ARAJET

MiamiDRGuy

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DR is launching its own new airline, again. It's called Arajet. It gonna be interesting. Arajet will begin operations in May from the Las Américas International Airport ( AILA ), with flights to Costa Rica, Colombia, Jamaica, and other Caribbean islands, with the plane named Pico Duarte. Starting in June, more aircraft will be incorporated and opening new destinations on the continent, and it is expected that flights to the United States will begin in the second half of the year.

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NALs

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They are backed by Bain Capital. This is supposed to be one of the largest investments the DR has ever seen, if not the largest.


Edited to add:

 
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JD Jones

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Google "Bain Capital vampire" to learn more about them
 

windeguy

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They are backed by Bain Capital. This is supposed to be one of the largest investments the DR has ever seen, if not the largest.


Edited to add:

I hope the investment, like previousl DR airlines, is not "in Bain"... You know where the V is pronounced like a soft B in Spanish....
 

NALs

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As can be seen, Arajet’s Pico Duarte airplane is brand new.


A Dominican airline with brand new large carriers? What investors can be this serious?
 
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Lots of splash.......as usual.

Understanding the airline industry operating scheme, a company orders X number of planes, the bulk of which are actually options to buy......not actual purchases.

And they are generally leased from/by companies like AerCap, who actually provides the financing for the purchase. The airline gets to preserve its operating cash.........something most airlines, especially start up carriers,..............need.

The current fleet is 3 planes............hopefully expanding as business increases.

They are in the ULCC (Ultra Low Cost Carrier) space.......competing with the likes of Spirit etc..

Highly competitive...............and difficult to survive, as the myriad of other defunct airlines have proved.

Good luck to them.


Respectfully,
Playacaribe2
 

JD Jones

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Much will depend on if they plough the money earned back into the business to maintain them properly. It seems like lack of maintenance is what kills them off.
 

chico bill

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Don’t know. But they ordered 20 Boeing 737 MAX planes. Googled it.
Remember this was the Boeing plane that was suspended because two pilots were not fully trained to over come stability issues of the fly by wire system caused by too steep of accent on takeoffs and a fault of software programing which had been outsourced to India "Maneuvering Characteristics Augmentation System". (MCAS), so there were hundreds carrier 737 Max orders cancelled and over 500 in service planes parked for 20-24 months.

I suspect these planes could be bought at a good discount, even after the software updates were done by Boeing Engineers in Seattle.
Let's hope the pilots Arajet hires are thoroughly trained on the 737 Max MACS - a higher level than Lion Air of Jakarta & Ethiopian Air.
 
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Much will depend on if they plough the money earned back into the business to maintain them properly. It seems like lack of maintenance is what kills them off.
They are taking a different approach.................

Instead of buying old cast offs of other airlines that can be bought cheap......but are maintenance hogs, they have chosen to go new.

Old aircraft can be bought very reasonable as compared to their original costs because they require much more attention/repair.

By way of example, I just this past week flew back from Texas in a client purchased Cessna 500 biz jet. Cost was $265,000. That equivalent plane new, a Cessna M2, would run 5 million.

The difference is in the maintenance costs,. Apples to apples use comparison, the Cessna 500 will run close to 1 million a year in ownership maintenance costs................the new M2.....about $250,000.

Planes are a lot like cars in that respect, the older they are, the more needs to be budgeted for maintenance.


Respectfully,
Playacaribe2
 
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chico bill

Dogs Better than People
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They are taking a different approach.................

Instead of buying old cast offs of other airlines that can be bought cheap......but are maintenance hogs, they have chosen to go new.

Old aircraft can be bought very reasonable as compared to their original costs because they require much more attention/repair.

By way of example, I just this past week flew back from Texas in a client purchased Cessna 500 biz jet. Cost was $265,000. That equivalent plane new, a Cessna M2, would run 5 million.

The difference is in the maintenance costs,. Apples to apples use comparison, the Cessna 500 will run close to 1 million a year in ownership maintenance costs................the new M2.....about $250,000.

Planes are a lot like cars in that respect, the older they are, the more needs to be budgeted for maintenance.


Respectfully,
Playacaribe2
Except you can't pull to the shoulder and call a AAA tow truck
 
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Except you can't pull to the shoulder and call a AAA tow truck
That is why certain airlines should not be trusted or flown. That is not to say an accident cannot occur on a meticulously maintained aircraft, just that your odds increase exponentially on some carriers.

Some of the more infamous include Lion, SCAT, Aeroflot, etc.


Respectfully,
Playacaribe2
 

Gadfly

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Remember this was the Boeing plane that was suspended because two pilots were not fully trained to over come stability issues of the fly by wire system caused by too steep of accent on takeoffs and a fault of software ….. (etc, see post #14)
Tragically both Boeing 737 MAX’s went down with passengers, no survivors. Pilots could not pull out of dive. Boeing was in denial, but eventually grounded all 737 MAX’s. It was Boeing’s new passenger airline. Not long ago.
 

NALs

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An interview of the president of Arajet, Mr Víctor Pacheco Méndez (printscreen below) was posted on Telematutino11 (a very popular morning show taped in SD). The full interview (in Spanish) is below. I would had translated that, but quite frankly its too long. I'll translate the following part I like a lot:

"We will become the hub of the Americas."

An airport named Las Américas should had been the hub of the hemisphere a long time ago, IMO.

Mr Víctor Pacheco Méndez, president of ARAJET.
CF11299E-725B-4139-BA3B-CF2DA25A78E9.jpeg


 
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