Amedeo cancels A380 order

Lauren Eldershaw
By Lauren Eldershaw February 14, 2019 11:14

Amedeo cancels A380 order

Amedeo and Airbus has agreed a termination of the lessor’s purchase agreement with Airbus for 20 A380s. Amedeo says that it is in “discussions regarding other commercial options”.

In a statement issued today, Amedeo opines that the cancellation of the A380 programme, announced by Airbus today (Feb. 14) will have “positive implications for the future values of the installed A380 fleet, particularly those aircraft operated by Emirates”.

Amedeo estimates that the long-term core Emirates A380 fleet will comprise in excess of 100 A380 units, which it expects Emirates to continue operating for the entirety of their useful economic lives.

“As much as this is a watershed moment for Airbus, it may also be seen as marking an inflection point in Emirates’ growth strategy, evolving from a rapid and successful growth phase to consolidation of its now established market position. We expect the A380 to remain a core aircraft type for Emirates, with higher financial profitability deriving from the longer-term use of its A380 fleet. This will act to reduce future capital expenditure, depreciation and rental expenses significantly, whilst retaining the A380’s unit cost advantage of scale and unrivalled customer experience.”

Lauren Eldershaw
By Lauren Eldershaw February 14, 2019 11:14