Fleet Retirements Affect Post-Covid-19 Planning for ASA Members

A number of airlines have announced that they will will accelerate the retirement of older aircraft types.  It is important for ASA members to be aware of these retirements so they can adjust inventory appropriately.  This table shows some of the retirements about which we are aware.  Many of these were retirements were already planned, but Covid-19 is causing the retirements to be accelerated.

If you know of other fleet retirements, please let us know and we will add them to the table.

Airline Aircraft
Type
Number
in Fleet
Link to
Source
American Airlines Airbus A330-300 9 Link
American Airlines Boeing 757 34 Link
American Airlines Boeing 767 17 Link
American Eagle/PSA Bombardier CRJ200 19 Link
American Airlines Embraer 190 20 Link
Copa Airlines Boeing 737-700 NG 14 Link
Delta Airlines MD-88 47 Link
Delta Airlines MD-90 29 Link
Emirates Airbus A380 115* Link
Virgin Atlantic Boeing 747 7 Link

* = 8 more A380s are pending delivery, according to the Emirates website.  It is unclear whether Emitrates plans to retire the entire fleet or just a part of it.

 

Updated May 17, 2020 to reflect Emirates’ plans

Delta COO Discusses What Delta Wants in a Supplier

This year’s ACPC keynote speaker was Stephen E. Gorman, the Executive Vice President and Chief Operating Officer of Delta Air Lines. Gorman explained that for Delta, the total cost of ownership (TCO) is based on cost quality and delivery. They expect their highly effective suppliers to provide this TCO. Gorman explained that a highly effective supplier needs to perform.

The Air Carrier Purchasing Conference (ACPC) hosted over 1700 guests in Atlanta this year – over 1400 of them were suppliers. Thus, Delta’s ideas about the supply chain were an important topic at the Conference.

Delta’s position is that the air carrier and its supply chain are linked together. Gorman explained that this relationship starts with delivery on a commitment.

Communication and transparency are important to a successful business relationship. As a tool to support communication and transparency, Gorman explained that Delta is committed to its Supplier Performance Management (SPM) system. The SPM lets suppliers know what is important to Delta. The SPM has clear metrics, and it provides regular feedback to Delta suppliers. The SPM lets the suppliers know on a regular basis whether they are meeting Delta’s expectations.

The SPM lets Delta give suppliers credit for good performance and it also reveals opportunities for improvement. Gorman explained that Delta is committed to working with its effective suppliers to have honest communication and to work through issues cooperatively.

Delta is also looking for suppliers that are flexible within their business models to permit the supplier to respond to Delta’s changing needs during both strong markets and weak markets.