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Oman Air considers A350, B787; “no interest” in A330neo
May 5th 2017
State-controlled Oman Air, is in the process of evaluating a new wide body order, according to airline CEO, Paul Gregorowitsch. Read More »
Specifically, the Oman Air CEO is looking to acquire 15 long-haul jets to replace the carrier’s six A330-300s and four A330-200s. It owns the six -300s and two of the -200s.Gregorowitsch said he was considering both the A350 and the B787-9, but had “no interest” in the re-engined A330neo. Oman Air has no orders for the A350, but it operates four B787-8s and two B787-9s, with a further four -9s due for delivery in 2018.
On the single aisle front, Oman Air placed an order for B737 MAXs in 2015. Its CEO confirmed that deliveries would proceed on schedule but that an undisclosed number of its existing B737NG fleet would be leased out to better match capacity and demand.
Gregorowitsch this week told Bloomberg that Oman Air was considering a joint venture with Lufthansa. The Germans have been warming to carriers from the Gulf, with Lufthansa CEO, Carsten Spohr, in Abu Dhabi this week to discuss and possibly expand the strategic partnership it inked with Etihad Airways in February.
Oman Air stands to benefit from closer cooperation with its competitors. In April, the airline reported a sharp deterioration of its balance sheet, with a 2016 net loss of US$337 million.
According to Gregorowitsch, 2016 was presented “an increasingly volatile, political and economic climate,” which caused net yield with respect to RPKs slump a dramatic 17%. “As a result, we have modified our growth targets slightly, but enhancing our fleet and network is the way to continue to stimulate demand and create stand out in an increasingly crowded market place,” he said.
Carriers from the Middle East are looking at a volatile 2017 following Trump’s Muslim and electronics bans that have eroded bookings to the U.S. and across their networks. Many in the industry are taking a view that as a result of this aircraft order cancellations and deferrals are just around the corner.
