Interesting way the EMB guys phrases his statements. The first thing that catches my eye is that the orders will be placed "in the next YEAR". That's a long way off and signals to me, nothing is imminent. The second is that the scope is limited to the E-175, leaving the E-190/195 variant to mainlines.

The assumption is that not only EVERY 50-seater will be replaced by a 76-seater, but that this market will expand to claim more of smaller mainline flying. Likely true, and so the legacies will likely contract and pretty close to the rate of retirements at least for the rest of this decade. That means most current regional pilots will still be enjoying the regional life for the next 7-8 years, many well into their 40's and 50's. This means most who are regional captains won't be going anywhere (not that they'll have anywhere TO go in the airline industry). More larger RJ's will result in many current markets that won't support them and thus whatever is gained by taking over more of current mainline flying is lost to reduction of current regional flying, so that means simply a morphing of the current regional industry of similar size instead of true expansion. The end result is general stagnation among the regional pilot ranks.

Ordinarily, this will be bad for for regional operators, but AA is leading the way out of that by a wage methodology that ensures no excessive longevity as Eagle has now. It involves "resetting" pay rates to the "most competitive" carriers annually. Additionally, short-term contracts that will be staggered and multiple feed providers will ensure future regional pilots must stay very agressive about minimum cost (pay), if they want to keep their contracts (jobs). It's a great deal for airline managements, shareholders and vendors (creditors) like Embraer and that I'm sure is why this guy is so exited. As usual, pilots will get scraps and in the future a whole new generation will become skinniest of all. The question then is, what happens when they run out of pilots willing to fly these things for peanuts ?

Option A would be to increase pay, but then they may end up in a situation of paying more to a new-hire regional pilot, then a new-hire legacy pilot. Sounds stupid, considering these aircraft generate less revenue then larger aircraft to offset higher expenses. Suddenly, the economics may not work so well for the next generation of RJ's or worse yet, they may be committted to deliveries that they have no pilots for. Good luck to short-sighted managements in getting relief from legacy unions on their next self-induced quagmire (unless of course, they play the BK card again and go crying to sympathetic judges).

Option B, then might be having no alternative but to move these aircraft (and pilots) over to legacies and their union control. I also see a "perfect storm" coming for the next influx of beloved RJ's, but this time if there are insufficient pilots to fly them, it will be lagacy unions in the driver's seat looking for major "payback" of the past. Nothing like taking delivery o a shiny new jet, but having no $150,000 debt ridden 22-year olds willing to be abused for $30,000/year. Remember the pipleline for pilots is generally about 4 years out and judging from the number of new college kids heading toward the pro pilots career (as evidenced by # of new commercial pilot licenses) now and the need for the desired "huge" numbers of these jets in 4 years, one can indeed see a perfect storm brewing.

Personally, I plan to laugh my arse off when the inevitable hits and it will be all the more funny in that it could have been prevented in the first place if it wasn't for the misguided intoxication with endlessly undercutting pilots in perpituity. In 5 years, when this will be officially declared the mess it clearly looks like it will be, I'll be none too sypmathtic about once again bailing out the inept and it will take MAJOR compensation for me to even entertain the idea.

Maybe I'll start a business in Arizona giving public tours at "RJ Parks" where new EMB-175's will be going ?

Heck at least they could generate at least SOME revenue !