Delta Future- Crystal ball needed

[DLslug]

This just in!!


Anyone else hear that DL is considering Airbus jets??

Of course, I just posted yesterday that I think they will stay all Boeing...shows how much I know!

P.S. I liked the Delta Union's respose to mgts counter-offer today. Management better go back to the board room and think this one thru.

All for now,

DLslug

 

[dtfl]

Just my $.02

I made a comment on our future back when Leo was negotiating our contract in 2000. I made it to some friends concerning RJs, etc when they asked about what was being negotiated. Well the reason I still think this is...a friend who was near the bottom of the F/As took a job with a family in HI flying as the F/A on a G-IV. One of the family friends was the COO of CAL. He said he sees Delta ( the same way I predicted - and this is very simplified) as - RJs (of some sort 70-100 seat) into the hubs. All US flying is SONG and the only Delta tail flashes (unless they delete the Song brand) on international flights.
That is what I think the future holds. What is interesting is how we will lure the business and 1st class passengers that WANT to spend more on US flights. I guess they will deal with business class seating until they get on the ER or 777.
Just my $.02

As far as the scarebuses....I would think an all Boeing fleet would reduce MX and training costs. I was at Farnborough and Airbuses were selling like hotcakes - but to all foreign markets.

 

[On Your Six]

A318 should be the 100 seater if you order enough A319s and A320s

How about this:

Reduce fleet to 3-4 types with:

1. A318 (the magic 100 seater), A319, A320
2. 757 and 767
3. 764 and 777 (basically similar cockpit) and maybe 7E7

You would only need 3-4 simulator types max. It actually makes a lot of sense and I bet Airbus would be willing to do a deal for a big order of smaller Airbi.

This would answer that magic 100 seater question.... The EMB-190 would be another aircraft type and different parts, training, etc. and would therefore add more complexity to the package because it would be different than the current 737-300, 737G (300 with glass), 737-800, MD88/90, etc. - why not just streamline the short haul fleet with Airbus (everyone else is doing it...)? Frontier is using the A318 and as far as I know, not many have been ordered beyond Frontier and Air France. Better hurry before Virgin America makes its big, confirmed Airbus order....

 

[BoilerUP]

why not just streamline the short haul fleet with Airbus (everyone else is doing it...)?

Just cuz everybody else is doing it doesn't make it right...if everybody jumped off a bridge, would you jump too?

In all seriousness, Boeing seems to be so integrated into the Delta lifestyle that it would be a MAJOR change to switch to an all Airbus fleet. They'd have a huge capital outlay to replace simulators, spare parts, and other support items before you even got into the issue of aircraft acquisition and training. Sure they could trade-in some things, but they'd probably still lose their behinds doing it. Besides, you'd have a split Airbus/Boeing fleet, which could be a headache.

I see DAL sticking with Boeing, because of their exisiting fleet and long-running relationship. I had never thought of the 736 before, but it fits perfectly with their exisiting fleet of 738s. Common parts, common mx, common sense.

But stranger things have happened in this industry...

 

[On Your Six]

I hear Boeing has had an antagonistic relationship with Delta. If Airbus offered the right price (needed given Delta's precarious financial position), then I wouldn't count them out because again, it would simplify the fleet AND provide a proven 100-seater that would require no additional training if the A319 and A320 were included...

Having dual manufacturers working with Delta could be good for negotiating leverage down the line when the 767-300/400s need to be replaced too. Fred Reid, the former President who is now heading Virgin America, had already started discussions with Airbus (given his previous work at Lufthansa - he's worked with Airbus in the past) about 100 seat options.

It could happen (the full Airbus shorthaul lineup has worked well for other companies) and it would take care of the 100 seater question....

 

[General Lee]

Boilerup,


Apparently we aren't having the best relationship with Boeing at the moment. On your six is correct. The rumor I keep hearing in the ATL lounge (which may not be correct) is that we are in search of a 100 seater to replace our old 737-200s--and the A318 AND FAMILY is the primary consideration at this time. The main reason for that as A POSSIBILITY is because of the common cockpit, which would equal less training costs and less maintenance. This, of course, would occur after a large concession. We shall see.


Bye Bye--General Lee