Malaysia Airlines Offloads A380 Superjumbo Fleet


Malaysia Airlines Offloads A380 Superjumbo Fleet

Bigger may no longer be better for the world's passenger airlines as Malaysia Airlines is said to be offloading its entire fleet of A380 superjumbos.

The airline has struggled financially in the wake of dual tragedies in 2014, including the disappearance of flight MH370 and the shooting down of MH17 over Ukraine.

According to inside websites, Malaysia is offering all six of its A380s for sale or lease. It is also said to be letting go of its two Boeing 747-400Fs and four Boeing 777-200ERs.

The move means the troubled carrier will no longer operate any large aircraft, instead having a fleet of only single aisle planes.

Malaysia Airlines, whose current fleet is about 150 jets, went private last year following the two disasters. The airline had been reporting losses for three years.

The sale, which comes just days after the A380 celebrated 10 years of service, will be an interesting hurdle for the superjumbo at a trying time for the aircraft.

"The disposal of all six A380s presents an opportunity to test the market for used A380s and whether a key component to Airbus' strategy for the superjumbo going forward will work: allow airlines to try out the airplane without having to spent the huge amount of money required to buy new," an industry inside says.

"After experiencing the A380, the theory goes, other carriers will understand how this can spur sales."

Analysts believe the A380 still has a bright future despite just 317 of the aircraft being sold over the past 10 years.

They forecast demand to rise as major aviation hubs become more congested and airlines seek to maximize increasingly scarce access to runways and departure gates.

Boeing, based in Seattle, Washington, faces similar trends with its 747 aircraft. Sales have been slowing in recent years as airlines have moved to smaller, more fuel efficient aircraft like the 787.

Read this next:

Must Read