Comair could defer B737 MAX deliveries

Illustration of Kulula B737 Max 8

Comair (South Africa) (MN, Johannesburg O.R. Tambo) could defer deliveries of two of the eight B737 MAX 8s it has on order from Boeing (BOE, Chicago O'Hare) owing to South Africa's weak economic growth.

The firm's Chief Executive Officer (CEO) Erik Venter told Reuters that Comair could delay the delivery of two of four MAX 8s due in 2019, to as far out as 2022. Under the original plan, the order would have run from 2019 through to 2021 with pre-delivery payments of USD9.7 million to have been made during 2H FY2017.

Comair said in a 1H FY2017 earnings disclosure in December last year that South Africa's weak economy would continue to squeeze consumer spending thus putting further pressure on airline industry margins. This is expected to worsen if Statistics South Africa's GDP estimates for the first quarter of 2017 due out next week, confirm the country's economy has indeed entered into its eighth recession since 1961. The country's economy suffered a 0.3% contraction in GDP for the last quarter of 2016 and credit downgrades to sub-investment grade earlier in April.

For its part, Comair operates a British Airways (BA, London Heathrow) franchise as well as a low-cost carrier unit, Kulula Air (MN, Johannesburg O.R. Tambo). Collectively, it employs a total of eleven B737-400s and sixteen B737-800s.

Concerning the firm's recent submission of an Expression of Interest (EOI) in Air Botswana (BP, Gaborone), Venter said Comair's proposal was not to acquire a stake in the ailing state-owned carrier, but rather for Comair to operate the service for the Botswana government.

"We'd rather start with a fleet and set up a new operation using Comair's back-end infrastructure," he said.

Source:https://www.ch-aviation.com/portal/news/56505-comair-mulls-b737-max-deferral-citing-sas-weak-growth

Comments

Post a Comment

Popular posts from this blog

THE COFFEE ENTREPRENEUR WHO TRANSFORMS LIVES IN UGANDA: ANDREW RUGASIRA.

Looking at the article below on CNN about Andrew Rugasira "the Coffee entrepreneur who transforms lives in Uganda", it inspired me to think and reflect on the possibility for Africans and many developed countries to not only produce raw materials but transformation to finished products for global consumption. African countries should work hand in glove, helping each other through an extensive business web or network. I believe Africa as a continent has come of age and the time is ripe when our politicians should focus on increasing responsibility and eradicate preoccupations like corruption. (CNN) -- Tired of seeing developed nations take the lion's share of profits from his countrymen's coffee crop, Ugandan businessman Andrew Rugasira decided back in 2003 that it was time for a new business arrangement. Uganda is Africa's second-biggest exporter of coffee beans, currently producing around 3.4 million bags per year . Yet instead of being refined loc...
muxajax@blogger.com

hp - SPECTRE

Image
With no reference to the 007 sequel, I bring to you the the HP - SPECTRE. The latest release from HP sets the record straight as the world s thinnest laptop coming at 10.4mm, weighing just 2.45lbs  and a screen size of 13.3". The Specter ships in 2 product options below Price: $1,169.99 HP Spectre Laptop (13.3") Windows 10 Home 64 6th Generation Intel Core i5 processor 8 GB memory; 256 GB SSD storage 13.3" FHD display Intel® HD Graphics 520 Price: $1,249.99 HP Spectre Laptop (13.3") Windows 10 Home 64 6th Generation Intel Core i7 processor 8 GB memory; 256 GB SSD storage 13.3" FHD IPS UWVA display Intel® HD Graphics 520   (up to 4.09 GB) According to HP, we will be looking at each of the defining aspects using cutting edge technology that makes it standout from the rest in the business. Lets take a look under the hood. OS: Windows 10 Home 64 Body Style: This featherweight 13-inch di...
muxajax@blogger.com

BAA Training to provide ATR 42/72 type rating training for Tanzanian airlines

Image
BAA Logo BAA Training, European standard aviation training centre, has announced gaining an approval to provide ATR 42/72 FFS services for Tanzanian aviation companies. After successful audit by Tanzanian Civil Aviation Authority (TCAA), ATR 42/72 type rating training and full flight simulator dry or wet lease is allowed to be provided at the training center in Vienna, Austria. Inspectors of TCAA audited the headquarters of BAA Training and ATR 42/72 full flight simulator in Austria. The infrastructure and network of instructors were tested to ensure the service alignment with aviation training standards. Representatives of the TCAA did not have any complaints regarding the detailed inspection. “TCAA approval helps to support the further development of Tanzanian airlines and pilots by providing easier access to advanced aviation training. This will allow pilots to receive critical training in Europe with the network of highly trusted instructors, reliable and cost-effective...
muxajax@blogger.com