9 replies to this topic

[AVRodack]

I was wondering at what age a plane gets too old to profit (maintenance and such), just an aprox figure to plan ahead.

 

Thanks.

[Hake.]

What do you mean by this? As in, a brand new plane would be more economical or that you can't make a profit? The age of replacement should be around 10 years.

[AVRodack]

Thanks, excuse me for my poor english.

 

10 years... so around that age my planes will stop profiting due to higher maintenance costs?, if so I screwed it by buying old leased planes.

[Keelung]

Not so, the plane still does profit even at 30 or 40 and maybe even 50 years, but it's just less. Also, never, ever run just one plane of a type, you will not be able to make an overall profit even if it's brand new, let alone 10. In the end, it's economics. One tip I would give to you when you're leasing aircraft, always go for a full 10-year lease, and when you get the aircraft, extend the lease by one year, this decreases the price of lease per month. I know it isn't much but numbers do add up. Never terminate leases, never. Just buy and sell the plane.

Edited by Keelung, 04 March 2013 - 06:46 PM.

[Northern]

What do you mean by this? As in, a brand new plane would be more economical or that you can't make a profit? The age of replacement should be around 10 years.

Thanks, excuse me for my poor english.
 
10 years... so around that age my planes will stop profiting due to higher maintenance costs?, if so I screwed it by buying old leased planes.

RUBBISH! An aircraft should be retired by 30 years of age, when it will be pretty inefficient,lol 10 years Thomas Cook, Jet2, British Airways
& AA would be in trouble

[mxax-ai]

Old planes never really get unprofitable due to their age and maintenance costs. The only reason that could lead to unprofitability is competition with more efficient planes cutting prices severely. Or perhaps an always unprofitable aircraft.
Imo planes older than 30 years should get much higher penalties like much higher maintenance costs, lower ontime performance or as a side effect from rising fuel prices a higher fuel cost. I hate it when people operate Cl-44s in masses in 2010 or 707-320s in 2040.

[Mobeer]

Old planes cost more in maintenance but cost less in leasing or depreciation.
Old planes can be more fuel efficient than new planes.
There is a small penalty to reputation for having an old fleet of planes, but this is likely at most 7-8% of total reputation.

If profit is the only motive, I would keep some planes flying for 50+ years.

I would also like to see more penalties for operating old planes.

[Ioh]

I prefer to get rid of aircraft by the time there 25

[pseudoswede]

The maintenance costs between a 10-year-old and 30-year-old plane are insignificant. Your reputation does dip if your average fleet age is over 10 years old.

[AVRodack]

Thanks guys