THAI to cut costs by selling decommissioned jet-liners

[stouricks]

10 hours ago, colinneil said:

Well you got to laugh at such stupidity, going to sell decommissioned planes at the moment.

The world is going to be over flowing with planes, some a lot more modern than what Thai are trying to part with.

Maybe Thais gimmick will be.... Buy 1 get 1 free.

BOGOF!

[rvaviator]

Since TV is a great source of solutions to all the worlds problems ... How about 'we' put in a bid for a few and start up ... 'TV Airlines' .... How hard can it be ?? ????

 

 

 

[Reigntax]

8 hours ago, Pilotman said:

something else they can crash into the Korat mountains, or leave to rot on the ground as no one is competent to fly them. . 

They may as well land the decommissioned planes on the decommissioned air craft carrier.

[GinBoy2]

2 hours ago, new2here said:

I suspect that there is a fairly active market for both the 772s and 773s... the 772s I’ll bet is more for parts than as an intact airframe... the 773s I’ll bet can still be sold as an intact airframe to smaller market or regional carriers or even charter ACMI (aircraft, crew, maintenance & insurance) outfits. 

 

a lot of this will depend on the number of cycles on each frame/gears, engines and their time, plus maintenance schedules and associated parts that come with the sale.

 

There’s still a fairly active market for mid-age 744s that have undergone conversion from passenger to cargo - aka the 747-400BCF.  
(BCF = Boeing Converted Freighter)
 

However, this alone isn’t going to do it.. after all, it’s my opinion that you can’t really “save” your way into profitability... this will help drive down their direct operating costs - lower maintenance costs as well as fuel use- but that’s just a small part of the total cost-side picture.  They’ll have to look other parts such as employee efficiencies, staffing levels across the company, etc.

 

Regardless of all that, they still have to address the revenue side...   that’s not just fares, but also ancillary revenue, outsourced services revenue, etc.

 

but the disposition of those aged airframes is most definitely a positive move and one that - if handled correctly - can still be nett positive for TG.  (If I were TG, I’d use an outside 3rd party firm to handle the sale like ILFC or Air Lease Corp who I recall, both handle 3rd party sales)

You make some interesting points.

 

But these are not normal times, when I would have agreed that the secondary market for the 77X would have been quite robust.

 

But a couple of tsunami's are about to collide in the aviation world.

 

Airline failures is the most obvious, and we've already had a few.

 

But the one that a lot of the general public don't think or probably know about is the lease market.

TG is quite rare in as much that it purchases all its aircraft, part of the reason it's saddled with huge debt and on life support.

The quiet story going, not much discussed outside of the industry is the massive returns of aircraft to the lease companies, as airlines are trying to shed as much capacity as they can. 

 

A lot of those aircraft you see parked up in the desert may well have an airline paint job, but they are owned by a leasing company.

 

Now when this all returns to some semblance of normality I wonder who's sales teams are going to be the best at offloading their assets? My money wouldn't be on the crack TG team!

[drbeach]

11 hours ago, Tiger1980 said:

Sell the planes to whom?

Cargo operators.

[jimmybcool]

Why all the negativity.  Look at it as a buying opportunity.  ????

 

[Misterwhisper]

4 hours ago, DoctorG said:

Hey! If it is good enough for QANTAS to have an Irish guy who cannot say 33 then ...

As far as I can judge, most Thais cannot say "33" either.

[Don Mega]

wonder how much, am keen to build a limo jet !!

[GinBoy2]

28 minutes ago, drbeach said:

Cargo operators.

The flaw with that, is current operators of convertible aircraft are already doing that to the aircraft they already own.

 

There are very few cargo only operators, they tend to just be offshoots of passenger airlines, who are doing everything they can to get revenue from existing assets

 

The B77X's and B747X are already in a massive reconfig program with LH as are some of the A33X's

 

It's actually part of the final demise of the A380 that they can't be reconfigured for cargo, and as sad as it is after such a short life are already beginning to be dismantled for scrap

Edited May 2, 2020 by GinBoy2

[JAG]

3 hours ago, PETERTHEEATER said:

Smelters. You could sell tickets to punters to drive back-hoes and wheel loaders to hack them to pieces.

I'm pretty certain that airport ground crew is on the list of occupations reserved for Thais...

[Burma Bill]

Probably worth "a few bob' in spare parts and scrap metal!!

[digger70]

14 hours ago, rooster59 said:

THAI to cut costs by selling decommissioned jet-liners

Yea right. 55555  ✈️    ????

[Litlos]

Maybe a job lot of aircraft the board and a few (100) spare generals. Maybe 10 million USD take them away. That might get Thai heading in the right direction.

 

Cheers

[soi3eddie]

1 hour ago, Don Mega said:

wonder how much, am keen to build a limo jet !!

It'll never take-off!

[natway09]

4 years ago, I heard this about the A340's. 

Where are they, clogging up space at Utapau 

[bwpage3]

Those sales won't even remotely come close to the billions of dollars in airline losses year in and year out.

[Boomer6969]

16 hours ago, tribalfusion001 said:

the blatant media scaremongering

"the blatant scaremongering"

[GinBoy2]

1 hour ago, natway09 said:

4 years ago, I heard this about the A340's. 

Where are they, clogging up space at Utapau 

They were at DMK for the longest time, they were actually outside parked up on the ramp, you could see them every time you landed, then the moved them to U-Tapeo.

 

The even more bizarre thing, although I really shouldn't be surprised by this, but is that there is a reason aircraft owners park up idled aircraft in deserts.

 

Aircraft don't deal well in wet humid environments since corrosion sets in pretty fast.

 

So those A340-500's are at this point probably worth less than scrap

[jimmybcool]

4 hours ago, GinBoy2 said:

The flaw with that, is current operators of convertible aircraft are already doing that to the aircraft they already own.

 

There are very few cargo only operators, they tend to just be offshoots of passenger airlines, who are doing everything they can to get revenue from existing assets

 

The B77X's and B747X are already in a massive reconfig program with LH as are some of the A33X's

 

It's actually part of the final demise of the A380 that they can't be reconfigured for cargo, and as sad as it is after such a short life are already beginning to be dismantled for scrap

Very sad.  I like flying on the 380.  Smooth, quiet.  Oh well.  Guess they misjudged the market.  

[jimmybcool]

51 minutes ago, GinBoy2 said:

They were at DMK for the longest time, they were actually outside parked up on the ramp, you could see them every time you landed, then the moved them to U-Tapeo.

 

The even more bizarre thing, although I really shouldn't be surprised by this, but is that there is a reason aircraft owners park up idled aircraft in deserts.

 

Aircraft don't deal well in wet humid environments since corrosion sets in pretty fast.

 

So those A340-500's are at this point probably worth less than scrap

I've been to the aircraft boneyards in Arizona.  Incredible number of jets lined up.  Some have been stripped for parts but other look like they could be brought to life in an afternoon.  A really HOT afternoon as they sit and bake in the sun day after day.  

[Redline]

20 hours ago, tribalfusion001 said:

Good luck selling those with the current situation. Most people will be too scared to sit on a train let alone a plane after the blatant media scaremongering.

If you will fly, why don’t you think other people would?

[pineapple01]

plane graveyard in navada still haven't striped the last lot yet

[Damrongsak]

Maybe Bill Clinton could buy one and fill it with underage girls, as his buddy with the plane is flying 6 feet under these days.

[kiwikeith]

22 hours ago, tribalfusion001 said:

Good luck selling those with the current situation. Most people will be too scared to sit on a train let alone a plane after the blatant media scaremongering.

Great opportunity for John Travolta to increase his fleet 

[Relocated]

21 hours ago, Tiger1980 said:

Sell the planes to whom?

You can convert it into nice three bedroom house.

[torturedsole]

Have a look at Flightradar for a more balanced view of the airline industry.  

[Stargeezr]

The freighter market is always replacing their old stock, so Thai Air and others

can sell their unused decommissioned aircraft for sure, as long as they stay

real in their expectations. Having many types of aircraft with many brands

is very expensive. All Boeing parts do not fit Airbus parts just like cars, so engineers 

have to be skilled with many different tools etc to work on the many companies and their 

associated aircraft models.

If you see an airline that has only Boeing, or one that is pure airbus, that is a smart

airline. and so many are very unwise with many types and company makes.

Bankruptcy helps this problem for sure.

Geezer

[Sydebolle]

Sell the entire board of directors for THB 1 (one Thai Baht) and throw in all those decommissioned airplanes as a freebie.

 

The last sale of aircraft to be decommissioned can be witnessed at Chic Chic Park in Nong Khai, where a fully fledged Boeing 747 in Thai livery is parked nicely for the entertainment of - presently no - guests. 

Another one is somewhere along Sukhaphibal 3 Road. 

So, yes, good luck with the sale which will bring in very, very little - except possibly the working group in charge of selling as they need a little pocket money too ........ 

[hotchilli]

On 5/2/2020 at 5:21 AM, tribalfusion001 said:

Good luck selling those with the current situation. Most people will be too scared to sit on a train let alone a plane after the blatant media scaremongering.

Exactly, with a glut of parked-up aircraft around the world they'll be worthless.

Edited May 2, 2020 by hotchilli

[phkauf]

7 hours ago, kiwikeith said:

Great opportunity for John Travolta to increase his fleet 

or some other guy who flies a 737 around Europe a lot these days. Hear he's loaded.