SF Gate: Northwest considering delayed delivery of airplanes

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inancial1435EDT0161.DTL
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Tuesday, October 22, 2002 (AP)
Northwest considering delayed delivery of airplanes



   (10-22) 11:35 PDT EAGAN, Minn. (AP) --
   In an effort to save cash, Northwest Airlines is talking with its
suppliers about deferring delivery of some new airplanes that it was set
to receive between July 2003 and March 2004.
   Northwest spokesman Bill Mellon confirmed those discussions on Monday, b=
ut
he declined to specify the number of aircraft affected by the deferrals.
   The Eagan-based carrier does business with three airplane companies --
Boeing, Airbus and Bombardier, which makes Canadair Regional Jets. Its
engine suppliers are General Electric and Pratt & Whitney.
   Last week, Northwest said that its flight capacity in 2003 will be 10
percent less than it was in 2000. Flight capacity measures the number of
seats for sale on the market.
   Because of smaller capacity, Northwest needs to fly fewer planes. So it's
attempting to put the brakes on orders it placed in the late 1990s and
2000.
   Mellon said the airline hopes to reach agreement soon on a deferral
schedule.
   Northwest did not make changes to its 2002 delivery schedule. This year,
the airline is buying or leasing 59 planes: two Boeing 747-400s; 10 Boeing
757-200s and 757-300s; 26 Airbus A319s and A320s and 21 Canadair Regional
Jets.
   Before the deferral talks began, Northwest was scheduled to receive 53
airplanes in 2003. The list price for a Boeing 757-300 is $82 million to
$89.5 million.
   Northwest owns 317 planes and leases 201.

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Copyright 2002 AP

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