By Scott Hamilton
July 6, 2021, © Leeham News: Mitsubishi is considering restarting production of the discontinued CRJ, LNA confirmed with multiple sources.
Mitsubishi Heavy Industries discontinued production with the completion of the last of the small backlog it acquired with the June 1, 2019, purchase of the program from the ailing Bombardier. The final 15 CRJ900s were completed during the early months of the COVID-19 pandemic. The Montreal Mirabel Airport production line was shut down. The tooling was removed and stored. The buildings were turned over to Airbus, which now uses them for A220 production.
“Our primary focus remains the support of the CRJ operating fleet,” said Ross Mitchell, vice president of Shared Services. “Clearly, the regional jet market is important to us, but we have made no commitment to move forward in this respect.”
June 8, 2021, © Leeham News: United Airlines and the start-up company, Boom, last week announced an agreement by which UAL will acquire up to 50 Boom Overture SSTs.
In today’s episode of 10 Minutes About, LNA discusses the commercial agreement and just a few of the issues facing development of the Overture.
June 7, 2021, © Leeham News: It’s been a busy couple of weeks in commercial aviation, with several reports last week alone.
Some of these reports were new and interesting Others were over-hyped and fluff.
Let’s run them down.
June 4, 2021, © Leeham News: “Overture can connect more than 500 destinations.”
“More than 500 destinations” leaves a lot of room for interpretation. LNA understands this to mean 500 cities. If UAL and Boom meant “city pairs,” then this commonly used term should have been used.
The common dictionary definition is “the place where someone is going or where something is being sent or taken.”
Examples used in the definition are, “The Virgin Islands are a popular tourist destination,” or a “holiday destination.” More on point, one example used is quite common in airline lingo: the term “final destination.”
So, this lends to the interpretation “500 destinations” means 500 “cities.”
By Scott Hamilton
March 18, 2020, © Leeham News: The Federal government is preparing a bailout, said to be more than $1 trillion, to pump into the US economy.
Airlines want $50bn. Boeing wants $60bn for the aerospace industry. It’s unclear how much is for Boeing and how much is for industry.
Opposition for the airlines and Boeing was quick to emerge. The objection: how much each spent in recent years on shareholder buybacks.
The bailout package goes across the US economy and includes direct cash grants to individuals. In keeping with LNA’s business, I focus in the column only on aviation.
By Judson Rollins
March 16, 2020, © Leeham News: Throughout Sunday afternoon and evening, reports – all unconfirmed – began to emerge in the US that as early as today, the Trump administration may announce a suspension of US passenger flights domestically for 2-4 weeks. The suspension, if confirmed, could begin this week. Investors are scrambling to understand how long US airlines can survive on their current cash balances.
LNA reviewed the balance sheets of carriers worldwide in anticipation of such dramatic events. In this article, we will show that US airlines have plenty of time for demand to recover – or the US government to step in with emergency loans or grants similar to those doled out by the Air Transportation Stabilization Board from 2001 to 2003.
March 16, 2020, © Leeham News: Airlines in Europe already asked governments for financial aid as coronavirus forces massive schedule cutbacks and in some cases, complete service suspension.
In the US, talk of aid began in earnest last week.
Delta Air Lines, which is parking 300 airplanes and cutting 40% of its capacity, said it plans to seek US financial assistance.
There is increasing talk that the US may order a complete suspension of domestic air service. If so, this would be like 9/11, when for the first time in history the US shut down its skies.
That lasted only three days.
With federal officials saying the crisis hasn’t peaked in the US and it may be a couple of months before the crisis subsides.
US carriers will almost certainly seek government assistance.
Dec. 9, 2019, © Leeham News: I know Boeing is preoccupied right now. But it has to get off the pot and decide to proceed with a new airplane.
We believe the New Midmarket Airplane is still required. But Boeing salesmen have also floated the concept of a new, single-aisle airplane to key players in the market. Either way, Boeing has to do something.
At least, that’s how we see it at Leeham Co.
The order last week by United Airlines for 50 Airbus A321XLRs should be a wake up call.
It’s not the only one Boeing has had.
Dec. 3, 2019, © Leeham News: United Airlines today announced an order for 50 Airbus A321XLRs.
The airplane has an advertised range of 4,700nm (5,400 statute miles), or a nine hour flight.
UAL will replace its aging Boeing 757s on a one-for-one basis beginning in 2024.
The XLR’s targeted entry into service is 2023.
By Bjorn Fehrm
November 21, 2019, © Leeham News: Last week we started our analysis of the De Havilland Canada’s DHC 8-400 as a replacement for US Scope Clause 50 seat jets like the Bombardier CRJ200 or the Embraer ERJ-145.
We compared a newly produced and adapted DHC 8-400 with United’s CRJ-700 conversion to CRJ550, a 50-seater version of the larger jet. After looking at the airplane dimensions and cabin spaces last week we now go deeper into the configuration of the aircraft and their economics.