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Author Topic: 16 year old plane - D-check or scrap?  (Read 813 times)

Offline Andriy

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16 year old plane - D-check or scrap?
« on: April 30, 2015, 11:22:54 AM »
Trying to figure out if there is a practical purpose to extend life of owned 16 year-old planes - as the cost of D-check seems to be prohibitively high
As an example: D-check for 16 y.o. Super VC10 is 7mm. If I make D-check and try to lease this plane to someone, I could get max 100-120k per month - which would take 6 years of lease just to pay the cost of D-check - and most likely the plane will be returned even earlier...
Is scrapping really the best option or am I missing something?

Offline Teadaze

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Re: 16 year old plane - D-check or scrap?
« Reply #1 on: April 30, 2015, 03:04:44 PM »
sometimes when you are running a very large size airline, or you didn't manage to hope on one of those popular next generation replacement because you took one too many at the bar the night before, you are stuck with an aircraft that you will have to use a little bit longer then you wanted. At 16 years unless it is a very popular aircraft such as a330... I would advise skip the check and scrap it before hand.

Since you are talking about leasing out or scrap, you own the aircraft. so it's not that terrible to use it for a little bit longer. and scrapping is best option overall.(assume you DP your aircraft from the beginning, you already saved a ton of cash).
« Last Edit: April 30, 2015, 03:20:02 PM by Aoitsuki »

Offline Andriy

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Re: 16 year old plane - D-check or scrap?
« Reply #2 on: May 02, 2015, 02:00:07 PM »
Thats what I thought… RIP VC-10s …  ::)

Offline knobbygb

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Re: 16 year old plane - D-check or scrap?
« Reply #3 on: May 03, 2015, 09:39:30 AM »
Don't forget that you'll also have a tax break on any loss you make due to scrapping.  Compare the book value before scrapping to the amount you receive then deduct 20 to 40 percent of this apparent "loss".  Look at what you paid for each aircraft 16 years ago.  I'm sure they've made plenty profit in that time.  What you'll lose now is nothing.  I know it seems sad scrapping aircraft - especially the beautiful VC10 but this is a part of the game that closely mirrors reality. I don't think ANY VC10's made it to 16 years in real-life commercial passenger service.

Offline Tiberius

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  • Posts: 235
Re: 16 year old plane - D-check or scrap?
« Reply #4 on: May 18, 2015, 11:42:52 PM »
D check that bird and fly it another 12-16 years. Buy it out at your next D check or now if able...     :)


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