AIR - Air NZ.

**percy** · 11-06-2020, 07:17 PM

Originally Posted by Waltzingironmansinlgescul

The perennial Mr Percy... sounds almost Jane Austenish... "Any profits put down to good luck." ive had some good luck lately but i should have sold more often and held more often...

Stay lucky.

**Waltzing** · 11-06-2020, 07:18 PM

"Might be years (if ever) before any of those 15 777's come back from the Alice Springs plane graveyard." i hate this air craft and i never want to fly on one again even if they are safe ...where are they going to route them..id say they will have to sell them? to ?

**percy** · 11-06-2020, 07:22 PM

Originally Posted by Waltzingironmansinlgescul

"Might be years (if ever) before any of those 15 777's come back from the Alice Springs plane graveyard." i hate this air craft and i never want to fly on one again even if they are safe ...where are they going to route them..id say they will have to sell them? to ?

And who do you think would buy them.?
Thousands of aircraft parked up,which will never see service again around the world.
https://www.youtube.com/watch?v=xpIs8Y9vgSs

**King1212** · 11-06-2020, 07:29 PM

I will buy it.....$10k each

**percy** · 11-06-2020, 07:37 PM

Originally Posted by King1212

I will buy it.....$10k each

For fun go to ASX forum and read AQZ's [today] presentation.Raising au $121.9 mil of which au $91 mil is for fleet expansion.They are going gangbusters with FIFO [fly in fly out] services to the Australian mining sector.

**iceman** · 11-06-2020, 07:41 PM

Originally Posted by percy

And who do you think would buy them.?
Thousands of aircraft parked up,which will never see service again around the world.
https://www.youtube.com/watch?v=xpIs8Y9vgSs

There is only one way to sell them and that´s to scrapyards. Huge writeoffs for AIR coming on those

**King1212** · 11-06-2020, 07:47 PM

I will renovate it and do Airbnb on it....

But if the guests banging at the night...the plane might shake a bit? Anyone has ideas?

**Beagle** · 11-06-2020, 08:35 PM

AIR N.Z.'s reputation nose dives. https://www.nzherald.co.nz/business/...ectid=12339228

777-200's are certainly a goner (circa $400m write off this year as already announced by AIR) and I doubt they'll bring back the 777-300's as they're the ones that have the old legacy pilot contracts with pilots earning ~ $500K each. These are about 8 years old and will be considerably more valuable than the 14 year old 777-200's.

AIR do not give a breakdown of values by aircraft type but I note in their 2019 financial statements, note 9 page 14 under the depreciation that airframes are written off over 18 years and engines over 6-15 years.
If the 8 777-200's are worth $400m at an average age of 14 years with engines almost written off and airframes around 78% written off, then it would seem likely 7 bigger and more modern 777-300's at an average age of only 8 years are worth quite substantially more, perhaps $600-800m and if they have to be written off in the FY21 accounts that's another massive hit.