jgcotter wrote:freakyrat wrote:nkops wrote:
228NV (Visit Florida livery) may be next.. aircraft has no engines on it currently
227NV still has everything attached so may just be in storage for the time being
I remember when N228NV had some tech problems at SBN and mechanics had to come up from Indy to fix it. It was also the jet that had some hydraulic issues in Florida. Every airline has a pesky jet that seems to be labeled a "Hangar Queen". I remember at ASA it was the Texas Bluebonnet Jet. Some around Allegiant claim this airplane is. N226NV, N227NV, N228NV and N229NV are the oldest aircraft in G4's fleet at over 23 yrs old. so maybe these will end up being scrapped.
The Aircraft Fleet Plan in the Earnings Call shows them drawing down 7 x 177-seat A320s this year, (26 to 19) so retiring those four, and three others, makes sense.
The transcript is available: https://seekingalpha.com/article/442448 ... transcript
We expect to induct 5 aircraft during the quarter to bring our total in-service fleet count to 105 by June's end, an increase of 19 aircraft compared to June of 2019. These additional aircraft are already being put to work, as capacity during the second quarter is expected to be up around 4% year-over-2 year. It is also notable second quarter daily bookings haven't skipped a beat. April continued to roar with average daily bookings around 6.5 million per day, which is 8% higher than April of 2019.
During the first quarter, we acquired 3 aircraft at an average all-in price of $16.5 million per tail. These aircraft were paid for with cash; and remain unencumbered, which brings our current unencumbered aircraft count to 29. In the used A320 market, our fleet team is in no short supply of deals coming across their desks at prices that reflect a 30% discount on average to pre-pandemic levels. Based on current commitments, we expect to end the year with 108 aircraft, which supports our ability to increase capacity in the back half of '21 by as much as 20% as Drew and his team see no shortage in opportunities to put aircraft to work.
If you go into the details of the conference call, it looks like fleet retirement will be used as a governor on demand. If demand drops, they retire more aircraft, if demand remains strong, they delay retirement (I assume put through a heavy maintenance) and keep flying. Now that is just my opinion on the call, but it seems as if Allegiant is well placed for any economy.
That purchase price for younger A320s is brutally cheap. They have no shortage of growth opportunities on the aircraft side for a few years. It is now managing risk (how many aircraft to buy and how much staff to hire).