Chinese-backed aircraft lessor Avolon cancels massive order for Boeing 737 Max jets

[Raphael]

https://www.bizjournals.com/seattle...se-backed-aircraft-lessor-avolon-cancels.html

Boeing's beleaguered 737 Max program suffered another setback Friday as the world's third largest aircraft leasing company canceled a massive order for 75 737 Max jets placed only two years ago.

Avolon CEO Dómhnal Slattery said his company was forced to cancel the deal – worth $8.4 billion at list prices when first announced in 2017 – because it had failed to place the jets with new airline leasing customers during what he described as "the most challenging period in the history of commercial aviation."

Slattery said that despite nixing the order, Avolon remains committed to the 737 Max program and Boeing hastened to add that the lessor still has almost five dozen more unfilled Max orders on its books.

Still, the latest cancelation raised the total of axed 737 Max orders to 116 in two months after 41 were canceled in February and more are expected to be dropped in coming days.

Avolon also revealed that it canceled orders for four Airbus A330neos (new engine option) and deferred delivery dates for an additional unidentified 25 narrow body jetliners "to 2024 and beyond."

"The global fleet has been effectively grounded as countries work hard to slow the spread of COVID-19," Slattery told investors in a company update.

"The impact of the virus has been far reaching and the required response, both on an individual and on a community basis, is without parallel," Slattery added.

Avolon's 737 Max order was the largest that company has ever placed, and was first inked as a commitment at the Paris Air Show in June 2017. The deal was finalized and logged by Boeing on Nov. 18, 2017, under Avolon Aerospace Grand Cayman Islands Ltd. after deposits were paid.

Boeing Commercial Airplanes spokesman Bernard Choi said Avolon's restructuring of Max orders follows ongoing conversations with the aircraft lessor about the impacts over the past year of the global grounding of the 737 Max, suspension of all deliveries and production halt of the jet following two crashes that killed 346 people.

---------------
Passenger safety must always come first
Western neoliberals will just tell you to develop 'herd immunity'. But every time a defective Boeing plane crashes out of the sky, all passengers die, no one gets 'immunity'.
So let's not even try.

 

[Hamartia Antidote]

Well they won't be buying 919's anytime soon.

https://simpleflying.com/comac-c919-miscalculation/

China’s COMAC C919 Faces A New Mathematical Headwind

China’s attempt to compete with Airbus and Boeing in the single-aisle twin-engine airliner market has suffered another blow after COMAC engineers miscalculated load factors. Four people familiar with the development of the plane told Reuters that Chinese engineers sent the wrong mathematical data to the engine manufacturer CFM International.

Now according to inside sources, the engines and their housings may need to be reinforced at COMAC’s expense.

The C919s progress is well behind schedule
Already at least five years behind schedule, the state-owned Commercial Aircraft Corporation (COMAC) is struggling with a series of technical issues that are delaying test flights.

 

[grey boy 2]

Excellent decision, afterall we all knew what happened somtimes back, plenty of people die because of this shitty defective 737 max.

 

[sinait]

Well they won't be buying 919's anytime soon.

https://simpleflying.com/comac-c919-miscalculation/

China’s COMAC C919 Faces A New Mathematical Headwind

China’s attempt to compete with Airbus and Boeing in the single-aisle twin-engine airliner market has suffered another blow after COMAC engineers miscalculated load factors. Four people familiar with the development of the plane told Reuters that Chinese engineers sent the wrong mathematical data to the engine manufacturer CFM International.

Now according to inside sources, the engines and their housings may need to be reinforced at COMAC’s expense.

The C919s progress is well behind schedule
Already at least five years behind schedule, the state-owned Commercial Aircraft Corporation (COMAC) is struggling with a series of technical issues that are delaying test flights.

DELAY IS BLESSING IN DISGUISE.
Imagine the losses if C919 is in mass production now.

Yes, Good to iron out wrinkles now,
NOT KILL PEOPLE LIKE SHAMELESS USA IN 737Max COVER-UP.
Hopefully C919 will be ready in the next upswing.
.

 

[Raphael]

DELAY IS BLESSING IN DISGUISE.
Imagine the losses if C919 is in mass production now.

Yes, Good to iron out wrinkles now,
NOT KILL PEOPLE LIKE SHAMELESS USA IN 737Max COVER-UP.
Hopefully C919 will be ready in the next upswing.
.

American 'profit-first' mentality frightens me. What an evil and depraved culture.

@Hamartia Antidote International airlines looking for a 737 max replacement (that will at a minimum not kill its passengers) will likely all turn to A320neo. I don't know why Western media keeps beating up the strawman of Comac 'rivaling' Airbus/Boeing ― we know it's not ready yet. Comac has to get to the level of Embraer first before it can even tackle the 'duopoly'. But by the time COMAC is ready, I suspect the market will have transformed. Airbus will be a dominant international supplier, particular for long-haul commercial aviation, while Embraer, Bombardier, Comac, ATR, Boeing, etc., will be tier 2 players with strong links to regional markets.

 

[zectech]

More Chinese companies should do this if they know what is good for them. Made in China 2025!

 

[Hamartia Antidote]

]International airlines looking for a 737 max replacement (that will at a minimum not kill its passengers) will likely all turn to A320neo..

Funny you should mention the A320 as it basically had it's reputation almost completely destroyed over this very infamous deadly incident at a 1988 Air Show...it recovered:

136 passengers...luckily only a handful died. But it scared everybody from buying it for years.

 

[riscol]

This is a video of Air France flight 296, the first passenger flight of the A320, not a test flight. The pilots were executing a low pass at an air show before continuing on their flight plan, part of the proceedings for the first passenger flight. The pilots were in control of the aircraft the whole time, it wasn’t under automation at all. They simply flew too slow, too low, and applied power too late. 3 people died from smoke inhalation, but the rest of the full load of passengers and crew survived.

737max can be written off, the image is so tarnished nobody want to risk their lives on it.

McDonald clown do some research first

 

[Raphael]

Funny you should mention the A320 as it basically had it's reputation almost completely destroyed over this very infamous deadly media debut at a 1988 Air Show...it recovered:

And did this 'test flight' kill over 300 people total? That's why responsible companies run tests to iron out the kinks, rather than rushing half-baked products to the market and scamming clients of their money in order to fund share buybacks.

Will Boeing recover? It's "too big to fail", to borrow a vaunted expression in the neoliberal American vocaulary, so I speculate it will be kept indefinitely alive via US govt bailouts. But it's now demonstrated that it has no competitive capacity in a market environment at all. Every day, awful news keeps trickling in:

https://finance.yahoo.com/news/boeing-extends-washington-state-production-214122875.html
Boeing extends Washington state production shutdown indefinitely

Boeing said on Sunday it would extend the suspension of production operations at its Washington state facilities until further notice amid the coronavirus outbreak.
The largest U.S. planemaker said on March 23 it would halt production at its Washington state twin-aisle jetliner factory as a temporary measure to help fight the outbreak of the respiratory disease. Production had been expected to resume early this week.

 

[riscol]

It's Air France flight 296, only 3 died

 

[Hamartia Antidote]

This is a video of Air France flight 296, the first passenger flight of the A320, not a test flight. The pilots were executing a low pass at an air show before continuing on their flight plan, part of the proceedings for the first passenger flight. The pilots were in control of the aircraft the whole time, it wasn’t under automation at all. They simply flew too slow, too low, and applied power too late. 3 people died from smoke inhalation, but the rest of the full load of passengers and crew survived.

737max can be written off, the image is so tarnished nobody want to risk their lives on it.

McDonald clown do some research first

This was not the first passenger flight. This Air Show happened in June. It entered service in April. Why do you constantly post about stuff you know nothing about?

https://airwaysmag.com/airchive/airbus-a320-family/

The prototype A320 rolled out on February 14, 1987 and conducted its first flight a week later on February 22. After 1,200 accumulated hours during 530 test flights, the European Joint Aviation Authorities (JAA) certified the aircraft one year after rollout on February 26, 1988. Airbus delivered the first A320 to Air France on March 26, 1988.

Entry into Service
Air France commenced passenger service with the A320 on April 18, 1988.

 

[riscol]

https://en.wikipedia.org/wiki/Air_France_Flight_296

Air France Flight 296 was a chartered flight of a new Airbus A320-111 operated by Air France for Air Charter.[1] On 26 June 1988, it crashed while making a low pass over Mulhouse–Habsheim Airport (ICAO airport code LFGB) as part of the Habsheim Air Show.

This particular flight was not only the A320's first passenger flight (most of those on-board were journalists and raffle winners), but it was also the first public demonstration of any civilian fly-by-wire aircraft.

 

[大汉奸柳传志]

great irony if Huawei survived sanctions while Boeing files for bankruptcy

 

[riscol]

The McDonald clown wants to compare the A320 accident which killed 3 people with 2 737max accidents which both planes killed everybody onboard. Now Boeing extends suspension of production due to Covid-19 adding more salt to an already injured company. To this day the 737max has not fixed every problem and airlines are cancelling their orders.

 

[dbc]

The McDonald clown wants to compare the A320 accident which killed 3 people with 2 737max accidents which both planes killed everybody onboard. Now Boeing extends suspension of production due to Covid-19 adding more salt to an already injured company. To this day the 737max has not fixed every problem and airlines are cancelling their orders.

Did you have a traumatic experience at McDonalds? Not sure why you are obsessed with McD?

Based on Avalon's public release 80% of their customers are asking for payment relief. The cancellation of the Boeing orders isn't mainly due to the 737 MAX defects, it may be a contributing factor.

Generally Avalon is not doing well, neither is the Air travel industry or most industries in general.
The thing that I find remarkable is that our Chinese contributors feel that Chinese business are insulated from this global downturn? What do you guys know that we don't? Is there zero impact to China?