ANDREW DOYLE / SINGAPORE

Choice will be a key test of Boeing's exclusive deal with GE

Singapore Airlines (SIA) is gearing up for a key decision on whether Boeing's General Electric GE90-powered longer-range 777 models could have a role in its future fleet plans as it nears a deadline for firming up options held on the twinjet.

The decision could have implications for Airbus, which has closed deals for its long-range A340-500 and ultra-large A380 at the Singapore carrier, and for Rolls-Royce (R-R), whose Trent 800 turbofan has been selected to power all of SIA's 777s so far. It will also be a key test of Boeing's decision to strike an exclusive engine deal with GE.

Industry sources say SIA has begun an internal debate on the merits of expanding its 777 fleet to encompass ultra-long range missions using the -200LRvariant, and the possible replacement of some 747-400s with stretched -300ERs. Boeing is developing new GE-powered 777 versions to enter service in 2003. SIA currently operates 21 777s and has 33 on order plus 27 options - firming up some of these in the next few months has prompted the review.

SIA's current fleet, with the exception of its CFM56-powered A340-300s, uses R-R and Pratt & Whitney engines.

The carrier has ordered five R-R Trent-powered A340-500s to launch nonstop flights between Singapore and Los Angeles in 2003, but plans to phase out its fleet of A340-300s and replace them with 777-200ERs. The sources say the carrier is studying the economics of deploying twins on transpacific and transpolar routes in the face of their increasing use by US airlines.

Among the issues to be resolved is the Civil Aviation Authority of Singapore's (CAAS) apparent reluctance to approve SIA's application to extend its 777 extended range twin engine operations (ETOPS) clearance to 180min from the current 120min. The approval is obligatory if the carrier is to move forward with plans to replace A340-300s on the Singapore-Seoul-Vancouver route with 777-200ERs.

The airline denies a media report that several in-flight shutdowns of Trent 800s have put back the start of extended ETOPS with its 777s. It also officially says it is "not considering" converting existing 777 options into 777-200LR orders.

Meanwhile, SIA sees the 777-300ER as a potentially attractive replacement for some of its 747-400s, say the sources. It offers comparable passenger capacity and range but has far lower operating costs. The case for the -300ER could be boosted if the global economic outlook worsens and passenger traffic enters a sustained downturn.

The carrier firmed up its order for 10 A380s last week. These will be used to replace some of its 36 747-400s.

Source: Flight International