The company made the alterations as part of a $4bn capital expenditure deferral programme
The Singapore Airlines (SIA) Group has reached agreements with both Airbus and Boeing to revise its aircraft delivery schedule.
As a result, the flag carrier’s order book will be delivered over a longer period than originally contracted, with the delivery stream spread out beyond the immediate five years.
Included in its agreement with Boeing is the conversion of 14 787-10 aircraft into 11 additional 777-9 widebodies, which are set to be delivered after the 2025/2026 financial year.
The plan will enable the SIA Group to defer more than $4 billion of capital expenditure between financial year 2020/21 and 2022/23 to later years. It is expected to also recalibrate the rate of introduction of capacity, following the disruption to the demand for air travel as a result of the COVID-19 pandemic.
Goh Choon Phong, chief executive officer of Singapore Airlines, commented: “[The deferment plan] retains our commitment to operating new generation aircraft that will enable the SIA Group to continue offering greater comfort and innovative products to customers, further drive operating efficiency, and support ongoing efforts to materially lower our carbon emissions. These will help to cement our leadership position in the airline industry as it recovers from the pandemic.”
As of today (February 9), SIA Group’s order book comprises 35 Airbus A380s, 15 A350-900s, 31 737-8 MAXs, 20 787s and 31 777-9s.
