New Emirates order....

[KarmaPolice]

http://www.seattlepi.com/business/boeing/article/Report-Emirates-negotiating-record-Boeing-order-4932693.php



Emirates airline is "in advanced negotiations" with Boeing on what could be a record-breaking order, The Financial Times reported Sunday.

Specifically, Emirates is looking ordering 100 to 175 777X airliners, becoming the launch customer for the revamped version of Boeing's large, two-engine jet, according to the story. The order could top $30 billion at list prices, although customers routinely get substantial discounts.

Boeing's current record order is Lion Air's deal to buy 230 737s, worth $22.4 billion at list prices.

Emirates is the largest 777 customer in the world, with 139 ordered, including 61 yet to be delivered. That's nearly twice as much as second-place Singapore Airlines, which has ordered 73 777s.

Emirates also is looking into buying more Airbus wide-body aircraft, including super-jumbo A380s and composite A350s, The Financial Times reported.

 

[KarmaPolice]

Legacy carriers' service needs to evolve to face what will be the biggest challenge to the business model over the next ten years. But how much can we do when our IFS teams are traditionally associated with words like: frumpy, overweight, lazy, rude, uncaring, old, tired, and entitled?

I don't know how it is at United and AMR, but I know where I'm at, once Emirates figures a way to compete with our Frequent flier program, exploits 5th freedom rights, and leverages its competitive advantage via UAE support, we are going to get pushed out of route after route. How easy will it be to start connecting random city pairs between Europe and the USA, kind of like a global SWA point to point?

Both EU and especially US Governments have proven they have no interest in protecting domestic corporations from global competition.

The only way to survive is going to be to try and compete head on, and if my customers' experience via our IFS team today was any indicator, we are screwed.

 

[8sugarsugar]

The only way to survive is to join them. JetBlue, Alaska and most recently Virgin America have all inked deals with Emirates for US domestic.

Not screwed, but in 10 years most of the widebody flying by "brand name majors" will be disappearing.

Its eerie to be sitting in Dubai on an Emirates 380 bound for JFK and hear a sultry female russian accent say, "welcome to this Emirates flight 203 in association with JetBlue"

 

[cbrown1]

It's funny, Emirates has airplane orders larger than most airlines' entire fleets.

Does anyone else think it's silly the DOJ is pitching a fit because AA and US want to merge but it's ok for a State-run and State-owned airline that has unlimited funds to saturate the market?

 

[enuffalready]

It's funny, Emirates has airplane orders larger than most airlines' entire fleets.

Does anyone else think it's silly the DOJ is pitching a fit because AA and US want to merge but it's ok for a State-run and State-owned airline that has unlimited funds to saturate the market?

Nobody in Dubai votes in congressional races.

 

[Kharma Police]

Nobody in Dubai votes in congressional races.

True, but they have something better, lobbyists.

 

[General Lee]

Legacy carriers' service needs to evolve to face what will be the biggest challenge to the business model over the next ten years. But how much can we do when our IFS teams are traditionally associated with words like: frumpy, overweight, lazy, rude, uncaring, old, tired, and entitled?

I don't know how it is at United and AMR, but I know where I'm at, once Emirates figures a way to compete with our Frequent flier program, exploits 5th freedom rights, and leverages its competitive advantage via UAE support, we are going to get pushed out of route after route. How easy will it be to start connecting random city pairs between Europe and the USA, kind of like a global SWA point to point?

Both EU and especially US Governments have proven they have no interest in protecting domestic corporations from global competition.

The only way to survive is going to be to try and compete head on, and if my customers' experience via our IFS team today was any indicator, we are screwed.

No, that isn't entirely correct. First, there is a space problem, meaning gate space. Not enough extra space to bump US carriers out of route after route. Then there is a landing slot problem. Then there is the fact that people from the US won't fly to Dubai first, then backtrack to Europe or even Asia. Too far.

The Europeans, Australians, and some Asia carriers (like SQ) are having problems, primarily because the Gulf cities like Dubai, Abu Dhabi, and Doha are in a straight line towards Europe, SE Asia, and Australia. Several European countries like Germany, France, and Austria have imposed limits on EK and more will join them if their own national airlines complain more. The problem with the other countries in Europe is that many of the national airlines are failing financally, and the Gulf carriers are willing to put up some money to buy influence it seems. (But not the biggies like Germany and France). Even Canada limits Gulf carriers to 3 flights per week, with only one city each in Canada. They see the big picture. Etihad has a codeshare with AC though, but it's a flow of pax through London Heathrow.

Will EK and the like affect US carriers in the US? So far, not really. EK will add a route to Milan from JFK and probably abandon it soon after thanks to 4 other carriers (DL, UA, AA, and AZ) doing it too. EK does have a codeshare with JB now that can allow pax to flow into the US, but in JFK the terminals are different, and BOS is the same, no direct access to connections. I guess it's better than nothing....

Will EK and others cherry pick key US routes to key INTL cities? They will try, and it all depends on how the US legacies defend their hubs and how full the airports are. Foreign Gov'ts also don't want extra competition for their own national airlines on those routes. Hopefully EK isn't using the EXIM bank subsidies anymore too. That was disgraceful. That money was for poor nations.


Bye Bye---General Lee

 

[General Lee]

The only way to survive is to join them. JetBlue, Alaska and most recently Virgin America have all inked deals with Emirates for US domestic.

Not screwed, but in 10 years most of the widebody flying by "brand name majors" will be disappearing.

Its eerie to be sitting in Dubai on an Emirates 380 bound for JFK and hear a sultry female russian accent say, "welcome to this Emirates flight 203 in association with JetBlue"

Then they get off in JFK and have to go though customs, and then get their bags and find their way to the JB terminal.... They might try it once.... Same in BOS.


Bye Bye---General Lee

 

[8sugarsugar]

To waste my valuable time correcting General Lee......

http://www.exim.gov/about/whoweare/ no where does it say the Export/Import bank is only for poor nations. Plus, only 12% of all aircraft owned by Emirates were financed through the ExIm Bank

http://cdn.ek.aero/english/images/airlines and subsidy - our position new_tcm233-845771.pdf

Loads on JFK-MXP are already oversold just after 30 days of service. Good for job security, bad for staff travel.

All international arrivals are never easy...customs, rechecking your bag, moving terminals.

Maybe you are hinting at the next deal struck? JFK, Terminal 4, future customs pre-clearance in Dubai, Delta/Emirates marriage sounds like a match made in heaven.

The first US major that strikes a deal with Emirates similar to Qantas will reap handsome rewards. Fighting the 5th freedom push will only result in a slow death of wide body international operated by the Majors.

No one here admits that traveling on Delta/United is a pleasant experience. It sucks, it sucks really bad. Many have no choice because you are right for now, they won't travel to Dubai, then reverse to Europe.

But....Expect more 5th freedom Euro/US flights operated by Emirates in the future for the exact reason stated above.

 

[General Lee]

To waste my valuable time correcting General Lee......

http://www.exim.gov/about/whoweare/ no where does it say the Export/Import bank is only for poor nations. Plus, only 12% of all aircraft owned by Emirates were financed through the ExIm Bank

http://cdn.ek.aero/english/images/airlines and subsidy - our position new_tcm233-845771.pdf

Loads on JFK-MXP are already oversold just after 30 days of service. Good for job security, bad for staff travel.

All international arrivals are never easy...customs, rechecking your bag, moving terminals.

Maybe you are hinting at the next deal struck? JFK, Terminal 4, future customs pre-clearance in Dubai, Delta/Emirates marriage sounds like a match made in heaven.

The first US major that strikes a deal with Emirates similar to Qantas will reap handsome rewards. Fighting the 5th freedom push will only result in a slow death of wide body international operated by the Majors.

No one here admits that traveling on Delta/United is a pleasant experience. It sucks, it sucks really bad. Many have no choice because you are right for now, they won't travel to Dubai, then reverse to Europe.

But....Expect more 5th freedom Euro/US flights operated by Emirates in the future for the exact reason stated above.

Nah, you're wrong. Not enough gate space or slots at large US airports to fulfill your grandiose dreams. Your pax have a lot more work to do connecting to JB rather than staying on one airline. When was the last time YOU did it? Riiiiiiight.

And DL and ALPA both brought up your airline's misuse of the EXIM Bank, and WON a legal ruling to make sure the bank publicly states what deals they make, which hopefully will curtail it.

Great news about the loads on your MXP to JFK flight. How about future Birmingham to BOS? Whaaaaaaat? How about Southampton to Des Moines? Talk about a waste of time.

One great thing about pilot group scope clauses at certain legacy airlines, is the ability to approve or disapprove of Joint Venture partners. The JV you have with Qantas is very unlikely in the States. It just won't float, and the primary pilot union, ALPA, continually warns against the Gulf Carriers. Ummmm, unlikely. Alliances? Probably. QR just joined Oneworld, right? A JV like the one with Qantas? Very doubtful.

Also, congrats on the profits on those new MXP to JFK flights. That must mean huge profit sharing checks for you. DL made $1.37 Billion this last quarter, which throws in a huge chunk into the profit sharing pool. So, how much did you get last year or this year? Have a great one! Put on the sunscreen.



Bye Bye---General Lee