"There’s nothing quite as exhilarating as being shot at and missed" --Winston Churchill
 
Aviation
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 1:20 am

You do know United is in Bankruptcy, right?

Sh*t no I must be living under a rock since when?

If you know how bad?

I and many millions of other really don't want to see them go!

I NEED INFO

Thanks, Aaron J Nicoli
Signed, Aaron Nicoli - Trans World Airlines Collector
 
SATL382G
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 1:37 am

Sorry, I thought I answered your questions... I'll shut up now...
"There’s nothing quite as exhilarating as being shot at and missed" --Winston Churchill
 
fspilot747
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 2:53 am

I gotta agree with SATL382G. The fact that United is in bankruptcy should answer your question. They're not retiring 777s, they're parking some temporarily. They had parked a bunch of 747-400's, too. I think most of those are back in the fleet now, though.



FSP
 
gigneil
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 5:52 am

Most of their 777s were leased, and they're grounding the ones with the highest lease rates.

N
 
spencer
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 7:06 am

N205UA was delivered to UAL in March of 99, two months after its first flight.
Spencer.
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HAWK21M
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 3:24 pm

Economics.Business.
A younger fleet is also less trouble prone comparatively & New Interiors & age of Aircraft do help Pax make choices in choosing an Airline.
regds
MEL
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RE: Why Do United Ground Very Young Aircraft

Sun Dec 19, 2004 5:34 pm

I fully understand, my fault, I just missunderstood

Thanks a million for all the help,
Aaron J Nicoli
Signed, Aaron Nicoli - Trans World Airlines Collector

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