In 2006, Virgin Blue, Australia’s number two airline after Qantas, agreed to buy nine Boeing 737-800 jets valued at $US634.5 million. The Brisbane based company has a programme to expands its fleet of younger, more fuel-efficient aircraft.
Virgin Blue’s fuel costs account for over 23% of its gross revenue. It wants newer, more fuel efficient aircraft to lower costs.
By decreasing the variety of aircraft in its fleet, Virgin Blue will also reduce maintenance costs due to economies of scale in engineering technical skills requirements and spare parts procurement.
The company said it ordered the next generation 737 because it is a reliable and cost-efficient aircraft, which is essential in their competitive low-cost market.
In introduction of QANTAS’s low cost carrier Jetstar, has further increased pressure on reducing costs.
Like the Boeing 737-600 and Boeing 737-700, the 800 features many improvements including more efficient CFM56-7B turbofan engines. Over 4,000 CFM56-7B engines are in service as part of the most popular engine/aircraft team in commercial aviation.
The CFM56-7B turbofan, with it’s swept fan and...
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