For the long haul – Qantas reconfigures A380s & 747s

CEO Alan Joyce said that the changes were reflective of changes in demand patterns for the different cabins. “We think the balance between First, Business and Premium Economy needed to readjusted, particularly now that the Business class product is a lie flat seat product with the entertainment system that we have on the A380. We think that is a very competitive product going forward,” he said.

That adjustment has been some time coming, with Qantas previously suspending sale of First on some routes during parts of 2009 as part of its measures to deal with the global financial crisis. Nevertheless, the airline had also foreshadowed in August that more permanent changes were on the way for its longhaul fleet.

The changes to cabin interiors will begin with the 12th A380, which will be delivered from 2012 without First Class. Instead, additional Economy and Premium Economy seats will be installed on the final eight A380s, taking the total number of seats to 550. This is 100 more than the current four class layout on the six A380s already in service, although it is subject to final confirmation with Airbus.

Interestingly, unlike other carriers such as Air New Zealand, Qantas has chosen not to abandon First Class, and will instead apply it only to certain markets operated by the airline’s first 12 A380s. “Our First class product will remain on key routes – on all LA markets from Melbourne and Sydney and from London for Melbourne and Sydney with at least one daily service from each of those operations,” said Joyce.

“That will, we believe, meet demand for First class going forward. The long term trend in First class has been a decline and our seat factor in First has been below 40 per cent, so we have plenty of room to cope with all expected future demand.”

Joyce added that the 40 per cent figure also included passengers who were travelling in lower classes and used Frequent Flyer points to upgrade to First.

While they will retain their 14 First Class suites, those 12 A380s will be reconfigured with more Premium Economy and Economy seats at the expense of Business Class. This will take the aircraft’s capacity up to 490 seats.

“The split A380 fleet will give Qantas greater flexibility to schedule the right aircraft, and the right configuration, on the right route, based on market demand,” said Joyce.

Also in line for reconfiguration are the airline’s nine GE powered Boeing 747-400s, including the six 747-400ERs delivered from 2002 to 2004. These aircraft will be stripped of First and reconfigured with the same Business, Premium Economy and Economy seats as on the A380. The aircraft will also receive the Panasonic eX2 in flight entertainment system, as is fitted on the A380 and two A330-200s. This will replace the existing Rockwell Collins system, which has experienced a number of problems since entering service.

The changes to the 747-400s will also increase the aircraft’s total capacity to 359 seats, comprised of 58 Business, 36 Premium Economy and 265 Economy seats. This is 50 seats more than the current four class configuration.

Joyce noted that due to certification issues and the long lead time, the first aircraft will not be refitted until 2011, with the program to be completed in early 2013.

The cabin refurbishment will ensure that the 747’s time at Qantas does not expire in the short term. “Those nine aircraft are the youngest in the 747 fleet and the aircraft that we intend to operate until at least 2020,” said Joyce. “Some of the aircraft only arrived seven or eight years ago.”

As such, the much reduced 747 fleet is expected to focus on operating services to Johannesburg, Hong Kong, San Francisco and Buenos Aries. As such, these routes will lose their First Class service once the reconfiguration is complete, although Hong Kong may see First on A380s operating onward services to London.

However, with the arrival of more A380s over the coming years, the death knell has been sounded for the 21 Rolls-Royce RB211 powered 747s, with the first of these aircraft already starting to be removed from service pending their sale.

Overall, the program is also expected to deliver significant cost savings to Qantas. “We’re getting nearly the equivalent of four A380s and extra capacity for the price of 1.3 A380s in terms of cost,” said Joyce. “So it is a very efficient way of getting additional capacity, and it helps the economics of our operation by between 10 per cent and 15 per cent because there’s no more crew required.”