US carrier isn’t any longer expecting to receive any additional Boeing aircraft this 12 months. The leisure carrier received the primary of fifty Boeing aircraft it has on order earlier this 12 months because it transitions from an all-Airbus to a mixed fleet.
One and done
The airline received its first Boeing 737 in September. The aircraft (registered N811NV) is the primary high-density Boeing 737 MAX 8-200 to go to a US airline and is configured to seat more passengers than a daily MAX 8.
Allegiant was expecting to receive as much as a dozen of the aircraft this 12 months but has now confirmed it should not receive any additional Boeing planes before the top of the 12 months. Speaking at an investors call this week, Greg Anderson, Allegiant’s Chief Executive Officer, confirmed that the continuing strike at Boeing has resulted in additional delays:
”The Boeing strike has obviously created some additional uncertainty to our latest delivery forecast, and we don’t see this being firmed up until the strike has ended.”
Photo: Allegiant
Based on executives, the carrier has built additional fleet flexibility into its schedule to assist address these challenges and has taken appropriate measures to raised protect its schedule.
The corporate’s chief industrial officer, Drew Wells, added additional context to the continuing delays by confirming that the carrier has been working along with Boeing on an updated delivery schedule since early within the second quarter but indicated that the method had taken longer than expected in light of the continuing machinists’ strike.
“Boeing and CF have been very supportive, and we expect to reveal an amendment to our purchase agreement through the fourth quarter.”
The airline now plans to finish the 12 months with only one MAX aircraft in service alongside 121 A320 family airplanes. Based on Wells, Allegiant is currently planning to take delivery of 11 MAX aircraft and take away 10 A320 family aircraft from operation in 2025, which might lead to a complete fleet count up by only one unit by year-end.
The majority of the airline’s A320 retirements in 2025 are expected to happen late within the 12 months, leaving the aircraft available for peak summer travel.
How is the Boeing 737 MAX performing thus far?
The airline’s sole operating Boeing aircraft took its first flight on September ninth and arrived at its latest operating base in (SFB) the identical month. Although initially scheduled to start flying customers today (November 1st), it entered service on October twentieth, with Anderson noting:
“I’m joyful to report it entered revenue service in mid-October, a really quick turnaround that reflects our team’s preparedness and dedication.”
The aircraft is crucial to the airline’s plan to extend profits, and Anderson confirmed that early results have reaffirmed the carrier’s excitement about its margin potential.
Photo: Boeing
The aircraft offers significant operating efficiencies over the present Airbus fleet, including an as much as 26% improvement in fuel burn on an available seat mile per gallon basis and a further ten seats per flight. To accommodate the additional passengers, Boeing had so as to add two additional exits between the wings and the plane’s rear.
Overall, Allegiant estimates the MAX’s earnings potential to be roughly $2 million more annually in comparison with its A320 fleet.
