Andrew Doyle/MUNICH
Deutsche BA intends to replace its fleet of 18 leased Boeing 737-300s with Airbus A320-family aircraft after completing a study of its future fleet requirements.
The wholly owned British Airways subsidiary was allocated options on 24 A320-family models as part of BA's massive commitment for up to 188 of the type placed in 1998, including 129 options, but had also been evaluating the rival Boeing 737 family.
Deutsche BA chief executive Adrian Hunt says the airline could begin rolling over its Boeing fleet with Airbus narrowbodies from around 2004 but has not made a final decision on when the 737s will be replaced. The 737 leases begin to expire in 2002, but a lack of suitable delivery slots means the first A320 could not join the fleet until about two years later.
"We've looked at production slots and there is nothing available when our leases start to expire," says Hunt. "We will probably extend some of the 737 leases."
Hunt says exercising the Airbus option will enable Deutsche BA to take advantage of the bulk purchase price already negotiated by BA, and reap operational cost savings through close co-operation with the UK flag carrier and affiliated Airbus operators.
He says the decision in favour of Airbus was also influenced by quality problems encountered when the airline took delivery of some of its new-build 737-300s, although they are now performing "exceedingly well" in service.
"Paint was peeling off the aircraft, we had to change all the bearings in the flap systems and we had problems with the stabiliser seals not working," says Hunt. "When you're taking a new aircraft, you want to put it into service and have trouble-free flying."
Meanwhile, Deutsche BA has secured a daily London Heathrow slot and expects to announce which city it will serve from the oneworld alliance hub in the next few weeks.
The carrier, which mostly flies head-to-head with Lufthansa on German domestic routes, has managed to reduce its losses and is building its presence on more profitable international routes. Hunt says the continuing weakness of the Euro and high fuel prices mean the airline will fail to break even this year, however.
Source: Flight International