Paul Lewis/SINGAPORE
Cathay Pacific Airways is planning to place orders for up to 20 additional new Airbus Industrie and Boeing widebody aircraft, as part of a large-scale expansion of its international operations. The airline is opening up the engine side of the competition to all three potential suppliers.
The Hong Kong-based carrier is understood to be negotiating orders for a further seven Boeing 747-400s, including one freighter; seven more Airbus A340-300s; and another six A330-300s. The new purchases, along with existing outstanding orders, would increase Cathay's fleet to some 92 aircraft by early next century.
Cathay still has $2 billion-worth of orders in hand, consisting of seven Boeing 777-300s, five A340-300s and a single A330-300, all due for delivery by 1999. It holds options on a further six 747-400s, nine A330/340s and ten 777-300s, 11 of which need to be exercised by 2000 and are likely to form part of the new order.
According to industry sources, the airline is asking Airbus for optional substitution rights on the A340s to switch to the recently launched A340-500. Cathay needs around five of the new ultra-longhaul aircraft to serve the US East Coast, but this is considered as a separate requirement from that of the planned new widebody order.
To power the new A330s and 747-400s, Cathay has decided to open up the bidding and has issued request for proposals to the three main competing engine suppliers. The move is being seen as a warning to its traditional supplier Rolls-Royce, following the recent ten-day grounding of its R-R Trent 700-powered A330 fleet because of a design flaw in the engine's step-aside gearbox.
In the past, the airline has always sought alternative pricing bids from General Electric and Pratt & Whitney, but it is now opting for a more comprehensive technical and logistical evaluation.
"Cathay is being significantly more formal about it this time," says an airline source.
Contenders for the 747 order will be the GE CF6-80C2, P&W PW4056 and R-R's new RB211-525G/H-T hybrid, which is to be retrofitted to Cathay's 21 existing 747-400s. The A330 engine decision is expected to be between the CF6-80E1, PW4168 and Trent 772, which is already in service with 11 of the airline's A330s.
The large-scale growth in Cathay's fleet will allow it to take advantage of Hong Kong's new airport at Chek Lap Kok and the increase in slots available compared to the existing congested Kai Tak. Aside from exercising new route rights into the USA, the additional aircraft will enable the airline to increase many existing services from daily to twice-daily frequencies.
Source: Flight International
