Southern Air to buy old 747s, 777Fs while price is right

US CARGO carrier Southern Air is to acquire a further capacity of Boeing 747 classic freighters following its recent placing in service of six Boeing 777Fs by parent company Oak Hill Capital, while used aircraft and engines are cheap.

The Connecticut-based airline fleet now adds to last year's purchases to include 12 747-200s, three 747-300s with an active interest in further acquisitions of 747 Classics and CF6 engines with specific interest in 747-200 and 747-300 freighters previously operated by "good airlines with exemplary maintenance records".

Southern Air CEO Daniel McHugh said the airline's preferences mean that many of 747 Classic grounded in 2009 do not meet the standard of GE-powered 747s, although its fleet hold Pratt and Whitney-powered 747s.

"You have to have an eye on what to buy and when," he said, adding that "the game is engines" where its active fleet of around 15 will include new craft but rely upon a core platform of classics running for a good decade such as its CF6s.

"We believe the classics have a whole bunch of mileage and use in them," he added.

Wetleases offered on its 777Fs account for 65-70 per cent of Southern Air's revenue with the remaining split by civilian charter and US military.

The 777Fs offers better range and improved fuel efficiency and trip economics for its customers which include Thai Airways International Airways already acquiring a wetlease on its first two 777 which Mr McHugh hopes to "springboard" a new growth path for Southern.

Mr McHugh believes classics like the 747-200 are the best option in addition to offering wet lease and charter customers in-house maintenance of which Southern Air claims an unmatched track record of efficiency on its classic freighters.

Source: www.schednet.com