Cancel Lease

[dpb]

Dang MTOW. Trying to get into bigger a/c and now stuck. I leased a plane for a year and don't need it. I can't seem to figure out how to get out of the lease. Is it possible?

Thanks,
dpb

[mavi]

You need to have the plane for a minimum amount of time before you can cancel (I think its four months, but not sure); Then you still need to pay 1/2 the cost of the months you cancel, so its not a cheap proposition.  If there's some way you can make the plane work, that's what I would do.

[dpb]

But I have like 16 737s and now 1 A310. That really scews with my commonality doesn't it?

I was expecting to need quite a few more A310s, but I am not flying them with 45 people on board max .

dpb

[brique]

two choices, really :

A: park the plane, do not schedule it for anything at all, then pay the lease & insurance until its cheap enough to return it : this will save you on salary and commonality costs.

B : bite the bullet, bear the salary/commonality cost and squeeze whatever revenue you can get out of the plane until you can cheaply cancel the lease.

One solution is to fly the plane on your better-filled routes so its earning as much as it can, and move the B737 onto maybe less profitable routes but one it can at least earn its keep on.

[Sanabas]

The minimum lease time is 10% of the total lease. So if you took out a 1 year lease, you can cancel it after 5-6 weeks. If you took out a 15 year lease, you can't cancel for 18 months.

Because you grabbed a plane that needs 2730m of runway with a full load, and you're in an airport that only has 2100m, you won't have many options. You could put it on your shorter routes (such as to SCEL, SBGR or SUMU) and still be able to have most seats available.

You could still fly it longhaul, and get more to do the same. But you'll need to use a close range techstop on the outbound leg, probably at SUMU.

Or, if you have grabbed it on a long lease, you could ask Sami nicely to remove it manually.

If you only grabbed it on a 1 week lease, I'd wait until the 6 weeks is up, cancel the lease and pay the ~5-10 million and call it a learning experience.

[brique]

The minimum lease time is 10% of the total lease. So if you took out a 1 year lease, you can cancel it after 5-6 weeks. If you took out a 15 year lease, you can't cancel for 18 months.

Because you grabbed a plane that needs 2730m of runway with a full load, and you're in an airport that only has 2100m, you won't have many options. You could put it on your shorter routes (such as to SCEL, SBGR or SUMU) and still be able to have most seats available.

You could still fly it longhaul, and get more to do the same. But you'll need to use a close range techstop on the outbound leg, probably at SUMU.

Or, if you have grabbed it on a long lease, you could ask Sami nicely to remove it manually.

If you only grabbed it on a 1 week lease, I'd wait until the 6 weeks is up, cancel the lease and pay the ~5-10 million and call it a learning experience.

Was a thread elsewhere on this subject : as you pre-pay 4 months up front (on used, think its 5 months on new) : the actual button that allows you to cancel the lease doesn't show up until the pre-pay expires