Paul Lewis/WASHINGTON DC Andrzej Jeziorski/SINGAPORE
General Electric Capital Aviation Services (GECAS) has stepped into the Singapore Airlines (SIA) large aircraft competition with an attractive lease and financing package offer for Boeing 747Xs or Airbus Industrie A3XXs, both powered by the Alliance GP7000 engine.
The Pratt & Whitney and General Electric Alliance engine consortium is mounting an aggressive campaign to win at SIA, which is likely to be the lead launch customer for the 747X or A3XX. Alliance sources are hoping the involvement of GECAS will give the GP7000 the edge over the competing Rolls-Royce Trent 600/900 series of engines.
GECAS is understood to have tabled a deal that includes operating leases for up to an initial six units with walk away type clauses, along with a proportion of equity and debt financing on the remaining aircraft ordered by SIA. The airline has already registered its interest in acquiring 10 A3XXs and six options, and is expected to decide shortly between this and a similar number of 747Xs (Flight International, 5-11 September).
The battle between R-R and the Alliance to power the A3XX is particularly intense, given that the initial engine certified on the A3XX will have a six month lead on the second powerplant application.
SIA's choice of engine on the 550-seat aircraft could also influence the pending airframe/powerplant selection, to meet its 'W' requirement to replace its 15 Airbus A310-300s.
Among the types being considered is the planned Boeing 767-400ERX for which the GP7100 and Trent 600 engines are competing. "Boeing and Airbus Industrie submitted proposals some time ago. We hope to make a decision on this by the end of the year," says SIA.
Other aircraft under consideration include the proposed Airbus A330-500, the smaller A321 or additional larger Boeing 777s. "The problem is that most available aircraft are too big, so we might have to compromise. We might go for a twin-aisle aircraft with higher capacity, or we might not be able to rule out single-aisle," explains the carrier.
SIA is expected to place orders for up to 40 aircraft in the coming months, say industry analysts. It says that there "may be" additional 747-400 freighter orders forthcoming, although these would have to be conversions of the carrier's 10 existing passenger -400 options. SIA states that no new freighter orders, apart from these, are likely to be placed. Its outstanding firm order book now comprises four 747-400s, three -400 freighters, 13 Boeing 777-200s, 12 -200ERs, two Airbus A340-300Es, and five A340-500s. Options include 10 747s, 18 777-200s and five A340-500s.
The size of SIA's A310 fleet is gradually being reduced, with two of the aircraft being offered for lease to Air India.
· SIA is planning to add a third 747-400 freighter service from Singapore to Copenhagen from 22 October, operating via Sharjah and Dublin. This adds to the current, twice-weekly, service that flies direct, with a technical stop in Sharjah.
Around 74% of the service's capacity is expected to be for the Scandinavian market, reducing the amount of Scandinavian freight which the airline has been forced to fly into other European airports.
Source: Flight International
