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Maintenance Cost

yourefired

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on: May 11, 2008, 04:11:17 pm
How is it possible that I only added 3 airplanes to my fleet only to see my maintenance costs jump 20 million euros?

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iranair777

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Reply #1 on: May 11, 2008, 05:24:44 pm
im sorry stephen, but we need a better maint. overview. The current system of all the fleet divided by a number or whatever is giving us a unequal estimate of the maint costs and this is cause me and probably others to be in the red. If only we had a way of knowing how much it costs to maint aircraft, all of us will be happy. We wont care if its made up, as to get the data for specific aircraft types and maint costs is too much, and seeing the amount we are paying its ridiculous. I'm in the red due to the main costs :(


yourefired

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Reply #2 on: May 11, 2008, 05:38:15 pm
I've noticed that when I add new plane types to my fleet the cost of maintenance jumps a lot more. So I'm guessing there's some economies of scale. However it's ridiculous to be expected to make decisions about buying aircraft without any information on maintenance cost when the cost of maintenance is 70% of my total costs.

I think I'll get some money together and build a terminal at JFK and BOS. How much would it cost for 20 gates?

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StephenM

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Reply #3 on: May 11, 2008, 07:00:05 pm
Quote from: "iranair777"
im sorry stephen, but we need a better maint. overview. The current system of all the fleet divided by a number or whatever is giving us a unequal estimate of the maint costs and this is cause me and probably others to be in the red.


Code: [Select]
Code Removed

Edit: The cost of maintenance changes so much you can never give an accurate figure.
Stephen Murphy
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yourefired

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Reply #4 on: May 11, 2008, 07:02:11 pm
En anglais, s'il vous plait?

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StephenM

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Reply #5 on: May 11, 2008, 07:07:58 pm
Quote from: "yourefired"
En anglais, s'il vous plait?


To be honest I cant be bothered. I've had a rough evening and I'm not in a good mood.
Stephen Murphy
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iranair777

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Reply #6 on: May 11, 2008, 07:38:46 pm
Quote from: "StephenM"
Quote from: "yourefired"
En anglais, s'il vous plait?


To be honest I cant be bothered. I've had a rough evening and I'm not in a good mood.


dktc annoying you? no suprise


sl1ppy

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Reply #7 on: May 11, 2008, 08:16:06 pm
maintenance costs are too significant now for them to remain 'opaque'.
I'm paying >2billion/mo (world 3)

I agree it's needed to slow things down but it would be nice to factor them in to a strategy.
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herrgoda

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Reply #8 on: May 11, 2008, 08:39:02 pm
Quote from: "yourefired"
En anglais, s'il vous plait?


I love sql :evil:

I tried to do the maths manually, and ended up with more than one sheet of calculations... The result was roughly correct (for an exact calculation you'd need the age (in days) of every single aircraft), so I think I've done it right.

There is no easy way to do it, and you need a lot of information to do it. I could not think of even a way to correctly represent it, as it's just too many values. And as it's partially based on aircraft age the resulting cost will change every year even if you did not alter your fleet. This may be a reason the maintenance cost is not quoted on the purchase page, as there is no fixed cost. It is variable and depends on aircraft age.
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yourefired

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Reply #9 on: May 11, 2008, 08:47:12 pm
Well estimates can be given and in the real world estimates ARE given.

Fuel costs vary too depending on payload and such. We still get estimates for that. Perhaps we can get an estimate of costs for a "typical" operation of a brand new aircraft.

You could probably do out the calculations for "typical" operations brand new, 2 years out, 5 years out, 10 years out, etc. Obviously high cycle/short flight planes would cost more to maintain vs. low cycle/longhaul planes would cost less (comparatively). We should also be allowed to contract out maintenance.

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herrgoda

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Reply #10 on: May 11, 2008, 09:10:18 pm
Yeah, but fuel usage does not vary in AM, afaia...

Veeeeeeeeery roughly the new aircraft maintenance cost is 1% of the purchase price per year. So if you buy an aircraft for, say, 100.000.000, the maintenance will be _roughly_ 1.000.000 for the first year. The pure maintenance cost will increase by about 0.0025% of the purchase price every year, so it's 1.0025% for the second year, 1.005% for the third year etc...
Added to this are the technical staff wages which are the following: (Number of aircraft divided by 3 multiplied with 3500 multiplied with half number of bases) plus (number of aircraft divided by 3 multiplied with 2500)

I hope i got it right now, it's just so many zeroes that I'll take no liability if I missed a digit somewhere.
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yourefired

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Reply #11 on: May 11, 2008, 09:15:03 pm
No way it's just 1%. I have 90 planes and pay 335 million for maintenance. That's an average of 3.6 million euros per month per plane. And my fleet's average age is less than a year.

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herrgoda

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Reply #12 on: May 11, 2008, 10:29:56 pm
Quote from: "yourefired"
No way it's just 1%. I have 90 planes and pay 335 million for maintenance. That's an average of 3.6 million euros per month per plane. And my fleet's average age is less than a year.


EDIT: As Stephen chose to remove the code he copied, I will also remove the calculations based on that code from here and second his statement: Costs vary depending on aircraft age.
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dotter

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Reply #13 on: May 13, 2008, 10:00:24 am
Maintenance Fees (Monthly): €72.074.472
Fleet size: 49
Fleet value: 1.620.839.243 €
Average fleet value: 33M €
Average fleet age: 1
Average maintenance per plane: 1.470.907 €

The problem is not the "high" maintenance cost, but the fact that I have no overview on plane maintenance other than the total cost, making it impossible to calculate the maintenance cost per plane for 2, 3 or 4 years ahead.
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StephenM

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Reply #14 on: May 13, 2008, 10:39:56 am
Quote from: "dotter"
making it impossible to calculate the maintenance cost per plane for 2, 3 or 4 years ahead.


Thats because it is impossible. ;)
Stephen Murphy
Airline Mogul Chief Developer


 

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