Airbus Updates No.2027

Iceland's WOW air sells four A321ceo to Air Canada

WOW air Airbus A321-200(SL) © WOW air

24.12.2018 - 07:27 UTC

WOW air (WW, Reykjavik Keflavik) says it has signed a sale and purchase agreement with Air Canada (AC, Montréal Trudeau) involving four A321ceo that the Icelandic carrier has had on finance lease since 2014. Deliveries will be effected in January 2019.

According to the ch-aviation fleets module, the four aircraft are msn 6232, 6210 (currently wet-leased to Aruba Airlines (AG, Aruba)), 5733, and 5681.

WOW air said in a statement the sale is part of its ongoing restructuring plan which will see its fleet being reduced from twenty to eleven narrowbody aircraft.

Aside from the aforementioned A321-200s, WOW air has thus far returned two A320-200s and two A330-300s to their lessors with one outstanding A330-300, TF-GAY (msn 1098), still in service.

Once the disposal is completed, WOW air's fleet will entail one A320neo, eight A321ceo, and two A321neo all of which are leased from third-party firms.

Airbus Updates No.2016

WOW air to retire widebodies, cut long-haul ops

WOW air Airbus A330-300 © WOW air

14.12.2018 - 17:47 UTC

WOW air (WW, Reykjavik Keflavik) has announced it will reduce its fleet from twenty units to just eleven, retiring all widebody A330s in the process and cutting its long-haul network.

"The company is negotiating the return of several aircraft to the lessors, including all Airbus A330 widebodies. A contract is being negotiated to sell four Airbus A321 aircraft that are due to be delivered in January 2019, which will improve the company's liquidity by USD10 million," the carrier said in a statement, quoted by visir.

It will also not take the A330-900s, of which two were due for delivery shortly.

According to the ch-aviation fleets module, out of the twenty aircraft mentioned by the carrier, two A320-200s and two A330-300s - all owned by Park Aerospace Holdings and managed by Avolon - were returned to the lessor and ferried to Shannon or Lourdes/Tarbes at the end of November.

The carrier currently continues to operate just a single widebody, an A330-300 TF-GAY (msn 1098). The twinjet is leased from ICBC Financial Leasing.

WOW air's narrowbody fleet currently includes twelve A321-200s, two A321-200neos, and a single A320-200neo.

The Icelandic LCC also announced it would terminate its flights from Reykjavik Keflavik to Los Angeles Int'l on January 14 and to Delhi Int'l on January 20. Going forward, further cuts in WOW air's North American network are expected.

In addition, WOW air also laid off 111 employees.

"This is the hardest day in the history of WOW air. We have a great group of people who have worked hard to make WOW air a reality and it's so sad to be forced to go to this cut," CEO and founder Skúli Mogensen said.

The carrier continues to negotiate its restructuring and financing with Indigo Partners, a global LCC investment fund. All other airlines in Indigo Partners' portfolio - including Wizz Air, Volotea, Frontier Airlines, and JetSMART - operate exclusively narrowbody Airbus jets.

Airbus Updates No.2001

WOW air returns 4 airbus aircraft, Icelandair takeover uncertain

WOW air Airbus A330-300 © WOW air

28.11.2018 - 19:28 UTC

WOW air (WW, Reykjavik Keflavik) has returned two A320-200s and two A330-300s to the lessor as a part of "necessary restructuring" given worsening financial and market conditions.

The Icelandic LCC retired its A320-200 TF-SIS (msn 4270) on November 22 and TF-BRO (msn 4305) on November 25. Both Airbus narrowbodies have since been ferried to Shannon for storage. WOW air does not operate any more A320-200s.

The carrier also returned two A330-300s TF-LUV (msn 1607) and TF-WOW (msn 1624). Both widebodies have already been ferried to Lourdes/Tarbes. WOW air has one more A330-300 in service.

All four returned aircraft are owned by Park Aerospace Holdings and managed by Avolon. Park/Avolon was also due to own and manage all four A330-900s originally scheduled to join WOW air shortly.

WOW air said in a statement that the downsizing of the fleet was done "in cooperation with its lessors" as "a part of a necessary restructuring of the airline and to ensure maximum utility of its remaining fleet".

The carrier's fleet also includes one A320-200neo, twelve A321-200s (one of them wet-leased to Aruba Airlines), and two A321-200neo. In the addition to the Aruba Airlines wet-lease, the Icelandic carrier is also planning to operate 102 charter flights between Miami Int'l Havana Int'l and Santa Clara de Cuba for Gulfstream Air Charter (GFT, Miami Int'l) over the period December 4, 2018 and January 31, 2019.

CEO Skuli Mogensen admitted in a letter to the company's bondholders that the market and financial situation of the airline have worsened since the bonds were issued on September 24, 2018.

"A number of external and internal events have worsened significantly and the Company is now working on securing its long-term funding," Mogensen said.

He blamed bad publicity about the company's situation, the bankruptcy of Primera Air Scandinavia (PF, Billund) which further worsened the image of transatlantic low-cost carriers, stricter payments terms imposed by creditors, lessors, and authorities straining the cash flow, and finally the increased fuel prices.

"With the above in mind we have been working diligently to seek additional funding and have received interest from a number of parties including Icelandair (FI, Reykjavik Keflavik) as has been publicly announced. Timing is a consideration as the situation described above has resulted in these funding initiatives becoming a necessity for the business," Mogensen said.

However, fellow Icelandic carrier Icelandair has since said that it will, at least for now, postpone the acquisition of WOW air. The parties previously reached a preliminary agreement in early November 2018.

"The purchase agreement contains various reservations that must be met. Based on the state of the situation today, Icelandair Group is unlikely to fulfill all reservations before [the shareholders' meeting on November 30]," Icelandair Group said in a filing to the Iceland Stock Exchange, without disclosing the unmet conditions.

Airbus Updates No.1614

WOW AIR TAKES DELIVERY OF ITS FIRST AIRBUS A320neo

The Iceland-based airline to strengthen its all Airbus fleet

26 APRIL 2017 PRESS RELEASE

WOW air the low-fare airline based in Iceland has taken delivery of its first A320neo on lease from  Air Lease Corporation. WOW air is an all Airbus operator with 12 aircraft in its fleet to date.

WOW air selected the A320neo for its low operating costs and excellent fuel efficiency. The aircraft will feature a single-class cabin layout with 180 seats. The airline has chosen CFM engines to power the aircraft that will operate throughout Europe.

The A320neo Family is the world’s best-selling single aisle product line with over 5,000 orders received from over 90 customers, capturing almost 60 percent share of the market. The A320neo Family incorporates latest technologies including new generation engines and Sharklet wing tip devices, which together deliver more than 15 percent in fuel savings from day one and 20 percent by 2020.

Airbus Updates No.1522

WOW air orders four A321s

The Iceland-based airline strengthens its all Airbus fleet

12 JULY 2016 PRESS RELEASE

WOW air the low-fare airline based in Iceland has signed a firm order for four A321s. The airline’s first purchase agreement directly with Airbus also makes WOW air a new Airbus customer. WOW air is an all Airbus operator with 11 aircraft in its fleet to date and will grow to 12 by the end of 2016. 

WOW air selected the A321 for its wider cabin, low operating costs and excellent fuel efficiency. The aircraft will feature a single-class cabin layout with 200 seats. The airline has selected CFM engines and will operate the aircraft throughout Europe and North America.

“We are thrilled to be adding these brand new A321 aircraft to our fast growing fleet.  WOW air is becoming one of the leading low-cost long-haul airline in the World and we look forward to expanding even further through our successful partnership with Airbus,” said Skúli Mogensen, Founder and CEO of WOW air.

“We are very pleased to welcome WOW air as a new Airbus customer. The new aircraft will fit seamlessly into the airline’s current all Airbus fleet, thanks to Airbus’ fleet commonality,” said John Leahy, Airbus Chief Operating Officer Customers. ’’The A321 will offer WOW air the lowest operational costs and the highest seat comfort and widest cabins for its passengers.’’

This new order will strengthen the airline’s network that comprises today 30 international routes throughout Europe and North America.’’

The A320 Family is the world’s best-selling single aisle product line with almost 12,600 orders since launch and more than 7,100 aircraft delivered to more than 320 operators worldwide. Thanks to their widest cabin, all members of the A320 Family offer unmatched comfort in all classes and Airbus’ 18” wide seats in economy as standard.