Rex in voluntary administration, ending all 737 services

[Saab34]

If VA was still somewhat interested I would have expected it to be parked in ASP.

Lessor would have been caught out the paying for a D check prior to the Rex entry, now stuck with further engineering bills post another administration, certainly gets to the point where a write off is a easier option. Bit hard to invest in a Freighter conversion when it’s a multi year wait, combined with the storage and maintenance costs while idle, it’s fair to say it’s days might be numbered.

 

[Saab34]

Not sure how many aircraft are left, but 737 VH-MFM or ‘Michael Francis McCormack’ has left the country MEL-DPS.

 

[markis10]

If VA was still somewhat interested I would have expected it to be parked in ASP.

Lessor would have been caught out the paying for a D check prior to the Rex entry, now stuck with further engineering bills post another administration, certainly gets to the point where a write off is a easier option. Bit hard to invest in a Freighter conversion when it’s a multi year wait, combined with the storage and maintenance costs while idle, it’s fair to say it’s days might be numbered.

Previous REX bird was sent to ASP and never made it to freighter conversion, parted out, while one of the VA/Tiger bird got converted and still got parted out. Wait time for conversion is not an issue, finding a home afterwards is, vs parting out in a tight spares market.

Current fleet status from the YSSY Forum :

RQC Parked ADL 30 July
RQG Partially Scrapped ASP 9 March
RQP Parked CGK 14 September
RYU Parked MZJ 7 September
REX Parked CGK 23 September
PAG Parked MZJ 9 October
MFM enroute DPS
8ZL enroute to storage/new operator 10 October
8JS stored ASP 30 August
8KH stored ASP 11 September

The ex SQ birds are all owned by individual lessors rather than a well known one and will struggle to find a new home.

 

[Saab34]

I wonder if Virgin will keep the VH-REX rego?

 

[r01x]

The ex SQ birds are all owned by individual lessors rather than a well known one and will struggle to find a new home.

Given their age I highly doubt this will be the case

 

[HS-TQE]

Given their age I highly doubt this will be the case

Agreed. At worst, they may be early freighter conversion candidates IMO if there are no customers for the smaller lessor companies behind the ex-MI/SQ/ZL birds.

 

[markis10]

Agreed. At worst, they may be early freighter conversion candidates IMO if there are no customers for the smaller lessor companies behind the ex-MI/SQ/ZL birds.

Freight conversion market has died, after all one of the ex VA birds got converted then parted out. Sure they are younger but as I quoted, individual owners of the planes will be unattractive to the likes of Texel etc

IBA warns of oversupply of narrowbody conversions and lease rate fall - The Loadstar

The current rate of 737-800 conversions needs close monitoring, with a potential oversupply potentially impacting lease rates.

theloadstar.com

The A321PtoF market is a different story with its capacity and pallet capability on both the main deck and underneath.

 

[Harrison_133]

Toll Group is close to purchasing Rex's profitable Pel-Air subsidiary which operates on behalf of the NSW Ambulance Service and Ambulance Victoria.

Source: TOLL Group mulls buying Australia's Pel-Air - report

 

[jrfsp]

Embattled Rex Airlines moves to sell flight school for estimated $17 million

The flight school, which includes six blocks of accommodation with 179 rooms, is on the market with hopes that it will remain a place for people to train to be commercial pilots.

www.abc.net.au

Flight school up for sale.

 

[nonrev-jez]

Also confirmed last week that Toll Aviation will acquire Pelair for $47 million

 

[HS-TQE]

RQP (formerly nicknamed "Brett Godfrey's Jet" after the former VB CEO) and REX (former VUU) is reportedly set to re-join VA in their current regos by late November in time for the School Holidays.

Very interesting to see VH-REX, a rego of a former jet competitor in VA colours.