What will Republic do with their big C-Series CS300 Order?

[General Lee]

No fighting boys

I see mainline United getting all those orders and options from Republic and converting them to -300 orders
80 new planes with 125 seats is a must for UAL
In return they will sign another 80 175 with Republic in 2016 after the scope required date.


Think about it

Thanks Nostradamus, that actually might work. But, if your theory does, it would support my opinion that none of the three legacies will allow planes over 76 seats at their Regionals. That was my point all along.



Bye Bye---General Lee

 

[freightrash]

BB was cririticizing in his letter that SKW's E2 order was stupid, because of scope clause. So it will be interesting to see what he will do with this Cseries order. But I guarantee 100% he will sell those slots to other airlines. Or RAH's new subsidiary,,Republic Aircraft Leasing LLC will form soon.

 

[johnsonrod]

No fighting boys

I see mainline United getting all those orders and options from Republic and converting them to -300 orders
80 new planes with 125 seats is a must for UAL
In return they will sign another 80 175 with Republic in 2016 after the scope required date.


Think about it

Thanks Sniper. Finally a sensible response! I agree with your prediction. The CS300 could fit in well at both UAL and Delta down the line... Hope they finish testing as scheduled in 2015.

 

[WSurf]

Thanks Sniper. Finally a sensible response! I agree with your prediction. The CS300 could fit in well at both UAL and Delta down the line... Hope they finish testing as scheduled in 2015.

Unless United gets the CS300 on the cheap why would you want a plane that is pretty much a Airbus 319? The C-Series is trying to muscle in on a market that already has Boeing and Airbus all up in it.

Good luck with that.

 

[johnsonrod]

Unless United gets the CS300 on the cheap why would you want a plane that is pretty much a Airbus 319? The C-Series is trying to muscle in on a market that already has Boeing and Airbus all up in it.

Good luck with that.

Apples to oranges except for seating. The C-Series (especially the CS300) has much better CASM numbers and it has the range to easily fly Sarasota to Seattle with a full load on a summer day (I'd like to see AS add that route to Seattle!):

http://commercialaircraft.bombardier.com/en/cseries/Flexibility/Range-Capabilities.html

and

http://commercialaircraft.bombardier.com/en/cseries/Flexibility.html


At 120-140 seats, the CS300 incorporates new technology with much better fuel burn, and to my knowledge, nobody has ordered the A319NEO here in the States. Plus, Anderson at Delta has acknowledged that he is not a fan of the 737-700 (only 5-10 in the fleet total) - so, that aircraft would not work in terms of adding further 700 fleet numbers.

The E190 E2 might be a worthy competitor to the CS300 for UAL or Delta orders in that seat range, but the E190 E2 will also incorporate new technologies (including sidesticks) that could push a potential start date further out just like the C-Series. Ya never know....

 

[WSurf]

Well they better get more orders cause they are way in the black on this bird.

 

[asayankee]

I believe you got your colors a bit mixed up there WSurf.....Being in the black is a GOOD thing. In the red you are losing money.

 

[Jetjockey]

UAL scope allows additional 76/70 seat airplanes if Mainline adds to it's small narrowbody fleet. I predict Republic will use it's positions and orders to trade UAL it's spot on the CS100 production line for a large chunk of the additional 76 seaters allowed. Then United mainline will take a mix of CS100/300. Sort of a win win for all parties involved. Just my guess for what it's worth.

 

[RT8VA]

These CEO's whether regional or major all play at the same clubs, don't expect SKY West management to make some play against Delta for it's employees at the cost of their airline because it wont happen. When Independence went out on it's own it was a different airline industry, one where there were many players and a lot to defend. Management at all companies work together much more than the fighting on this board by a bunch of people who make no decisions out side of the airplane.

Larry Kellner went out on to his own company and then hired the ex CEO of American Airlines and has also been named to Boeings board. Like your friends in college they will all stick together and make money for themselves that is just business.

 

[General Lee]

These CEO's whether regional or major all play at the same clubs, don't expect SKY West management to make some play against Delta for it's employees at the cost of their airline because it wont happen. When Independence went out on it's own it was a different airline industry, one where there were many players and a lot to defend. Management at all companies work together much more than the fighting on this board by a bunch of people who make no decisions out side of the airplane.

Larry Kellner went out on to his own company and then hired the ex CEO of American Airlines and has also been named to Boeings board. Like your friends in college they will all stick together and make money for themselves that is just business.

Yeah, but scope clauses won't be broken, especially with higher profits out there (meaning fewer concessions). That leaves feeding Alaska Air (bad scope), or going independent. Going independent means a lot of extra start up costs that the prior Regional didn't have, like reservations, marketing, fuel procurement, etc. Then, they'll have to fight for marketshare, and trying to become a new entrant means fighting legacies, and maybe worse fighting LCCs.

Indy Air tried, didn't last long. Expressjet tried out of ONT, didn't last long. I know you think all of the CEOs are buddies, but when it comes to their own Xmas bonus or yearly stock options, they aren't thinking of the other guys. The Indy Air experiment showed how ruthless ALL of the airlines got against the new comer. And huge profits at the legacies means super duper low fares around any new entrant. The only successful entrant in the last 6-7 years was VA, and they had a lot of cash and there was a hole in transcon service at the time. Since then, JetBlue has added "Mint", and each legacy has added lie flat seats or new products. Then, add huge retirements coming up, and the legacies may pull pilots away from start ups too.

It's not a very good environment for start ups these days. The competition has a lot of extra cash to burn going after anyone new.



Bye Bye---General Lee