AIR - Air NZ.

[sb9]

Chris Luxon let it slip a while back that the Dreamliners are costing them $US150m each. One of the middle east carriers the other day was reported to be getting a 55% discount on original contract retail price , but demanded another 15% off the already discounted price or they can keep them. Boeing caved in from what I read, (despite deposits paid that they could have retained) and they got them for $US$130m.

Bottom line Boeing and Airbus desperately need to keep building and delivering aircraft and airlines have no need for new aircraft at present.

Talking of Luxon he must disappointed to see his holdings (whatever remainder he holds) dwindle in value by this much from the height of about $3 when he was in charge.

[CKWJ]

Chris Luxon let it slip a while back that the Dreamliners are costing them $US150m each. One of the middle east carriers the other day was reported to be getting a 55% discount on original contract retail price , but demanded another 15% off the already discounted price or they can keep them. Boeing caved in from what I read, (despite deposits paid that they could have retained) and they got them for $US$130m.

Even in better times it's rare for aircraft to be sold at list prices, a lot of it depends on the size of the order and ever-present threat the competing manufacturers could undercut. Just so happened when Air NZ was negotiating the order for the 787-10, the 737MAX grounding was starting to hit Boeing hard, putting them under the pump to book some orders which could've knocked the prices down a bit further.

This crisis is hitting Airbus and Boeing hard, but Boeing especially has been under pressure for some time before the covid crisis.

[Chinesekiwi]

Talking of Luxon he must disappointed to see his holdings (whatever remainder he holds) dwindle in value by this much from the height of about $3 when he was in charge.

Poor guy he can hardly afford another haircut.

[Beagle]

Talking of Luxon he must disappointed to see his holdings (whatever remainder he holds) dwindle in value by this much from the height of about $3 when he was in charge.

He and Teflon John sure got out at the right time !

[Chinesekiwi]

He and Teflon John sure got out at the right time !

Birds of a feather.......

[arc]

So what happens to airlines when "Everybody" arriving in the country has a 2 week quarantine period. BANG goes tourism

Fly to Britain, 2 weeks isolation, have a holiday , fly home, another 2 weeks isolation

And we haven't yet established that 14 days is the actual incubation time of this virus.

Will the same apply to Aussie ??. Surely a "Trans-Tasman Bubble" would eliminate the 2 weeks. ( I think we will need a Health-App on our phones )

[macduffy]

That's it, arc. But my pick is that the 2 week quarantine has a limited life. Public demand will see it lifted at some stage - ready or not!

[traineeinvestor]

That's it, arc. But my pick is that the 2 week quarantine has a limited life. Public demand will see it lifted at some stage - ready or not!

My guess is that we'll see some combination of countries starting to drop the 2 week quarantine period for visitors from countries with very low rates of infection (with regulations to prevent transit passengers taking advantage) and/or mandatory on arrival or pre-departure testing. The alternative is to say that there won't be any air travel until a vaccine is developed and has proven its effectiveness which could take years.

Any period of quarantine likely to be effective is too long to permit all but long term passenger movements.

[samjaynz]

My guess is that we'll see some combination of countries starting to drop the 2 week quarantine period for visitors from countries with very low rates of infection (with regulations to prevent transit passengers taking advantage) and/or mandatory on arrival or pre-departure testing. The alternative is to say that there won't be any air travel until a vaccine is developed and has proven its effectiveness which could take years.

Any period of quarantine likely to be effective is too long to permit all but long term passenger movements.

As long as there is a quarantine period in place, air travel must surely be for returning residents or those committed to very long holidays only.

I was averaging 2-3 "day trips" to Australia a month for work before the lockdown - no way I'm going to spend even 2 days in quarantine for a one day work trip ... let alone 2 weeks!

Will be interesting to see how this plays out.

[traineeinvestor]

As long as there is a quarantine period in place, air travel must surely be for returning residents or those committed to very long holidays only.

I was averaging 2-3 "day trips" to Australia a month for work before the lockdown - no way I'm going to spend even 2 days in quarantine for a one day work trip ... let alone 2 weeks!

Will be interesting to see how this plays out.

Likewise for expats with children in boarding school here. Quarantine makes returning home for holidays an impossibility and also makes it next to impossible for parents to visit their children at the same time. A lot of hard decisions will need to be made if this goes on much longer.