Post by Baroque on Jun 18, 2013 14:37:26 GMT 1
My view of this Doric order for 20 A380s...
- I think this is the "significant order" we heard Airbus was negotiating since late last year. After all, this would be the single largest A380 transaction we've seen placed apart from Emirates's A380 frenzies.
- Doric has definitely been in contact with potential customers to arrive at this order. I can see these planes going to airlines who wouldn't take on the risk of buying and operating a few frames and Doric has the luxury of a better discount by buying up a large number, better control of configuration and maintenance.
- I don't think these frames are intended for EK or SQ. These are two airlines who would want greater control of their configurations (not just the passenger layout, but also the technical bits) which may not be in the best interest of the lessor.
- I can also see why Doric would think 20 as a conservative number and would possibly be looking to expand. If your customers want only 5 frames each, you have 4 customers. How many airlines can you think of who can use the A380 but only in small numbers that does not justify a whole lot of investment to support them? I think there's a lot more out there. You can also shift around frames according to seasonal requirements and charter and leisure operators may like this.
And to quote from the article linked above...
- Airbus must have opened up a lot flexibility in this deal and they might have entered into a closer partnership in this contract unlike the usual lessors. Deliveries from 2016 -2021 is a long way out and Doric would have plenty of time to decide on what it wants to do.
- I think this is the "significant order" we heard Airbus was negotiating since late last year. After all, this would be the single largest A380 transaction we've seen placed apart from Emirates's A380 frenzies.
- Doric has definitely been in contact with potential customers to arrive at this order. I can see these planes going to airlines who wouldn't take on the risk of buying and operating a few frames and Doric has the luxury of a better discount by buying up a large number, better control of configuration and maintenance.
- I don't think these frames are intended for EK or SQ. These are two airlines who would want greater control of their configurations (not just the passenger layout, but also the technical bits) which may not be in the best interest of the lessor.
- I can also see why Doric would think 20 as a conservative number and would possibly be looking to expand. If your customers want only 5 frames each, you have 4 customers. How many airlines can you think of who can use the A380 but only in small numbers that does not justify a whole lot of investment to support them? I think there's a lot more out there. You can also shift around frames according to seasonal requirements and charter and leisure operators may like this.
And to quote from the article linked above...
Lapidus said that based on the list of potential A380 leasing customers, he expects all 20 jetliners to be placed through lease transactions with probably two or three airlines. “This is why I think we may not have enough with our current agreement,” he added.
- Airbus must have opened up a lot flexibility in this deal and they might have entered into a closer partnership in this contract unlike the usual lessors. Deliveries from 2016 -2021 is a long way out and Doric would have plenty of time to decide on what it wants to do.