Virgin ponders Fokker 100 replacement

Virgin Australia Holdings is investigating replacing its Fokker 100 fleet with either the Embraer E190-E2 or Airbus A220-100 on its regional services.

In a memo to staff, Virgin Australia Regional Airlines (VARA) executive general manager Nathan Miller said options for the 100-seat (F100s) replacement aircraft had been narrowed down to the Embraer E190-E2 (96-114 seats) and the Airbus A220-100 (100-120 seats).

“These are new-generation aircraft providing superior performance compared to the F100, lower fuel consumption and emissions through the employment of geared turbofan engines, enhanced customer product and improved operational performance,” he said.

Mr Miller told staff that, in 2021, VARA undertook a review of various options to replace the F100s, which now have an average fleet unit age of 30 years.

“The outcome of the review identified the Boeing 737-700 as a suitable replacement option for the majority of the network. However, some airports we operate into are unable to accept the B737-700 due to aerodrome compatibility,” he said in the memo.

“To be able to continue to service our customers in these locations, we retained a small number of F100s.

"As VARA has grown, and gone from strength to strength, we have earned the right to consider whether there is a better solution for the remaining lines of flying which really require a 100-seat aircraft.

“The Western Australian charter market is the biggest charter market in Australia, with the most vigorous competition being in the 100-seat segment, so we need to ensure we can provide a great solution for our charter clients with this requirement." 

Mr Miller said VARA foresaw an opportunity for at least four new aircraft based in Perth, starting in mid-2025.

"These aircraft will predominately operate charter activity, along with some RPT activity in shoulder periods where charter activity is low (Friday and weekends),” his memo reads.

“If we go ahead with either of these aircraft, this will be the first time that the WA 100-seat charter market has had new aircraft, since the days of Ansett, which would be great for our business and great for our clients.

"Ultimately, our board will make the decision on the business case for these aircraft, so it’s important that we can make a strong and clear case for the investment.”

VARA will consult with all key stakeholders in the coming days, according to Mr Miller.

“We will commence these discussions in the coming days, as we look to understand how we can provide ongoing opportunities for our people while remaining competitive within the 100-seat segment of the charter marke,” he said.