Qantas Cancels B787 Order
Following the announcement of yet another delay in the B787 program, Qantas has canceled an order of 15 787-9 aircraft for its Jetstar subsidiary due for delivery in 2014/15.
The airline will also defer the delivery of 15 B787-8 aircraft by four years and reduce its total order to 50 aircraft - 35 B787-9s and 15 B787-8s.
Qantas Chief Executive Officer Alan Joyce said the changes were based on current economic conditions and not because of delays to the B787 flight test program.
"Qantas announced its original B787 order in December 2005 and the operating environment for the world's airlines has clearly changed dramatically since then," he said. The cancellation will reduce the airline's capital expenditure by $3 billion based on current list prices.
"The latest delay is disappointing, but we do not expect it to impact the Qantas Group given these changes to our delivery program. We remain committed to the aircraft as the right choice - for Jetstar's future international expansion, Qantas' growth and as a replacement for Qantas' B767-300 fleet, " he added.
The first 15 B787-9s will be delivered for Jetstar's international operations from mid-2013 - three years later than planned. Qantas will take delivery of 15 B787-8s from the fourth quarter of 2014 to replace its B767-300 fleet.
Jetstar is a low-fare airline susidiary of Qantas operating intra Australasia and Asia with bases in Melbourne and Singapore.
