"f86sabre" (f86sabre)
03/15/2020 at 22:45 • Filed to: Planelopnik
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"f86sabre" (f86sabre)
03/15/2020 at 22:45 • Filed to: Planelopnik | 0
| 9 |
You may as well go out to Marana and watch the air show. The big iron is coming.
SBA Thanks You For All The Fish
> f86sabre
03/15/2020 at 22:54 |
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Man. I’m driving right by there tomorrow on the way to Tucson. Pinal!
WilliamsSW
> f86sabre
03/15/2020 at 22:56 |
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Oof. Not good, but I was wondering where they would all go.
Hang in there!
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SBA Thanks You For All The Fish
> f86sabre
03/15/2020 at 22:57 |
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BTW, there is some doubt that those 767s ever make it back into service. There may be some long term fleet reductions in play here. AA is claiming that the 757s and 767s being furloughed could be at the end-of-life.
I’m curious what the terms are with the leasing companies holding the paper-- when a Black Swan comes over to take a dump on the whole business? Must be ugly at International Lease Finance right now.
facw
> f86sabre
03/15/2020 at 23:01 |
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These going into storage because of reduced demand? I read some airlines are cutting international flights by like 75%
Also since you brought it to mind, have the best song from the Fallout: New Vegas soundtrack:
someassemblyrequired
> f86sabre
03/15/2020 at 23:04 |
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Couple of weeks
of this is gonna be hard to watch. H
opefully they’ll be a lifeline tossed soon to get the industry
through the next few months.
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facw
> SBA Thanks You For All The Fish
03/15/2020 at 23:11 |
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I have a friend who used to work in aircraft leasing (now a professor), and it would be interesting to get his take.
I can imagine it’s ugly now, but it seems like there’s also the possibility that leasing companies will be able to buy up inventory cheaply as airlines go under (and it seems certain some will fail in this environment) and then lease them back out when demand recovers.
dogisbadob
> f86sabre
03/15/2020 at 23:13 |
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Sadly, the
coronavirus discount
will
probably be the only time most people will be able to afford to travel in their adult lifetime
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SBA Thanks You For All The Fish
> facw
03/16/2020 at 00:43 |
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Yeah, that’s the model. ILFC and the others (the Saudis have a couple of wealth funds heavily into this) probably get superb terms from the cash-strapped airlines, hold them through the downturn, then grab another bite of the apple.
With global interest rates about to dip “negative” I suppose holding a low-return asset that you got back from UAL or AA on a loan-shark deal isn’t so bad.
I’m curious who owns all the 747s (there are some a Pinal, even more at Mojave— and I drove by Victorville recently— and a MOUNTAIN of them at Victorville) these days. The probably won’t be coming back into service... unless its as flying bomb dump trucks for the USAF.
The Airbus A380 team must be hatin’ life right about now. Those poor bassturds with the final production slots must be tap-dancing for their boards of directors at present...
Distraxi's idea of perfection is a Jagroen
> facw
03/16/2020 at 02:32 |
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“ I read some airlines are cutting international flights by like 75%”
Or worse. Air New Zealand, who are probably one of the worlds most longhaul-centric airlines and until this happened one of the more profitable ones, just announced 85% reduction across their network. Their revenue forecast went from $6B to $1B overnight. Theyve announced 30% staff cuts and everyone knows that’s just the start. There’s already discussions going on with government about a buyout to keep them afloat.