First retired A380 superjumbo parked at Tarmac Aerosave awaiting sale or scrap

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First retired A380 superjumbo parked at Tarmac Aerosave awaiting sale or scrap

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The first Airbus superjumbo to exit service will be stored minus its engines at a French airfieldas its owner seeks a new operator for a plane that while still relatively young in industry terms has fallen out of favour with airlines.

The A380 will be returned to leasing firm Dr. Peters after 10 years of service with Singapore Airlines, the model's first customer. With Airbus struggling to win orders for the double-decker and no second-hand market established, the aircraft will be parked at Tarbes in the foothills of the French Pyrenees.

Singapore Airlines still has brand new A380s on the way, and earlier this month revealed new seat designs for its superjumbos (see gallery above).

Singapore Airlines has begun retiring its oldest A380 superjumbos.

Singapore Airlines has begun retiring its oldest A380 superjumbos.Credit: Bloomberg

The A380 is the third built -- the first two being test planes -- and made the initial commercial flight by a superjumbo, between Singapore and Sydney on October 25, 2007. The jetliner's last passenger trip was to the city state from London on June 10, after which it was grounded for decommissioning. By comparison, Boeing 747-400 planes operated by British Airways typically date from 1990, according to the Ascend Worldwide database, with some slated to remain in service until 2024.

Dr. Peters, which owns four Singapore A380s, said that talks with potential new users of the aircraft continue and that it remains "optimistic" about agreeing a deal. At the same time, the jet's engines will be removed and returned to manufacturer Rolls-Royce for rental to other operators in a move that may buy the plane time or prove a prelude to its scrapping. The lessor used to get $US1.7 million ($A2.23 million) a month for the wide-body, whereas the Rolls deal will bring in $US480,000, offset by $US94,000 for storage and insurance.

Storing an A380 with no new operator in sight represents a setback for Airbus as it seeks to save the program through the sale of about 20 new planes to Emirates, the largest operator of the model. That deal could come next week at the Dubai Air Show and would help shore up build rates that have been repeatedly cut as orders dry up.

Tarmac Aerosave, Europe's biggest aircraft storage company, says it can accommodate 25 A380s.

Tarmac Aerosave, Europe's biggest aircraft storage company, says it can accommodate 25 A380s.Credit: Tarmac Aerosave

Airbus struck a blank on selling new A380s last year and has offered to revamp the model with fuel-saving winglets and 80 extra seats on top of the standard 550 to improve its appeal.

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Tarbes-Lourdes-Pyreenees airport, located 120 kilometres from Airbus's Toulouse headquarters in southwest France, is a popular parking site for jetliners. Tarmac Aerosave, Europe's biggest aircraft storage company, says it can accommodate 25 planes there and hundreds more at Teruel, Spain.

The second aircraft due for return is also grounded at Singapore Changi airport where, like the first, it will be repainted white before heading to France.

Rolls-Royce has a deal covering all four of the Dr. Peters planes which can be extended into 2019, going some way to ease the pressure to strike an immediate deal with a new operator. The Trent 900 powerplants will be fitted to A380s whose own engines need to be removed for maintenance, said Ulrike Germann, a spokesman for the lessor.

Under the terms of their lease to Singapore Air, the aircraft must be returned in "full life" condition, meaning that interiors, engines and other elements must be as new or the carrier faces a penalty of $US25 million per plane. The existing cabins will remain in place but are being refurbished, Dr. Peters said.

Parting out

The German firm has said previously that its A380s -- which had an original list price of about $US250 million -- could be broken up or "parted out" to recover engines and other spares worth at least $US100 million per plane. At the same time, it has said that talks have been held with six potential operators of the jets, including an Asian low-cost airline that would fly them in a 700-seat single-class layout, as well as carriers in the US and Europe.

Some parties are also discussing short leases of two to four years in order to assess the utility of operating A380s, Dr. Peters has said. In conjunction with Airbus and Doric, it also engaged Sparfell & Partner to seek potential VIP customers, with the Swiss reseller advertising them as Air Force One-style "head of state" transports on its website.

Malaysia Airlines is planning to use its six A380s, now deemed surplus to requirements, to form a fleet dedicated to transporting Muslim travellers on the annual Hajj pilgrimage to Mecca. Amedeo has also yet to find operators for 20 superjumbos it has agreed to buy.

Bloomberg

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