Duopoly’s Billion Dollar Cash Trap: Undelivered Aircraft

Along with other sources, we have been tracking deliveries, and as we approach the last three weeks of the year, what can we say about the duopoly’s situation?  We want to offer a perspective we have not seen before – ageing deliveries.  The number of aircraft is a surprise.

Consider that the typical value (after discounts) of a single-aisle aircraft is likely ~$50m, and of a widebody ~$150 m.  Of the 2121 WIP aircraft listed, 73%are single-aisles.  That alone could be worth $7.7 billion. The tied-up capital is big money.