Allegiant Air is willing to wait to acquire additional Airbus A320 family aircraft until it finds what it deems the appropriate value of the aircraft, says treasurer Jude Bricker.
The value of used A319 and A320 aircraft has seen a “recovery from the lows” when the Las Vegas-based carrier closed deals for 10 A319s and nine A320s in 2012, he says on the sidelines of the International Society of Transport Aircraft Trading (ISTAT) Americas conference in San Diego.
However, “pockets of availability” of aircraft do exist and Allegiant has the cash to jump on opportunities as they emerge, says Bricker.
The market value of a 2003-vintage A320 was about $16 million and a 1998-vintage aircraft about $10.4 million in January with very low availability for sale, according to a first quarter market commentary by Flightglobal’s Ascend Online.
A 2002-vintage A319 had a market value of about $11.3 million and a 1995-vintage aircraft about $8 million in January, according to Ascend.
Bricker is optimistic that Allegiant will find additional aircraft for the price it seeks.
“The market will return to us,” he says.
Allegiant is interested in adding A319s and A320s with either CFM56-5A, CFM56-5B or V2500 engines to its fleet, says Bricker emphasising their flexibility on engine type.
The carrier plans to add two A320s it is buying from Iberia and one A319 leased from GECAS to its fleet in 2014. A further six leased A319s are due in 2015.