America's airlines adjust A350 commitments. United's order in doubt as used widebodies draw praise

Premium Analysis

A desire to cut capex commitments and keep capacity in check has resulted in airlines based in the Americas undertaking comprehensive reviews of their fleets, engaging in early retirement of aircraft and deferrals. A major focus for those airlines as they scrutinise their fleet composition is widebody aircraft.

Due to the production and delivery schedules of the Airbus A350, some airlines in the Americas are opting to defer or transfer their aircraft to their partners. Earlier in 2017 United made the boldest move in declaring it was placing heavy focus on its 35 A350 widebodies on order, and possible alternatives to the aircraft.

United's decision to consider alternatives for its A350 order is based on an overabundance of used widebody capacity and the favourable economics those aircraft can deliver with respect to ownership costs as lease rates remain soft. Airlines in South America are taking advantage of newly forged financial partnerships to alleviate some of their A350 commitments made during better economic times.

Become a CAPA Member to access Analysis Reports

This CAPA Premium Analysis Report is 2,191 words.
Become a CAPA Member

Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.

Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.

CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 1,000 News Briefs every week and comprehensive data and analysis on thousands of companies around the world.