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Join Us At 0900ET, Friday, 4/10, for the LIVE Morning Brief.
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Fri, Sep 10, 2010

Big Planes Coming Out Of The Desert

Some Airlines Are Resurrecting Mothballed 747s

An increase in passenger and cargo traffic has some airlines looking at the 747 jumbo jets they had parked in the desert for long term storage when the economy went south. British Airways, Cathay Pacific, and United Airlines have all reinstated some of their largest planes as both passenger and freight traffic have seen some recovery.

BA has recalled a Boeing 747-400 to serve a Dallas route in its winter schedule, which will allow it to shift a 777 to a New York route. Cathay Pacific has pulled five freighters out of long-term storage and placed them back into service. United Airlines led the trend by taking a 747 out of storage in June to meet summer travel demand.

Bloomberg News reports that, in June, more 747s were taken out of storage than were idled for the first time since January, 2009. Carriers had placed 112 jumbo jets in storage since the start of the year, and have recalled 72. But analysts say that the airlines have to be cautious not to add back too many planes too quickly. British Airways learned that lesson back in the 1990s when it brought back capacity too fast. There are still seven BA jumbo jets in storage in the desert.

Lufthansa is also considering pulling a jumbo jet out of storage in Germany after recalling about a dozen smaller wide-body jets.

FMI: www.britishairways.com, www.cathaypacific.com, www.united.com

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