Category Archives: Avatar Airlines

Upstart Avatar Airlines wants to purchase 30 new Boeing 747-8s

Proposed Avatar Airlines has issued this statement:

Avatar is interested in purchasing 30 new 747-8s, (passenger-version) to be delivered within 3-5 years, a deal that could be worth over $10 billion dollars to Boeing. The Company intends to release its IPO during this time which would be dedicated for this specific purpose. The timing is right for keeping the 747 alive. Rather than zeroing in on long-haul luxury, we believe Boeing should rethink the aircraft on a cost per available seat mile (ASM) which would result in more people that fly with less airplanes in the sky.

BACKGROUND:

On November 19, 2019, Avatar Airlines filed its application for a Certificate of Public Convenience and Necessity with the U.S. Department of Transportation and contemporaneously filed its Preliminary Statement of Intent with the Federal Aviation Administration.

Avatar’s plan is to operate ultra-low fare, non-stop flights to and from high density markets within the continental U.S., initially utilizing Boeing 747-400 aircraft configured with 581 passenger seats. Its plan is a radical departure from current “low cost” competitors that derive their profits entirely by passengers by using smaller, less comfortable aircraft and by charging passengers premiums for various amenities that used to be included in the cost of their tickets (i.e., seat selection, baggage, etc.).

Avatar’s use of the Boeing 747 will enable it to offer “all inclusive” regular fares such as $49 from New York to Miami and $79 from California to New York, increasing markets for those that fly infrequently and creating new markets for those that don’t fly at all. Avatar’s exclusive use of the Boeing 747 will earn additional significant income by e.g., wholesaling commercial cargo, an operation not available to Avatar’s competing counterparts due to the physical dimensions of their fleet. Several other profit centers are similarly designed for Avatar to earn additional revenue from strategic partners, rather than relying solely on passenger revenue; advertising both inside and outside the cabin is one such profit center.

Avatar is currently looking to acquire 14 used 747-400s to begin initial service but considers the 747-8 to be the ideal aircraft to replace the older 400s at the proper time. Management also believes the -8 will provide an increase in passenger/freight load capacity along with significantly lower operating costs, especially fuel.

NON-BINDING NATURE OF LETTER:

This LOI does not create a binding agreement between the parties and is offered to Boeing for consideration without prejudice or consequence. The LOI remains subject to execution of a formalized purchase/sale agreement that will embody all pertinent terms and conditions, if the parties can agree.

Given Avatar’s present stage, the circumstances and lead time surrounding the production of the -8, the purpose of this LOI is to express Avatar’s interest in making the above acquisitions, to gauge any mutual interest on the part of Boeing, and if so interested, to commence a meaning dialogue and path to consummating the above described transaction(s).

Video:

Avatar Airlines turns to crowdfunding for start-up capital

Avatar Airlines help us

Avatar Airlines (Boca Raton, Florida), as we previously reported, is a proposed new paper airline that wants to operate high-density Boeing 747-400s on “popular domestic routes with attractive low fares”. The new airline previously reported its had submitted an application to the DOT and the FAA for operating authority as an air carrier. A core component of its business plan to offer corporate sponsors the opportunity to advertise on the exteriors of the aircraft as well as in the interiors of the aircraft.

Avatar logo (LRW)

Now according to USA Today, the proposed airline has turned to crowdfunding for capital funding in order to obtain a Part 121 AOC and start operations. The entity has a funding campaign target of $5 million.

Avatar on Facebook

Above: Avatar is offering this shirt for every $50 donated to the start-up on their Facebook page.

Read the full report: CLICK HERE

Avatar 747-400

All images by Avatar Airlines.

Videos by Avatar Airlines:

 

Avatar Airlines wants to fly Boeing 747-400s with low fares and a lot of advertising

Avatar Airlines 747-400 (Avatar)(LR)

Avatar Airlines (Las Vegas) is a proposed new airline that wants to operate high-density Boeing 747-400s on popular domestic routes with attractive low fares. The new airline has reported its has submitted an application to the DOT and the FAA for operating authority as an air carrier. A core component of its business plan to offer corporate sponsors the opportunity to advertise on the exteriors of the aircraft as well as in the interiors of the aircraft.

Proposed Routes:

Avatar Airlines 2014 Proposed Route Map

Here are some of highlights of their business plan:

Avatar is building a better airline from the ground up.  Avatar will make full use of the latest technology in order to bring down the cost of air travel, without sacrificing the creature comforts of luxury flight.  Exclusive use of online reservations (“straight to the gate”) is a tremendous savings for Avatar, and allows it to pass on a tremendous savings to its passengers.  Not only will Avatar not sacrifice creature comforts, it will actually enhancethem.  We realize that “creature comforts” may mean different things to different passengers.  Some passengers may want to use their flight-time to totally unplug and relax by catching a few extra winks or by even curling up with a good book. We get it. There’s no reason these passengers should have to pay for technology they don’t plan on using.  It’s one of the ways Avatar plans to keep the overall cost of flight travel at remarkably low levels.

Yet, for those passengers that wish to indulge, Avatar’s plan is to equip its fleet with on-board satellite Wi-Fi capability as part of its in-flight entertainment profit center.  For a nominal cost, passengers will be able to surf the net, watch a movie , catch up on emails, or shop on the Avatar network and receive valuable discounts while flying thousands of feet in the air, giving a literal meaning to the term “cloud-based” computing.

Seat-back technology is for the birds, not the planes.”

Ever look at some of our competitor’s seatbacks and think to yourself, “hmm… that technology sure is starting to look dated.  It could use a good facelift.”  Lackluster color.  Not enough definition. Worn-out control buttons.  Pokey connections. Technology changes so fast, why not leave it up to our passengers to decide the quality of their onboard devices?  Passengers are encouraged to use their own devices, or for a nominal fee, rent a portable hi-tech device from Avatar. Avatar plans on forming strategic alliances with third party vendors to supply portable hi-tech devices and swap them out as the technology advances – insuring that Avatar’s passengers always have the option to enjoy hi-tech devices on their flight, whether that device is one of their own, or one of ours.

Luggage Handling

Ever see our competitor’s passengers struggling to get their “oversized” carry-ons into the overhead bins, to avoid costly luggage fees?  (Were you one of them?  Or maybe you were the one shielding yourself from a possible fallout???)   A bit like trying to fit a square peg into a round hole, wouldn’t you say? Did we mention no more luggage fees?  Avatar thinks it’soutrageous that passengers should have to pay to bring a reasonable amount of luggage with them on a flight.  Avatar plans to “roll back the clock” to the good old days when each passenger was permitted to check two normal pieces of luggage into cargo for no fee, in addition to standard carry-on bags.

Avatar’s business plan is unique, incorporating six individual profit centers in conjunction with the exclusive use of the Boeing 747 aircraft equipped with 539 economy seats and 42 business class seats, resulting in the industry’s lowest cost per seat mile.

This allows Avatar to offer everyday fares between $19 to $99, depending on the destination and time of purchase.

Avatar profit centers include:

Passenger Ticketing
Cargo
Catering
In-flight Entertainment
Advertising & Promotions (Branding) a Avatar Vacations

Each center is responsible for earning a profit, combined they are responsible for lowering Avatar’s cost per available seat mile resulting in a cost expected to be the lowest in the industry.

It’s simple: Big airplanes carrying maximum number of seats combined with fares which are low enough and markets which are large enough to guarantee 100% load factors.

Airline Media, Inc. is solely owned by Avatar Airlines and is that profit center responsible for corporate sponsorships through branding. The Company provides the opportunity to display your ad or logo on the inside and/or the outside of one or all of Avatar’s aircraft.

Areas such as: seat upholstery, cabin walls and ceilings, over-head bins, bulkheads, tray table, exterior-wrap as well as other areas are available.

Avatar Airlines Bin Advertising

The proposed airline is also proposing to corporate sponsors to decorate their large aircraft with a full size logo jets as “Exterior Wraps”:

Avotar Airlines Exterior Wraps

Here are some corporate possibilities:

Avatar Airlines 747-400 logojets

All images from the  Avatar Airlines 2014 press kit.