Croatia Airlines has begun preparations for the arrival of its first A220 aircraft in less than a year’s time with the carrier recently holding talks with airBaltic, which had previously transitioned to a single-type A220 fleet. The Croatian carrier has concluded a lease agreement for four 149-seat A220-300s and two 127-seat A220-100s with the Air Lease Corporation and paid a deposit for the jets. The carrier plans to eventually replace its entire fleet with the A220s, with the lease of a further six jets of the same type earmarked for 2025 and 2026. “The public will be informed in a timely manner upon the selection of the lessor for the remaining six aircraft with deliveries in 2025 and 2026”, Croatia Airlines said. The carrier also has the option of adding a further three units in 2027.
Commenting on airBaltic’s talks with Croatia Airlines, the Latvian carrier’s CEO, Martin Gauss, told EX-YU Aviation News, “They visited us. It was a very good work visit about the introduction of the same type of aircraft that we have. We do heavy maintenance on this type of aircraft, and we do have a lot of experience, so we shared that with Croatia Airlines. We shared our knowledge, what was for us critical in introducing this type and we talked about crew training and so on. We also talked about details regarding the satellite system that we are going to install, as well as aircraft interiors, seats and how we do the maintenance, which we can provide to others, as well as crew training, since we have a simulator and pilot academy. We can also scale up and train more people if needed for other airlines. We also plan to set up a technician academy. We recently announced that with the IPO [initial public offering] we are looking at increasing our fleet from fifty to 100 aircraft over the years to come. In order to do that we need a lot of technicians and a lot of pilots. We do not want to depend on the global market so we will do it ourselves. All of that we shared with Croatia Airlines”.
Croatia Airlines’ incoming A220 fleet will feature on board Wi-Fi, as well as other product improvements. airBaltic, which is the largest A220 operator in Europe, recently announced it would equip its entire fleet with Starlink, a high-speed, low-latency broadband internet, which will be unlimited and free of charge to passengers. Croatia Airlines also plans to fit out each seat on its A220s with USB A and USB C ports, as well as smartphone and tablet holders. “Croatia Airlines’ future fleet, which will be made up of a single aircraft type, will enable the simplification of processes and monitoring of the company’s operational and financial efficiencies. With the new fleet, Croatia Airlines will become an even more environmentally friendly airline and will significantly reduce fuel consumption and CO2 emissions, which, based on the latest developments on the market, represents an ever-increasing expense”, the Croatian carrier said.
For its part, Air Lease Corporation noted, “These A220s destined for Croatia Airlines are expected to be delivered from our order book beginning in 2024 through 2025 and represent a significant modernisation shift for that airline as it moves away from operating older A319s and A320s. In this case, the A220 gives the carrier more capacity and efficiency, both on existing routes and added range to expand future routes as well”.
Still don't understand how they will fill these planes on routes like Mostar or most routes in winter.
ReplyDeleteMost flights with Q400 a full in the last months
DeleteCyprus Airways is also transitioning to an all A220 fleet.
ReplyDeleteIt's an aircraft ideal for small and medium sized markets with high seasonality in traffic flows.
Only difference is that Cyprus Airways has most of its market centered around LCA which has decent demand year-round.
DeleteOU on the other hand is based in ZAG where they are being butchered by FR. Market demand is limited with the airport barely generating over 200.000 passengers outside the busy summer months. OU will have to fight for this modest market with a whole bunch of other carriers.
Add to this a decentralized airport network and you get a lot of operational challenges. OU is aware of this which is why they are focusing on SPU. I don't think they have the financial potential to expand from all coastal airports at the same time.
Transitioning to an expensive plane such as the A220 at a time when the EU is on the brink of a recession and when we are faced with a major banking crisis makes absolutely no sense. This morning it was announced that after the merger with Credit Swiss goes through, UBS plans on laying-off more than 30.000 people (mostly in Switzerland and London).
It's smart that they are focusing on tourists and the coast but for that they don't need shiny new planes. They need cheap and old A320s in order to maximize their profits.
Market dynamics are just not there to justify this move but then again it's not like OU is a commercially driven business.
Catastrophe is coming to the EU and yet bookings for Summer are at an all time high and the airlines can't get enough aircraft and personnel to serve it!
DeleteEconomic issues are real, you can either accept them or ignore them but it won't change the reality out there. Several markets such as Germany which have been experiencing issues with inflation have struggled to reach their 2019 levels.
DeleteAnd btw I didn't say people won't go on holidays but that they will become much more price sensitive than they were in the past.
Cyprus Airways is located at an airport being served by 50 other airlines. It also has high seasonality.
DeleteIt has a W6 base with 4 aircraft, a TUS base having a significant seasonal network plus Aegean carrying a large share of traffic to connect in ATH.
Yet they are investing in the future instead of crying about competition.
I agree with you that people will become more price sensitive. On the other hand, premium cabins out of the DACH market are full to the brim. Travel will become more of a luxury again. Whether it is a good or a bad development is, of course, highly debatable.
DeleteTourism travel and especially luxury tourism, using business class tickets is growing more than any other travel sector.
DeleteWizz Air in LCA offers over 30 destinations.
DeletePre-COVID numbers for LCA are 8,229,346. Meanwhile, last year they handled 6,037,053 passengers. It's a good market with a decent demand even in winter.
DeleteWhen it comes to Cyprus Airways' future I wouldn't rush to put any bets on them. They had a period of real struggle and were recently looking for new investors.
Cyprus has seasonality but demand in winter is still strong enough to sustain a decent network.
October 2022
LCA 726,194
ZAG 321.046
November 2022
LCA 390,409
ZAG 253.666
December 2022
LCA 363,336
ZAG 247.736
January 2023
LCA 330,137
ZAG 221.747
February 2023
LCA 315,830
ZAG 208.469
Total:
LCA 2.125.906
ZAG 1.252.664
Add to that the fact that Cyprus is an island which enjoys high demand to neighboring markets where most flights last less than 90 minutes. So looking at market dynamics, in theory, the A220 makes more sense for CY than it does for OU.
After all, TUS is not rushing to add fancy and shiny new metal. They are relying on older and cheaper models since tourists want to fly for as little as possible..
Well, I am not worried about the economy. Higher interest rates will trim the companies that were not profitable enough to sustain normal interest rates and leave the market to those healthy that can operate in a competitive enviroment. For the travel industry, it is most important that job numbers are good and that workers are confident.
DeleteCredit Suisse was sick bank for the part 10 years or more, with a lot of scandals and problems. It is not anything new. They should have gone (if we had free market conditions) long time ago.
DeleteING report this morning on Poland:
DeletePoland’s retail sales nosedived in February as elevated inflation took its toll on consumers' real disposable income, dampening household consumption. Along with poor industrial output figures, we expect a weak first quarter with downside risks to our -1% year-on-year GDP forecast
Nemjee, you seriously need to move to Cyprus xD it's your passion. Yeah, A220 is perfect for Hrvatska and Cyprus.
Delete@anon12:14 +1
DeleteSeems Nemjee is jealous on someone for getting A220.
DeleteNemjee
DeleteHave you ever thought that current passenger numbers in Zagreb aren't the maximum possible ones?
Credit Suisse folding is just symptom of rotten fractional reserve banking that is crumbling like House of cards.
DeleteAirlines leasing unaffordable planes is symptom of debt based model of economy hitting the face-plant. Same for the highest number of tourists booking vacations with money not earned aka Credit cards.
It will be lot of crying in the fall.
Anon 13.23
DeleteI am sorry but why would I be jealous? I am merely stating facts which are I believe reasonable. There is a reason why JU decided to terminate their agreement for the A320neo. It's not a right fit for them for the same reason A220 is not the right fit for OU.
Also, given their overall state, OU is making it really easy not to be jealous of them.
Anon 12.14
Thank you but I spent 14 years theаre so that's enough. I am flying there in less than a month on JU's A320. I partially agree with you and that is that I also think A220 is perfect for CY given that a lot of markets they serve are long and thin.
I wouldn't know why are you jealous, but what I know is that your comment is not objective.
DeleteIt's ok, once when you present some concrete arguments then we can debate. Like this it makes no sense since you are not adding any value to this discussion.
DeleteWhere does Swiss do training for its crew for the A220?
ReplyDeleteEither Canada or Frankfurt.
DeleteAnon 09:08
DeleteThanks for your informed response.
Actually, there is an FFS in Glattbrugg at Lufthansa Aviation Training. They moved everything into a brand new building about two years ago and left the older Swissair facilities. They also have a door trainer and an emergency evacuation trainer for the A220. With 30 A220, their fleet is big enough to support this.
DeleteAs far as I know, Swiss doesn't do HMV in Zurich, though, in the past, they flew to SAMCO in Maastricht. I think they pretty much stopped performing HMV in Zurich on the rest of their fleet too. Most of the work on A320 and A330 is now carried out in Jordan.
Thanks for the explanation. Interesting about servicing done in Jordan
DeleteThey even flew 21 aircraft to Jordan during Covid for storage, I believe some A333 are still there because they don't have enough crew. They had to massively increase salaries to attract new crew but are still struggling.
Deletehttps://skynews.ch/allgemein/swiss-hat-sechs-weitere-airbusse-nach-jordanien-geflogen/
Have they sorted out the engine issues with the A220?
ReplyDeleteNot yet
DeleteSource?
DeleteSource - just check how many are grounded by AirBaltic all the time
DeleteAre they?
DeleteOr are you talking about the pandemic era? :D
Yes they are, in fact Air Baltic will now be leasing 4 A320s this summer
DeleteLOL, how exactly they will be leasing plans that are grounded because of engine troubles? :D :D :D
Delete^ I don't know what you are on about. I said they are leasing 4 A320s because a number of their A220s are grounded. Keep up.
DeleteOU won't have problems with the engines. The older engines that Air Baltic have need modifying which won't be completed until 2024 due to shortage of components but as I say, OU will not have a problem as their engines will of been built to the new specifications.
DeleteThey are leasing A320 becouse they are wet leasing their a220 fleet elsewhere (swiss, air cairo etc.), they did the same last year... use cheaper a320s for vacation routes and profitably lease a220s elsewhere at a premium
Delete@Anonymous 09:57
DeleteWhat does leasing has to do with supposed engine troubles in 2023?
They are leasing additional a320s bcs of them leasing their aircraft out not bcs of the engine troubles
DeleteSo you agree that B6 doesn't have A220s grounded because of engine troubles.
DeleteAir Baltic has more grounded aircrafts than Swisss due to the PW problems, so OU be prepared
DeleteBT has around 8 aircraft grounded due to PW engine issues currently. Tomorrow 5 aircraft are leaving RIX - 3 to SAS, 2 to Swiss. till the summer peak they expect all engines to be fixed. But later in outumn some are expected be grounded again.
DeleteBravo OU!
ReplyDeleteBravo indeed, for keeping the same size instead growing, bravo for choosing the most expensive type over much cheaper, bravo for keeping feeding LH instead growing their network, bravo for year by year less market share, bravo for missing synergy with its base hub, bravo for buying Plenkovic armchair in Brussels, bravo for missing to decently connect regions within Croatia, bravo for handing over domestic market to foreigners without even trying to compete, bravo for all crime, corruption and nepotism, bravo to all Uhljebs there on positions non existing in other companies, bravo for thirty lost years, yeah bravo....
DeleteHaha..well said Rijeka
DeleteAs a passenger the A220 offers by far the best experience in the sky today.
ReplyDeleteWay better and more comfortable cabin than A320s and 737s.
Why? What makes the experience between A220 and A320 so dramatically more different, according to you?
DeleteAgree. Loved all my flights on the A220.
DeleteAnonymous 09:11
DeleteIt both is and feels more spacious. Shoulder space is unmatched. It is also a very quiet cabin.
And don't forget about the huge windows :-)
DeleteI flew airBaltic a week ago and can confirm the A220 is a very comfortable regional jet.
DeleteIt has a slightly narrower cabin than the 737 but it is 5 instead of 6 abreast.
DeleteWonderful windows for those of us who can't stop looking outside the aircraft and also very quite.
It is the perfect sized jet for airlines in our region.
ReplyDeleteI wouldn’t put the three flag carriers in our region into the same basket. This plane is perfectly sized for two of them. The third one has far higher aspirations than just the region.
Delete@Anon 09:13
DeleteSMFH
Actually the A220 is ideal for an airline like JU who flies mostly A319 CEOs, burning 20% more fuel per seat than the Canadian jet.
DeleteIs it? I'm just wondering what they will do with these planes in winter when they have trouble filling Dash 8s on some key routes.
DeleteVery risky in my opinion
DeleteAnonymous at 09:13 unfortunately it won't last for JU. They are going through an expansion at the moment, but are struggling to cope and it's not the summer yet. Once the government runs out of cash and bookings slow down, you'll see Air Serbia drop back to a more sustainable size. Their current plans are unsustainable long term!
DeleteAt this point JU needs more A320s than A220s. As for OU, they should have transitioned to some cheap E95s which can seat up to 120 passengers. Leases on the A220s must be quite high.
DeleteNemjee you are forgetting UBS issues and how that will greatly impact airline travel.
DeleteOr it affects all European airlines except JU?
UBS doesn't work in Serbia and Serbia isn't attracting people going on holidays so this will not affect JU that much. Plus JU is busy carrying transfers, locals and businessmen. They will be affected like Tarom or SAS or Icelandair. So not at all.
DeleteAnonymous 09:59
DeleteJU won’t receive a cent from the government this year. Which is a far cry from the other two which exist solely thanks to government handouts.
The bookings won’t dry our. They are going from strength to strength. Their “more sustainable” size is onwards and upwards, far surpassing the parameters of other minor feeder airlines in the region.
As for you trying to present your envy through a rationalised tone, it’s not really working.
So first aircraft should arrive just before 2024 summer?
ReplyDeleteMakee sense.
Delete* makes
DeleteExciting times ahead
ReplyDeleteYes, it will be very exciting watching them keeping on feeding Cartel, just with more expenses
DeletePOZDRAV : You got all us tired ! You are so boring ! Same old same old !
DeleteNo, I got only you tired with my criticism of crime and corruption in your beloved Party and its bastard OU
Deletejust as boring and uninspiring as the boring and unable croatia airlines
DeleteHopefully Croatia Technic will get permit to maintain A220s.
ReplyDeleteEventually. But it won't happen over night.
DeleteWould probably only make sense, if they are able to attract significant outside work.
DeleteIt is state of the art airplane and it will elevate OU service a lot. Congratulations!
ReplyDeleteReality will hit hard. Operating costs of a jet on routes, where low cabin loads are normal, will not be compensated by lower overall costs… starting from fuel burn, ATC costs (which are based on MTOW), landing fees etc, etc. I will not be surprised if they keep the DHC fleet or even lease ATRs. Except if they dramatically change summer ops, but there is no sign of that….
ReplyDeleteTo me it looks like OU made no study or no analysis on how this plane will impact them. They would have radically changed their network this year in preparation for this plane.
ReplyDeleteSo the ‘order’ placed with Airbus was just for show since Croatia Airlines is leasing all the planes and won’t own a single unit. When they were placing the ‘order’ Croatia Airlines said it was ordering 6 + 9 planes to be delivered by 2026 and that the first six would be A220-300s. Now it turns out it will be a mix of -100s and -300s. It also now turns out that the final 3 A220s are far from a sure thing and might join in 2027 but might now.
ReplyDeleteCongratulations
ReplyDeletePresumably crew training for the type should begin this year?
ReplyDeleteYes. Pilots will need new type rating.
DeleteBulgaria Air and Cyprus Airways will also receive the A220 in 2023. This aircraft seems to be very successful!
ReplyDelete+1
DeleteThe more I read about Air Baltic, their business seems a good one to replicate with multiple hubs in this region. Maybe with Ljubljana, Dubrovnik, Split and Zagreb. Using this one model. As they say copying is the best form of flattery and right now Air Baltic seem to have a good as model as anyone in Europe for dealing with being in relatively small markets and most importantly making money.
ReplyDeleteAha how yes no!
DeleteLove this plane
ReplyDeleteAt least there is finally some development at OU.
ReplyDeleteOn the contrary. There is no development. There is just new aircraft type, much more expensive to lease and operate, which will make more losses. Everything else remains the same, OU remains humiliated servant and pathetic feeder, and poor croatian people will continue covering that losses
DeleteFantastic news. Good luck OU.
ReplyDeleteI will say it again. Slovenia is looking for a national carrier, Croatia has one that could probably work if they link together.
ReplyDeleteIt's still too early to react
DeleteThis order will make them go bust within 2 years.
ReplyDeleteUnfortunately I think so too
DeleteAir Baltic aims for 100 planes in the near future. That is madness, especially for such a small market. I think that is a biiiiiig stretch.
ReplyDeleteThey said they plan to open 4 bases outside of Baltics.
DeletePlus they seem to have entered the wet lease market.
DeleteDo you think they will keep the old "refreshed" livery?
ReplyDeleteYes I believe so. They still haven't even painted it on all planes.
DeleteTo put things in perspective, Croatia Airlines will operate six A220 next year according to reports. Air Serbia will have approx peak 32-35 planes next year.
ReplyDeleteIf both OU and JU execute plans as expected, OU will get additional six A220 for a total of 12 by 2026 while Air Serbia will likely operate close to 40 planes that same year.
OU will not only operate six aircraft next year, they will just slowly phase out aircraft one by one
ReplyDelete