Airbus A380 a Magnificient plane ideal for PIA

[Paul Woodcock]

Hello! Was browsing round the interwebs, as you do, and stumbled on this fine forum. After reading a lot of the comments about PIA and whether it needs the A380 or not.

Well, while at university, as part of my summer vacation, I worked at Manchester airport in the belly as a baggage handler (if anyone had a damaged suitcase travelling to Manchester in the summer of 1999, and 2000, it wasnt me!) But I do remember that the flight from Pakistan routing to the US was full when it arrived, some got off, some got on, and it left full. And the direct flight to Manchester arrived full, and left full! (still have bad memories about the MILLIONS of bags, boxes, pots, pans, and chairs!)

What the A380 offers is much lower costs per person. Still has 4 engines, like a 747, but at least 150 seats more, up to a maximum of 880. You wont see it get up to 1000. Never. Its not rated to do so, and it will never be rated to do so. Airbus does have plans for a stretched A380, in its -900 variant, which may get up to 950, but until the -800 is really up and running properly, and demand for the -900 is there, it wont get off the drawing board.

As for its size, if an airport can handle the 747-400, it cand handle the A380. Nearly. Airbus designed the A380 to fit inside the same box as the 747-400. Its about the same length, slightly wider, but not by much. The 2 major areas that need checking are gates, which are easy to upgrade, and the slightly trickier issue of weight. Its a heavy lady.

Could PIA use it? Of course they could. Pakistan has a very wide diaspora who want to maintain regular links with Pakistan. And the A380 allows PIA to transport people to visit family (either way), tourists to Pakistan (its a very beautiful place!) and operate out of airports where PIA will struggle to increase its presence because the availability of space is limited, such as London Heathrow. It is really unlikely PIA will be able to increase the number of flights out of LHR easily considering it is operating at some silly number like 99.8% capacity!

Could even use it on flights to Manchester. Especially in summer season. Manchester can handle it. And already does.

PIA could use the A380. Its not something they can pick up tomorrow and run with, it will take planning. But if they wanted to, they could. Get a great new flagship for the airline too.

 

[pursuit of happiness]

A380 , Airbus , loads 500-800 passengers vs 250 odd passengers that PIA transports in long Haul Flights , the A380 Offers more passengers and seats to its customers and most likely more visitors would visit Pakistan consider availability of seats on plane.

Comfort , Luxury and Elegance the plane is ideal for Pakistan International Airlines
At least 5 Units should be ordered

And best of all it has a range of 16,000 km

If PIA was serious about , being competitive , this is the plane they need to invest in 10 Units not only it carries DOUBLE the passenger load , it also is full of Luxury and elegance what every Pakistani passenger deserves traveling on long flights

Toronto - Pakistan
New York - Pakistan
Chicago - Pakistan
Los Angeles - Pakistan
Boston - Pakistan
Tokyo - Pakistan
Beijing- Pakistan

--
good article..though
few q.
1. how much traffic pak genrate out of pak
2. which are most profitbale routes
3. which are most busiest rout of pak at international level
4. can pak airport handle A380
5. can PIA manage thise big guy wrt to technical work , ground maintenance, turn araond
6. money ?
7. how PIA will improve its performace vis a vis other airline

When you take plane on lease the cost of purchase is reduced greatly however this plane pays for itself

Example Cost of the plane is $400,000,000 Million

Passenger Generated Revenue:
Capacity of plane is 800, and it makes 2 round trips per week

Lets take 1 Route Islamabad - New York @$1500 USD (Economy Class)
$2500 USD (Business Class)


Income Generated by First Class Business Class = 200 x $2500 = $500,000 USD
Income Generated By 1 Round Trip Economy Class = 600 x $1500 = $900,000 USD

Income Generated by 2 Round Trip = 2 x $1, 400,000 (1.4 Million) = 2,800,000 (2.8Million) USD
Income Generated in 1 Year by the plane/ Route (52 weeks) = $145 , 600, 000 Million

Baggage Generated Income:
Baggage Money , Pakistanis on average carry 5 Bags. If 3 bag are charged $20 each standard fee
Lets calculate extra fees generated

3 Extra Bags Fee $20 x 3 x 800 Passenger = $48,000 USD
2 Round Trips for plane = $96000 USD
52 Week schedule = $ 4992,000 (4.9 Million Dollars)

Net Income in 1 Year from Plane : $150 Million Dollars, in just three years the plane will almost pay for itself generating 396,000,000 Million USD dollars

+ Anything after that is pure profit


Note the Plane also has "Duty Free Shop Area" which can also generate Revenue. Encourage passengers to buy small gift in flight for passengers


Note these are Direct Flights (12 hours) , not like many others that stop over in unnecessary are making your trips last 24 hours long


Extra Revenue Generation, Using the surplus flying capacity to run 2 internal routes

Note the Capacity of the plane is 15,000 km
US - Islamabad route distance is 11 ,000 KM (Main Route)


>So its possible that the plane Could make a further drop / pick up inside Pakistan

Islamabad - Lahore (Extra Revenue Potential)
Lahore - Karachi (Extra Revenue Potential)
Karachi - Islamabad ( Islamabad to fly back to US)

Lets Assume , it loads 200 New passengers between Islamabad - Lahore

$500 USD x 200 = $100,000 USD (No return just one way)

Lets Assume , it loads 200 New passengers between Lahore - Karachi
$500 USD x 200 = $100,000 USD (No return just one way)

Karachi - Islamabad
$500 USD x 200 = $100,000 USD (Preparation for return trip from Islamabad- USA)
52 Weeks , 2 Times week x $300,000 USD =$31Million
3 Year = 93 Million USD

Big Picture:
3 Years US - Islamabad Route = $396 Million Dollars
3 Years Islamabad - Lahore - Karachi - Islamabad = $91 Million dollars

That is just return from 1 plane imagine 10 of these working for your PIA, After 3 years the 10 planes could generate 1.8 Billion USD revenue for PIA or Pakistan/ year. This would free up PIA from any debt past 4 years mark

Not only the plane has paid for itself but it is now generating revenue

10 , of these Magnificent planes could certainly return PIA to their rightful economy goals considering how much revenue they can generate for company on Long routes and combined with local trips in one Refuel


10 Year plane , with 10 A380 operational, 10 planes are purchased by Financing by PIA thru Bank, government helps with financing of 10 planes

Year 1 : Each of 10 planes is paying for itself (No Gain but customer happiness)
Year 2 : Each of 10 planes is paying for itself (No Gain but customer happiness)
Year 3 : Each of 10 planes is paying for itself (No Gain but customer happiness)
Year 4 : You generate 1.8 Billion Profit (Election Year good to show profit)
Year 5 : You generate 1.8 Billion Profit
Year 6 : You generate 1.8 Billion Profit
Year 7 : You generate 1.8 Billion Profit
Year 8 : You get 1.8 Billion Profit (2 Billion given to Pakistan Treasury)
Year 9 : You generate 1.8 Billion profit
Year 10: You generate 1.8 Billion profit
Year 11: You generate 1.8 Billion profit (PIA would get order 5 new planes)

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PIA generates 20 Billion US Dollars in 10 years by simply being more agressive

• At the end of 8th year PIA must return 2 Billion Dollars to Government of Pakistan for past assistance.

"The government could in turn use the 2.0 Billion from PIA and invest into Pakistan Railways , and purchasing 5,000 Locomotives from General Motors for 2 Million / engine and license production of engines TOT. This would solve the issue of Second institute of Pakistan , i.e Pakistan railways with out need for IMF bail out "

So with this plan by 2020 both PIA and Pakistan Railways would be Profitable
5,000 Locomotives would fix Pakistan Railways for 30 years
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This is the income only from A380 , 10 routes

--
waht is the Passenger load factor, or load factor, you considering
what is the turn around time you considering?

 

[Paul Woodcock]

--
good article..though
few q.
1. how much traffic pak genrate out of pak A lot

2. which are most profitbale routes

PIA loses money. But probably LHR

3. which are most busiest rout of pak at international level

Probably to Manchester or London. Not simply because Manchester is Manchester, but PIA flights continue from MAN to New York.

4. can pak airport handle A380

Its size, yes. Its weight, maybe not.
Runway wont need changing in terms of length, but the taxiways will need to be checked for its weight, and there will need to be changes to the airport gates.

5. can PIA manage thise big guy wrt to technical work , ground maintenance, turn araond

They already manage the 747. An A380 is designed to be turned round in the same time. It will require a few more staff, but it is no more difficult.

6. money ?

If PIA want it, and order a few, they can get a discount. If PIA use it smart, keep it full, it will MAKE money.

7. how PIA will improve its performace vis a vis other airline

THAT is a difficult question!

--
waht is the Passenger load factor, or load factor, you considering
what is the turn around time you considering?

It is usually accepted that in order to keep a route successful, you have to keep a load factor of 70%. Keep the planes 70% full. At the moment, PIA is just at 70%.

Turnaround on a big plane like the 777, 747, and A380 should be round 90 minutes. Some airlines stretch it to 2 hours to make sure it is clean and fully ready for very long haul.

 

[AZADPAKISTAN2009]

Its simple more seats mean MORE cheaper tickets !!! and more luxury passengers

If I am travelling back I wana travel in style not crammed up in seat

 

[Paul Woodcock]

It would be nice to think so, but it probably wont happen that PIA will slash prices. What you will get is a better chance of a deal in the future as a plane that size allows better control of cost.

You SHOULD get more space, but that is up to PIA and how many seats they want to cram in!