link : Lufthansa Orders 20 Airbus A350 and 20 Boeing 787 in $12Bn Deal
Lufthansa Orders 20 Airbus A350 and 20 Boeing 787 in $12Bn Deal
Lufthansa Group Orders 40 State-of-the-Art Boeing 787-9 and Airbus A350-900 Long-Haul Aircraft
The order has a list-price investment volume of 12 billion USD. As is usual with such orders, Lufthansa Group has negotiated a significant price reduction. The parties have agreed not to disclose the actual purchase price.
“By replacing four-engine planes with new models, we are laying a sustainable foundation for our future in the long run. In addition to the cost-effectiveness of the A350 and B787, the significantly lower CO2 emissions of this new generation of long-haul aircraft was also a decisive factor in our investment decision. Our responsibility for the environment is becoming more and more important as a criterion for our decisions,” says Carsten Spohr, CEO and Chairman of Lufthansa Group.
The decision regarding which airline will deploy the aircraft at which hub will be made at a later date.
The investment in new technology, efficiency and passenger comfort is a continuation of the ongoing fleet modernization of the group’s airlines. The arilines of the Lufthansa Group currently operate a long-haul fleet of 199 aircraft (as of December 2018), including twelve state-of-the-art Airbus A350-900 aircraft. Beginning in 2020, Lufthansa will be introducing the new Boeing 777-9.
Investment in modern, fuel-efficient and low-noise aircraft
With the Airbus A350-900, the Boeing 777-9 and the Boeing 787-9, Lufthansa Group will own the most fuel-efficient long-haul aircraft of their class in terms of kerosene consumption per passenger and 100 kilometers flown. This order highlights the company’s desire to invest in cutting-edge technology in the interest of the environment. On average, the new aircraft will only consume around 2.9 liters of kerosene per passenger and 100 kilometers flown. That is 25% below what is used by predecessor aircraft, which will likewise have a positive impact on the CO2 footprint.
The Boeing 787-9 and Airbus A350-900 aircraft that have been ordered will primarily be replacing four-engine aircraft. By the middle of the next decade, the entire long-haul fleet will have been modernized. The possible fuel savings alone add up to 500,000 metric tons per year. This is equivalent to a CO2 reduction of 1.5 million metric tons.
A consistent focus on cost
With the new, more economical aircraft, the operating cost compared to the earlier models will sink by around 20 percent. In addition to this, Lufthansa Group will be significantly reducing the diversification and complexity of its fleet over the next few years and taking seven aircraft types out of service, which will reduce cost and complexity for maintenance and the supply of replacement parts, among other things.
After the long-haul aircraft rollover, the company will be offering its customers one of the world’s most modern fleets. This will also involve a significant increase in comfort and reliability.
Sale of six Airbus A380 aircraft
In today’s session, the Lufthansa Group Executive Board also informed the Supervisory Board of the sale of six of its 14 Airbus A380 planes to Airbus. The aircraft will be leaving Lufthansa in 2022 and 2023. The parties have agreed not disclose the purchasing price. The transaction will not affect the group’s earnings performance.
Lufthansa continuously monitors the profitability of its world-wide route network. As a consequence, the group is reducing the size of its Airbus A380 fleet from 14 aircraft to eight for economic reasons. The structure of the network and the long-haul fleet, fundamentally optimized according to strategic aspects, will give the company more flexibility and at the same time increase its efficiency and competitiveness. This will of course also benefit Lufthansa’s customers.
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“The A350 XWB meets all our expectations. The aircraft is extremely reliable and the feedback from our passengers is excellent," said Dr. Detlef Kayser, Member of the Executive Board Lufthansa Group - Airlines Resources & Operational Standards. "We are delighted to be adding 20 more A350 XWBs to our fleet. The additional widebody jets will help reduce our operating costs, improve the reliability of our long-haul fleet, improve our environmental performance and provide our passengers with the most modern cabins in their respective category with reference class travel comfort.”
“The A350 XWB consistently generates positive feedback from the airline community and we are very pleased to see our long-standing customer Lufthansa coming back for more aircraft,” said Christian Scherer, Airbus Chief Commercial Officer. “The A350 XWB has set new standards for long haul flying, combining extra-long-range capability with the lowest seat mile cost of any large widebody airliner and offering passengers the highest standards of comfort. Lufthansa was one of the first operators of the A350 XWB and has been deploying the aircraft efficiently across its global network, becoming one of our best ambassadors for this great aircraft. Thank you Lufthansa - we are thrilled to see even more A350 XWBs flying in your colours.”
Lufthansa’s decision reinforces the Group’s status as Airbus’ largest airline customer and operator, with 674 Airbus aircraft on order (including the latest A350 order) and 574 Airbus aircraft in the Group’s current fleet (as of 31 December 2018), including 28 A220 Family, 420 A320 Family, 100 A330s/A340s, 12 A350s and 14 A380s.
The A350 XWB is the world’s most modern and eco-efficient aircraft family shaping the future of air travel. It is the long-range leader in the large widebody market (300 to 400+ seats). The A350 XWB offers by design unrivalled operational flexibility and efficiency for all market segments up to ultra-long haul (9,700 nm). It features the latest aerodynamic design, carbon fibre fuselage and wings, plus new fuel-efficient Rolls-Royce engines.
Together, these latest technologies translate into unrivalled levels of operational efficiency, with a 25% reduction in fuel burn and emissions. The A350 XWB’s Airspace by Airbus cabin is the quietest of any twin-aisle and offers passengers and crews the most modern in-flight products for the most comfortable flying experience.
At the end of February 2019, the A350 XWB Family had received 852 firm orders from 48 customers worldwide, making it one of the most successful widebody aircraft ever.
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