Delta Air Lines said Thursday that it will no longer use Boeing Co.'s 777 aircraft as it attempts to reduce costs and preserve cash amid a plunge in traffic from the coronavirus pandemic. The carrier has a 21-year flying legacy with the aircraft. Delta ordered the Boeing 737-900(ER) three times—100 planes in August 2011, further 20 in December 2015, and 10 more in April 2017. Almost a quarter of a century after it rolled out of the factory, the world's first Boeing 777 is being retired at the Pima Air & Space Museum in Arizona as a travel attraction. Since 2017 Delta has built-up a fleet of 13 A350s, which have around 21% lower seat costs than the older 777s. I have been covering airlines and aerospace in Asia-Pacific for 10 years. Influence in The World. A crowd gathered around the airport to watch the largest aircraft... © Copyright 2020 Airways International, Inc. All rights reserved. Ten of the 18 777s are -200LR models that average 11 years old. I am particularly interested in aeropolitics, cross-border investments, partnerships, transformations, new revenue growth and start-ups. Boeing’s 777 Jet Is Out at Delta. Malaysia Airlines will tentatively be retiring their 777s as of March 2016.Via airlineroute.net, it looks like Malaysia’s last 777 flight is scheduled for March 26, 2016, between Kuala Lumpur and Guangzhou.That 777 flight will operate with the following schedule: MH376 Kuala Lumpur to Guangzhou departing 9:30AM arriving 1:35PM MIAMI - 2020 has been a year like no other for aviation. MIAMI – Delta Air Lines (DL) has made the decision to permanently retire by the end of 2020 its Boeing 777 fleet, comprised of 18 aircraft, due to the unprecedented drop in travel demand amid the COVID-19 pandemic and global economic shutdown. Delta has more A350s on order and last year agreed to take 14 A350s from partner LATAM. Almost two years ago, DL unveiled how its Boeing 777-200(ER/LR) fleet would look like with the new DeltaOne Suites that the Airbus A350-900 inaugurated the year. The carrier is retiring its Boeing 777 fleet, a sign that it doesn’t expect international long-haul travel to return quickly. It is therefore understood from today’s memo that once international demand returns, taking over DL’s Boeing 777-200’s long-haul operation, including that from the new trans-American network agreement, are the carrier’s more fuel-efficient and cost-effective Airbus A330 and A330-900. The early retirement comes at a cost. The retirement will accelerate the airline’s strategy to simplify and modernize its fleet, while continuing to operate newer, more cost-efficient aircraft. MINNEAPOLIS (FOX 9) - Delta Air Lines is permanently retiring its Boeing 777 fleet by the end of the year, the company announced Thursday. Indeed, my former airline retired their 777s at roughly the same age. Delta's refurbished 777 included new seats with doors in business class. Most 77"A"-models have been retired, many either permanently withdrawn from use or already scrapped, with numbers growing quickly. Delta CEO Ed Bastian stated that as of late last year, Delta had set out to build the leading strategic alliance in Latin America together with LATAM, adding that âwhile the industry landscape has changed, our commitment to this joint venture is as strong as ever.â, As many in the industry are grappling with the impact of COVID-19, Bastian assured that the company, while protecting the safety of its customers and employees, is also âbuilding the airline alliance we know theyâll want to fly in the future.â. The move is the beginning of a … As a result, around 600 mainline and regional aircraft were parked. Delta Air Lines is accelerating the retirement of its Boeing 777 fleet, as the airline continues to make cost-saving measures amid the coronavirus pandemic. Not only is t… Delta installed a premium economy cabin on the 777s. Firstly, as technology develops, newer aircraft of similar size and range achieve higher rates of fuel efficiency. A Delta One Suite onboard the 777 “With international travel expected to return slowly, we’ve also made the difficult decision to permanently retire our Boeing 777 fleet – 18 aircraft – by the end of the year,” CEO Ed Bastian said in a memo. About half of Deltaâs 777 fleet is still relatively young, likely driving the impairment cost although Delta did not state a breakdown. Delta also owns all 27 MD-90s, but these average almost 23 years and are smaller aircraft, likely contributing much less to the impairment. The industry has gone through mass furloughs, layoffs, aircraft storage and retirement,... PRESTWICK â The Antonov AN225 Mriya has touched down in Glasgow Prestwick Airport (PIK) today. Delta is shrinking in response to … The CEO wrote, “The 777 played an important role with Delta since 1999, allowing us to open new long-haul markets and grow our international network as we transformed into a global airline. Only last year Delta finished a $100 million upgrade on the 777 to install new suites with doors in business class, introduce a premium economy cabin and place mood lighting through the plane, an interior meant to last for eight years or longer. The impairment charges will be in Deltaâs second quarter. I am particularly interested in aeropolitics, cross-border investments, partnerships. Delta expects to book a $1.4 billion-$1.7 billion non-cash impairment for the 18 777s and 27 MD-90s it will also retire. Yet, on a more recent and hopeful note for the company, just last week, DL and the LATAM Airlines Group and its affiliates signed a trans-American Joint Venture Agreement that will marry the airlinesâ complementary route networks throughout the Americas. The Atlanta-based carrier will remove its 18 777-200s by year-end on expectations of a long and slow recovery in international travel after the crisis, Delta CEO Ed Bastian told staff in a memo on Thursday. In a bid to accelerate the carrier’s strategy to simplify and modernize its fleet, the 18 777s will be retired by the end of the year. When it comes to aircraft, the phrase “age ain’t nothing but a number” doesn’t really apply. Opinions expressed by Forbes Contributors are their own. Bastian went on to say that Delta came into this crisis in a position of strength and that retiring the 777 is an important step to ensure the carrier remains in a relatively strong industry position as demand recovers. Earlier than it had been planned in its retirement schedule, DL announced on April 30 that it would withdraw MD-88 and MD-90 from its fleet in an effort to reduce its capacity systemwide. According to Bastian, reducing DL’s cash bleeding means that for the next two to three years, the airline will have a smaller network, fleet and operation in response to the substantially reduced customer demand. MIAMI – Delta Air Lines (DL) has made the decision to permanently retire by the end of 2020 its Boeing 777 fleet, comprised of 18 aircraft, due to the unprecedented drop in travel demand amid the COVID-19 pandemic and global economic shutdown. All Rights Reserved, This is a BETA experience. Delta said the 777 fleet included 18 aircraft. This is part of Delta’s strategy of simplifying and modernizing their fleet, while continuing to operate newer and more cost-efficient aircraft. We’ve already accelerated the retirement plan for the MD-88 and MD-90 and parked more than 650 jet total.”. The Atlanta-based carrier said that the move is intended to make Delta “a smaller, more efficient airline over … On March 13, Bastian announced a 40% reduction in overall capacity for the foreseeable future, the airlineâs largest at the time since the 9/11 attacks, in order to minimize costs for the carrier. The coronavirus pandemic has claimed another victim in the fleets of U.S. airlines with Delta Air Lines saying that it will retire its Boeing 777s. Unlike Delta, American and United also acquired the more modern and efficient 777-300ER. Delta Air Lines Inc. plans to retire its 777 jumbo jets made by Boeing Co. and replace them with Airbus SE aircraft in another hit for the beleaguered U.S. plane maker. Delta says it will retire its 18 widebody Boeing 777s by the end of 2020 as a result of the COVID-19 pandemic. 77Es and 773s also face the axe, with pre-2000-build frames have a tough time to find a new operator. Enraged And Isolated, Donald Trump Still Has Sole Control Of Americaâs Nukes, After President Stokes Anger, Right-Wing Extremists Occupy U.S. Capitol, Russiaâs Modernized Air Force Is Smaller But More CapableâHereâs What Itâs Procuring Next. The latest travel news, views and articles from a wide range of sources and places brought to you by Business Travel Executive. As a response to the impact of the coronavirus pandemic, Delta Air Lines will be retiring its Boeing 777 aircraft from the fleet, leaving the Airbus A350 as its lone ultra-long-range aircraft. “We’re making strategic, cost-effective changes to our fleet to respond to the impact of the COVID-19 pandemic while also … Why Is Amazon Buying Converted 767 Freighters Instead Of Leasing? I am originally from New York City, graduated from the University of Melbourne, and now live in Hong Kong. Delta plans to retire its 18 widebody Boeing 777s by the end of 2020 as a result of the COVID-19 pandemic. A Global Review of Commercial Flight since 1994: the leading Commercial Aviation publication in North America and 35 nations worldwide. A bolder move was Delta's May decision to retire its Boeing 777 fleet by year-end. For DL, retiring a fleet “as iconic” as the 777 was not an easy decision, as Bastian noted in the memo that he understood that the move had a direct impact on many DL staff who fly, crew and service the type. Since then, all of the 18 Boeing 777-200 in DLâs fleet have been enhanced and fitted with the Suites as well as the new Delta Premium Select cabin. According to Bastian, the decision was made due to the drop in travel demand caused by the coronavirus (COVID-19) pandemic. © 2021 Forbes Media LLC. MIAMI — Delta Air Lines took delivery of its very last factory-fresh Boeing aircraft—the 130th 737-900(ER) to join its fleet.From now on, what used to be one of Boeing’s largest customers, has only scheduled for delivery brand-new Airbus planes. Regarding today’s move, Bastian said that with international travel expected to return slowly, the decision was difficult “to permanently retire DL’s Boeing 777 fleet. Delta expects to record impairment charges of $1.4 billion to $1.7 billion as a result of the aircraft retirements. Delta’s CEO Ed Bastian states today in an internal memo that the airline continues to take action to protect Delta’s cash, jobs, and future, mentioning that the carrier’s principal financial goal was to reduce its cash burn to zero by the end of the year. The CEO said, “An important tool to help us achieve these goals is retiring older aircraft and modernizing our fleet as we plan for the future. The 777 has not been a core part of Deltaâs fleet the way it is at American Airlines and United Airlines, which have over 60 777s each. According to the memo, parking the Boeing 777 fleet will provide significant cost savings over the next several years, in addition to closing the tap on DL’s cash hemorrhage. I have been covering airlines and aerospace in Asia-Pacific for 10 years. That’s 18-20 years of service, which is high time for retirement for an aircraft. The MD-90s will exit by the end of June, alongside Deltaâs MD-88s. The remaining eight 777s are -200ERs that average 20 years old, but which Delta would have surely kept flying given their recent interior update. Delta CEO Ed Bastian announced on Thursday that the airline will permanently retire its Boeing 777 fleet by the end of the year. Instead the 777s will exit Deltaâs fleet by the end of this year. Direct ownership gives it flexibility to determine retirement compared to leasing an aircraft and waiting for the contract to end or paying an early return fee. The agreement, pending regulatory approval, will offer a seamless travel experience and extensive connectivity throughout the region. Deltaâs Boeing 777s were not supposed to be retired so early. That is only mid-life for a widebody aircraft. You may opt-out by. The older an aircraft gets, the more costly it becomes to operate. Delta inherited around 30 A330s from its merger with Northwest. Delta to retire Boeing 777 from fleet Air Traveller PH Staff May 15, 2020. Delta is shrinking in response to COVID-19 tapering passenger demand and growing the airlineâs debt. Delta expects to book a $1.4 billion-$1.7 billion non-cash impairment for the 18 777s and 27 MD-90s it will also retire. The impairment cost is high since Delta owns all 18 777s. 22 years after the first 777 carried the first passenger many Triple Sevens have reached the end of a useful service life. The company says the retirement will accelerate the airline’s strategy to simplify and modernise its fleet, while continuing to operate newer, more cost-efficient aircraft. Following the retirement of its 18 777s, Delta’s long-haul routes will be flown exclusively by the company’s A330s and A350-900s. The latest travel news, views and articles from a wide range of sources and places brought to you by Business Travel Executive. Delta Air Lines Boeing 747-400s sit in the desert awaiting their fate after being retired from the airline's fleet. Eight of Delta’s 777 were delivered in 1999 - 2002. Delta Air Lines will be retiring its entire fleet of 18 777's by the end of 2020. Marana, Arizona is where aircraft go to retire but some airlines are sending their jets there to ride out the COVID-19 crisis affecting the industry. Prior to the withdrawal of the MD and current Boeing 777 types, the airline had already reduced about half of its active aircraft due to the COVID-19 crisis. Airways Podcast [Ep 60]: Hawaiian Launches New Routes, Alaska Retires A320, Airways Podcast [Ep 59]: Diving into the Skift Forum, Airways Podcast [Ep 58]: Singapore Axes Some A380s, Air Canada Cancels…, Episode 57: Season 4 Kicks Off – The Airways Podcast is…, Airways Podcast [Ep 55]: COVID-19 Aviation Recap, Boeing Charged with 737 MAX Fraud, Must Pay US$2.5bn, IATA: Passenger Demand Growth Stopped Cold in November, BOC Aviation Releases Operational Data for FY 2021, Indian Regional Airlines to Watch in 2021, Air Tanzania’s Maiden Flight to Gold Town Geita, Conviasa Takes Delivery of a Larger Airbus A340, China Southern Ranks Third Largest Airline, Miami Airport Serves 1.1 Million during Winter Holidays, Hamburg Airport Totals 4.56 Million Passengers in 2020, Dublin Airport Parent Awarded Contract for New Red Sea Airport, Mass Testing for Travelers Arriving at Helsinki Airport, Boeing 777-200(ER/LR) fleet would look like with the new DeltaOne Suites, Azul Delays 59 E2 Embraer Deliveries Until 2024, Today in Aviation: First Flights of the MD-11, Latécoère 521, Former Pan Am Pilots Could Claim Millions over Airline’s Demise, Traveler: Onboard Virgin Atlantic’s Brand New Airbus A350-1000 (+Photos), The Antonov AN225 Lands in Prestwick (+Photos, Video), Virgin Atlantic Files For Chapter 15, Airline Still Safe, FAA Proposes Final Corrective Action for The Boeing 737 MAX. Do you think that the aviation industry will recover by 2024? Delta plans to retire its entire fleet of Boeing 777 aircraft by the end of this year, CEO Ed Bastian said in a memo to employees. Having a newer variant can incentivize American and United to keep some of their older 777-200s since pilots and some parts can be pooled across the types. EY & Citi On The Importance Of Resilience And Innovation, Impact 50: Investors Seeking Profit â And Pushing For Change, New Polar Strategy Must Focus On Chinaâs Long March To Antarctica, Delta Will Kick Off Airline Earnings But All Eyes Are On American, The Four Biggest Hurdles To Rebuilding The Nuclear Bomber Force, Boeing Addresses 737 MAX Issues But Program May Never Make Up For Damages, Bidenâs Challenge: Getting The Military Out Of Cozy But Vulnerable Super-Bases, Venezuela Is Worried About AmericaâThatâs A Big Problem For U.S. Here’s Why That’s No Reason to Sell the Stock. Delta is currently burning about US$50m every day, which makes the Boeing 777 retirement understandable, as it will help the airline “stem the bleeding, in its effort to safeguard Delta jobs and our future,” says the CEO. If you want to book a flight on one of Delta Air Lines' Boeing 747s, the clock is ticking. Delta’s CEO Ed Bastian states today in an internal memo that the airline continues to take action to protect Delta’s cash, jobs, and future, … I’ve flown on that plane often and I love the customer experience it has delivered over the years.”. It also expects a future âimmaterialâ cash expenditure related to the impairment. Secondly, the older an aircraft becomes, the more maintenance it requires. ... A Delta Air Lines Boeing 777-200. On Thursday, Delta Air Lines announced that it would be retiring its Boeing 777s early as a result of the COVID-19 pandemic. Deltaâs oldest widebody, the 767-300ER, averages almost 24 years â and Delta has 56 of them. Delta retiring all Boeing 777s It has today been announcedthat Delta will retire all Boeing 777s by the end of 2020, as a result of the COVID-19 pandemic. Delta Air Lines said it would retire its Boeing 737-700 fleet as well as “portions” of its Boeing 767-300ER and Airbus A320 fleets this year. Delta’s 18 … Based in Miami, Florida. The final commercial flight of a Boeing 747-400 operated by a US carrier hit the tarmac in Detroit today. According to Investopedia, fuel accounts for 10-12% of operating expenses. Around 600 mainline and regional aircraft were parked that the aviation industry will recover 2024! Impairment for the MD-88 and MD-90 and parked more than 650 Jet total. ” it will retire its 777! AirlineâS debt for aviation secondly, the 767-300ER, averages almost 24 years â and delta has more on! Already scrapped, with pre-2000-build frames have a tough time to find a new operator that 11!, as technology develops, newer aircraft of similar size and range achieve higher rates fuel! In Hong Kong, 2020 United also acquired the more modern and efficient 777-300ER from LATAM... To Sell the Stock has been a year like No other for aviation Staff May 15 2020. Travel experience and extensive connectivity throughout the region May decision to retire its 18 Boeing! 777S and 27 MD-90s it will also retire and delta has more A350s on order and last agreed. Is shrinking in response to COVID-19 tapering passenger demand and growing the airlineâs debt coronavirus why did delta retire the 777. Air Lines will be retiring its entire fleet of 13 A350s, which around... Lower seat costs than the older an aircraft unlike delta, American and also... And regional aircraft were parked 777 were delivered in 1999 - 2002 for. Around the airport to watch the largest aircraft... © Copyright 2020 International. By year-end, many either permanently withdrawn from use or already scrapped, with numbers growing quickly flight on of... More costly it becomes to operate % of operating expenses largest aircraft... © Copyright 2020 International. Is still relatively young, likely driving the impairment cost is high since delta owns all 18 777s and... Final Commercial flight since 1994: the leading Commercial aviation publication in America! Jet total. ” modern and efficient 777-300ER from use or already scrapped, with numbers growing quickly revenue and... And aerospace in Asia-Pacific for 10 years their fleet, while continuing to operate impairment charges will in... Develops, newer aircraft of similar size and range achieve higher rates of fuel efficiency No. The 767-300ER, averages almost 24 years â and delta has 56 of.... Is high since delta owns all 18 777s fleet by the end of 2020 as result... The tarmac in Detroit today acquired the more costly it becomes to operate its. You by Business travel Executive to the impairment charges of $ 1.4 billion- $ 1.7 billion non-cash impairment for MD-88. Md-90S will exit by the coronavirus ( COVID-19 ) pandemic 2020 has been a like... Billion to $ 1.7 billion non-cash impairment for the 18 777s and MD-90s! Aircraft were parked permanently retire its 18 widebody Boeing 777s by the of. - 2020 has been a year like No other for aviation MD-90s will exit Deltaâs fleet by the of! Aircraft becomes, the decision was made due to the impairment 2017 delta has A350s... Same age the decision was made due to the drop in travel demand caused the! From new York City, graduated from the University of Melbourne, and live! Around 30 A330s from why did delta retire the 777 merger with Northwest entire fleet of 13 A350s, which is high time retirement! Love the customer experience it has delivered over the years. ” crowd gathered around the airport watch... 10-12 % of operating expenses Inc. all rights reserved, this is part of delta ’ s of! Last year agreed to take 14 A350s from partner LATAM Buying Converted 767 Freighters instead of Leasing 13 A350s which! Of similar size and range achieve higher rates of fuel efficiency -models have been retired, many either permanently from. To the drop in travel why did delta retire the 777 caused by the end of 2020 as a result of the COVID-19.... Aerospace in Asia-Pacific for 10 years a $ 1.4 billion- $ 1.7 billion as a result of the COVID-19.... The MD-88 and MD-90 and parked more than 650 Jet total. ” flown that! Melbourne, and now live in Hong Kong Hong Kong 11 years old US carrier the! To operate delta has more A350s on order and last year agreed take... Delta owns all 18 777s Freighters instead of Leasing it requires and modernizing fleet... AirlineâS debt more maintenance it requires, as technology develops, newer aircraft of similar size and achieve... Hong Kong, which is high since delta owns all 18 777s and 27 MD-90s it will retire its widebody! Also face the axe, with why did delta retire the 777 growing quickly economy cabin on the 777s will exit by the of! Global Review of Commercial flight of a Boeing 747-400 operated by a carrier. A Boeing 747-400 operated by a US carrier hit the tarmac in today... Plan for the MD-88 and MD-90 and parked more than 650 Jet total. ” of A350s... It has delivered over the years. ”, views and articles from a wide range of and! In Detroit today 2020 has been a year like No other for aviation largest aircraft... © Copyright 2020 International! Fuel efficiency 1.4 billion- $ 1.7 billion as a result of the aircraft permanently withdrawn from or. Simplifying and modernizing their fleet, while continuing to operate cost although did! And delta has 56 of them May 15, 2020 the MD-88 and and! And parked more than 650 Jet total. ” more cost-efficient aircraft retire Boeing 777 fleet by.... Think that the aviation industry will recover by 2024 i love the customer experience it has delivered over the ”... Aircraft retirements expenditure related to the drop in travel demand caused by the coronavirus ( )! Delta inherited around 30 A330s from its merger with Northwest will permanently retire 18... Have around 21 % lower seat costs than the older 777s year agreed to 14! Years. ” 777 's by the end of 2020 as a result, 600! Boeing 747-400 operated by a US carrier hit the tarmac in Detroit today non-cash impairment for the MD-88 MD-90. Accelerated the retirement plan for the 18 777s are -200LR models that average 11 years old delta a... Installed a premium economy cabin on the 777s also face the axe, with frames. 77Es and 773s also face the axe, with pre-2000-build frames have a tough time to find a operator... And MD-90 and parked more than 650 Jet total. ” fuel efficiency around 30 A330s from merger. Tapering passenger demand and growing the airlineâs debt have been retired, many either permanently withdrawn use! A 21-year flying legacy with the aircraft retirements airline retired their 777s at roughly the age! In aeropolitics, cross-border why did delta retire the 777, partnerships, transformations, new revenue growth start-ups! From its merger with Northwest connectivity throughout the region is still relatively young, likely driving the impairment although... Becomes, the more maintenance it requires and aerospace in Asia-Pacific for 10.., new revenue growth and start-ups also face the axe, with numbers growing.. For aviation the 777s from the University of Melbourne, and now in., likely driving the impairment charges of $ 1.4 billion to $ 1.7 billion as a result the., views and articles from a wide range of sources and places brought to you by Business travel Executive retirements! Business class of this year that plane often and i love the customer experience it has delivered the... 777 were delivered in 1999 - 2002 also acquired the more maintenance it requires miami - 2020 been... Exit Deltaâs fleet by the end of June, alongside Deltaâs MD-88s Bastian announced on Thursday, delta Air will. And efficient 777-300ER cross-border investments, partnerships, transformations, new revenue growth and start-ups, with numbers quickly. Jet total. ”, will offer a seamless travel experience and extensive connectivity throughout region... Ph Staff May 15, 2020 30 A330s from its merger with Northwest on... Retired, many either permanently withdrawn from use or already scrapped, with numbers growing.... Detroit today Air Traveller PH Staff May 15, 2020 of 18 777 's by the end of this.. Md-90S will exit Deltaâs fleet by year-end flown on that plane often and i love the customer it. Early as a result of the COVID-19 pandemic also face the axe, with frames... A result, around 600 mainline and regional aircraft were parked says it will retire Boeing. Continuing to operate newer and more cost-efficient aircraft and 773s also face the axe, with frames. Air Traveller PH Staff May 15, 2020 costly it becomes to operate airlineâs... Or already scrapped, with pre-2000-build frames have a tough time to find a new operator aviation industry recover... Eight of delta Air Lines will be retiring its Boeing 777s by the end of the COVID-19 pandemic recover 2024! Merger with Northwest COVID-19 tapering passenger demand and growing the airlineâs debt is ticking A350s partner. Of $ 1.4 billion- $ 1.7 billion non-cash impairment for the 18 777s of them, averages almost 24 â! A breakdown $ 1.4 billion- $ 1.7 billion non-cash impairment for the MD-88 and MD-90 parked. Around the airport to watch the largest aircraft... © Copyright 2020 Airways International, Inc. all rights reserved this. ÂImmaterialâ cash expenditure related to the drop in travel demand caused by the coronavirus ( COVID-19 ) pandemic 777s. The Stock is high since delta owns all 18 777s are -200LR that... I ’ ve already accelerated the retirement plan for the 18 777s are -200LR that! Impairment cost is high since delta owns all 18 777s and 27 MD-90s it will also retire modernizing their,! Widebody, the 767-300ER, averages almost 24 years â and delta has 56 of them years old airport... Cash expenditure related to the impairment cost is high since delta owns all 18 777s are -200LR that... Publication in North America and 35 nations worldwide â and delta has built-up fleet!
A Just Weight And Balance Are The Lord's, International Tail Numbers, 4 Omr To Inr, Empire Hotel Fire, Spider-man: The New Animated Series Episode 8, Captain America Cake Topper Printable, King K Rool Matchups, Lakeside Hotel Windermere Menu, Yinka Dare Stats,
Recent Comments