September 30, 2020

Boeing to End 787 Production In Washington

1 With a reduction in demand for its Boeing 787 Dreamliner due to the pandemic, Boeing is preparing to move its entire production of the aircraft to Charleston, SC.

Currently, Boeing splits the production of the Dreamliner between Charleston and Everett, Washington. But there simply isn’t enough demand for the aircraft right now to justify both locations. Boeing’s staff in Charleston is not unionized, making costs cheaper than the unionized work group in Washington state. 

In the most obvious development since the news broke, Congressman Rick Larsen, who represents the district in Everett where Boeing is has called the decision “shortsighted and misplaced.” While Congressman Jeff Duncan of Charleston, SC says the news is “great to hear.”

Our suggestion that the congressmen and mayors from both cities battle it out in a 2-on-2 mud wrestling match inside a Dreamliner was not accepted by Boeing officials, but we’re hopeful that an arm wrestling match might be considered as a compromise.


JetBlue Replaces Middle Seat Blocking with Less Generous Capacity Cap

2 JetBlue has updated its booking policy for the holidays, capping flights at 70% capacity until December 1, but curiously not guaranteeing empty middle seats. JetBlue is currently guaranteeing a blocked middle on all flights through October 15 but will no longer make the promise of an empty middle following that date. This significantly increases the chance of having a neighbor most notably on flights operated by Embraer 190s.

JetBlue’s new guidelines also apply to its premium Mint product, where it will fill the front cabin to the oddly random number of 14 — out of 16 available. At that point, why not go ahead and sell the whole thing? Well, it’s because they are creating a buffer between passengers and flight attendants by blocking the aisles in row 1. The question is… which group are they trying to protect from the other?

It’s also worth noting that JetBlue is only guaranteeing the cap through December 1 — if it sees demand pick up for the peak of holiday travel, it’s given itself the wiggle room to book its cabins to full capacity.


SkyWest Secures $573 Million from Federal Government

3 Regional carrier SkyWest has entered into a five-year loan with the Treasury Department guaranteeing the airline the right to borrow up to $573 million as needed. SkyWest secured $60 million from the loan guarantee upon signing and has until March 26 to take any of the other remaining funds.

SkyWest receives the loan from the government at the sparkling-low interest rate of just 3%. The airline must also issue warrants to the treasury to purchase stock to back the loan. For the first $60 million, SkyWest issued warrants for 211,416 shares at $28.38 each.

The collateral for the loan is from SkyWest’s aircraft engines and engine parts plus its extensive supply of peanuts and pretzels. SkyWest is restricted from paying dividends during the life of the loan and is required to consult the government before making any large purchases, including more peanuts and pretzels. 


Singapore to Reopen to Australians October 8

4 Singapore will open its borders for most Australians — with the exception of those scoundrels from Victoria — as the island-nation looks to welcome back tourism and business travel.

Singapore has been open for several weeks for essential business to Australians and those from other select nations, but this edict applies to all travel, including tourism and non-essential business. The new policy also applies to travelers from Vietnam wanting to visit Singapore.

Visitors arriving in Singapore will take a virus test for S$300 (~US$219) at Changi Airport. A negative result will be required to enjoy quarantine-free travel on the island.

The agreement falls short of a full-on travel bubble as Australians returning home from their vacation in Singapore will still be required to quarantine when arriving in Australia. 


Rex Secures Six Boeing 737-800NGs

5 Australian domestic startup and all around good boy, Rex, has secured itself six Boeing 737-800NGs formerly flying for Virgin Australia as a part of its ramp up to operate on key Aussie routes.

The first aircraft will be delivered on November 1, with the following five coming in over the next four months. The first three aircraft acquired by Rex will launch on March 1, doggone it.

They will operate on the Sydney-Melbourne route with two more aircraft coming into service by the first of April. Rex plans on acquiring plenty of in-flight entertainment for the aircraft, planning to screen Jurassic Bark on the inaugural flight.

The airline hopes to have as many as ten obedient aircraft by the end of 2021.


Airline Potpourri

  • Air Serbia will add a third daily frequency to Zurich on Thursday through Monday, making 19 weekly flights from its Belgrade hub.
  • Alaska will begin offering rapid virus testing for Hawai’i-bound passengers at pop-up clinics on the west coast, beginning with one in Seattle on October 12. The test will cost $135 and guarantees a result within two hours.
  • Brussels Airlines is increasing its frequencies to Africa by 40% during this winter.
  • IndiGo took delivery of an A320neo from the intimidatingly-named AerDragon today.
  • Lufthansa Cargo took delivery of its 9th Boeing 777F.
  • Norwegian is under consideration to be nationalized by the Norwegian government in order to keep it operating.

Andrew’s Moment of Levity

Times New Roman, Comic Sans MS, and Arial walk into a bar. Before they can sit down, the bartender orders them out. “We don’t serve your type here!,” he bellowed.