SAS Scandinavian Airlines and British Airways have indicated interest in the proposed re-engined Airbus A320 and Boeing 737 for their long-term fleet replacement needs.

As SAS prepares the ground for the replacement of its remaining Boeing MD-80s and older 737s from around 2014-15, it describes the two proposed upgraded variants - as well as Bombardier's CSeries twinjet - as "three interesting options to choose from".

Although SAS Group has began phasing out its MD-80s, it is retaining a fleet of around 24 and says their cost per seat, at an oil price of $700 per tonne, is still 10% lower than new aircraft of the same size. The company also has around 15 737 Classics.

Meanwhile, BA says it may consider in the proposed upgraded A320/737 versions as "737-400 or short-haul 767-300ER replacements if they were available by 2015".

However, the airline adds the proviso that they must deliver the promised double-digit fuel burn savings without "complexity costs [such as holding spares and spare engines for a new engine] so large as to wipe out the fuel burn benefits".

Source: Flight International