30 April 2019 © David Eyre
Virgin Australia is deferring delivery of its first Boeing 737 Max aircraft to July 2021, with the first delivery to be a 737 Max 10, and has changed 15 orders from the 737 Max 8 to the larger 737 Max 10.
The first 737 Max 8 will be delivered in February 2025, rather than the originally planned November 2019. The changed order now comprises 25 Boeing 737 Max 10s and 23 Boeing 737 Max 8s.
Virgin Australia made the decision to delay delivery to defer capital expenditure. The airline is focusing on generating more cash and reducing debt.
Virgin Australia currently has a fleet of 78 Boeing 737-800s and two 737-700s, while low-cost subsidiary Tigerair Australia has five Boeing 737-800s. The average age of the fleet is 8.8 years.
Boeing 737 Max safety
The Boeing 737 Max versions are currently subject to a global grounding, following the fatal Ethiopian Airlines ET302 and Lion Air JT610 accidents. This grounding is not expected to be resolved until at least December 2019.
Virgin Australia confirmed it will not introduce a new aircraft to its fleet until it is satisfied with its safety. The airline remains confident that Boeing and the regulatory authorities will be able to return the 737 Max to service safely.