Canadian Airlines has unveiled plans for a multi-billion dollar acquisition to replace up to 70 ageing aircraft over the next five years.
The move follows its takeover by rival Air Canada, and a joint fleet-renewal order may be under consideration.
The plan has been disclosed by new president and chief executive Paul Brotto, who replaced Kevin Benson on 29 February. The Calgary-based carrier has attempted several times in the past few years to renew its fleet, but was hampered by financial difficulties. The need to upgrade is essential to exploit combined schedules and international route expansions following the takeover.
Canadian operates a mix of young and old aircraft, including 13 Airbus A320s and 44 Boeing 737-200s, 14 767-300ERs, four 747-400s and seven McDonnell Douglas DC-10-30s. Its Canadian Regional division operates 31 Fokker F28s.
"At this point, our main priority is the restructuring of our debt," says Canadian. "Once that's done, we can start talking about aircraft types and how they will be financed."
Talks are under way with Airbus and Boeing on replacements for the ageing 737s and F28s. Sources suggest the requirement could be expanded to include Air Canada's long-running need to replace its 19 McDonnell Douglas DC-9-30s.
The acquisition of up to 70 aircraft is envisaged - a mix of Airbus A318/A319s or 737-600/700s. The Boeing 717 is also under evaluation by the airline, but is seen as an outsider.
Air Canada is a large Airbus operator, while Canadian has a big A320 fleet and ten on order, suggesting Airbus may be favoured.
The airline's seven DC-10s are 19-25 years old, and the airline may include a deal for a replacement for these and possibly its 767s. This could suggest an order for new Airbus or Boeing widebodies.
Source: Flight International
