AC concludes agreement for Boeing 777s and 787 Dreamliners

Rebel · Post by **Rebel** » Wed Nov 09, 2005 3:20 pm

Air Canada concludes agreement for Boeing 777s and 787 Dreamliners

MONTREAL, Nov. 9 /CNW Telbec/ - ACE Aviation Holdings Inc., the parent
company of Air Canada, today announced that the carrier has concluded an
agreement with The Boeing Company for the acquisition of up to 36 Boeing 777s
and up to 60 Boeing 787 Dreamliners. Air Canada recently re-engaged
discussions with Boeing after having obtained a satisfactory outcome with the
airline's pilot group on costs and other issues that allowed the carrier to
move forward on a sound economic basis with the modernization of its
international wide-body fleet.

The agreement includes firm orders for 18 Boeing 777s, plus purchase
rights for 18 more, in a yet-to-be-determined mix of the 777 family's newest
models: the 777-300ER, the 777-200LR Worldliner (the longest range airplane in
the world), and the newly announced 777 Freighter. Delivery of the first six
777 aircraft is scheduled commencing in March through to July 2007. The
agreement also includes firm orders for 14 ultra-efficient new Boeing 787
Dreamliners, plus options and purchase rights for an additional 46 aircraft.
Air Canada's first 787 is scheduled for delivery in 2010.

"The finalization of an agreement on the Boeing 777 and 787 is truly
welcome news for our customers, employees and investors," said Robert Milton,
Chairman, President and CEO of ACE Aviation Holdings Inc. "The superior
customer comfort and operating economics of these aircrafts will place Air
Canada in a leadership position among North American international carriers
and allow us to compete alongside the leading European, Middle East and Asia
Pacific carriers."

The operating cost of the 777 and 787 will be significantly less than the
airplanes they will replace. Air Canada estimates the fuel burn and
maintenance cost savings alone on the 787 to be approximately 30 per cent
versus the 767s they will replace.

The Boeing 777 family of airplanes is the world's most advanced, and
continues to evolve with the recent addition of the world's longest range
airliner, the 777-200LR Worldliner, and the Boeing 777 Freighter.

The Boeing 787 Dreamliner is being designed with airlines, passengers,
investors and the environment in mind. The technologically advanced airplane
will use 20 per cent less fuel than today's airplanes of comparable size,
provide up to 45 per cent more cargo revenue capacity, and present passengers
with innovations including a new interior environment with higher humidity,
wider seats and aisles, larger windows, and other conveniences.

The 787 is a family of airplanes in the 200- to 300-seat class that will
carry passengers on routes between 3,500 and 8,500 nautical miles (6,500 to
16,000 kilometers). The 787 will fly at Mach 0.85, as fast as today's fastest
commercial airplanes, while using much less fuel. Production of the Dreamliner
will begin in 2006. First flight is expected in 2007, with certification,
delivery and entry into service in 2008.

SGNL06 · Post by **SGNL06** » Wed Nov 09, 2005 5:46 pm

Delivery of the first six
777 aircraft is scheduled commencing in March through to July 2007

Does this mean March 2006 or March 2007?

rightsideup · Post by **rightsideup** » Wed Nov 09, 2005 6:13 pm

2007 I'm guessing ... given the lead time required and the fact that the aircraft is not yet certified in Canada.

WJflyer · Post by **WJflyer** » Fri Nov 11, 2005 9:37 pm

From what I have heard, Air Canada has gone GE GENX on the 787's. No word as to the seat layout of either jets.

So hint to AC: Give me a 2-4-2 seating arrangement on the 787's please!

Edit: It appears that Air Canada isn't replacing their widebody fleet on a 1-1 basis... I count 8 Airbus A330-300's, 10 Airbus A340-300's, 2 Airbus A340-500's, 12 Boeing 767-200's, and 33 Boeing 767-300's, for a total of 65 widebodies. I am counting only 18 Boeing 777-200LR/-300ER/Freighters, and 14 Boeing 787-800/-900, for a total of 32 ordered jets. Is Air Canada going to later exercise their options on the Boeing jets, or are they going to order other jets?

EI-EIO · Post by **EI-EIO** » Sat Nov 12, 2005 12:37 am

Was GE Capital involved in the AC bailout? One hears rumours that GE Cap customers end up with GE engines...

Theoretically, with a simpler fleet you shouldn't need as many spare aircraft or crews so in all likelihood an exact 1:1 may not be needed to maintain existing service levels, especially as being newer a/c there should be fewer in maintenance at any time in the short term (like the allegedly troublesome 345s and ex MHV 762s)