American Splits $1.4 Billion Jet Buy
05-03-2018, 07:01 AM
#1
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American Splits $1.4 Billion Jet Buy
How many total EMB-175’s does AA have and how many total CRJ-900’s? What is their maximum for scope?
American Airlines Group Inc. split a $1.4 billion order of regional jets between Bombardier Inc. and Embraer SA, extending a push to update its short-range fleet.
The world’s largest carrier is buying 15 Bombardier CRJ900 planes and 15 Embraer E-175 jets, according to a regulatory filing Thursday. American also took options for 15 more aircraft from each manufacturer.
The purchase boosts American’s shift to bigger regional jets with room for two passenger classes, which better match the offerings of the airline’s larger single-aisle planes. American has also reduced the number of aircraft in the fleet that are smaller than the new ones it’s buying from Bombardier and Embraer.
The CRJ900 planes will be operated by regional affiliate PSA Airlines with the Embraer E-175 jets going to Envoy Air, American said. Deliveries of both aircraft types will begin next year.
American has added about 200 dual-class regional jets over the past four years. At the end of last year, the Fort Worth, Texas-based carrier had 118 of Bombardier’s CRJ900 aircraft operated by regional affiliates PSA and Mesa airlines. It had 148 of Embraer’s E-175 planes in operation at Republic, Envoy and Compass.
Bombardier and Sao Jose dos Campos, Brazil-based Embraer are pushing replacements for the aging regional jets in U.S. fleets. According to a market forecast released last year by Montreal-based Bombardier, North American airlines will need to retire about 2,100 aircraft of 150 seats or fewer by 2036. Forty percent of the current fleet is at least 15 years old, Bombardier said.
The CRJ900 order has a list value of about $719 million before customary discounts, Bombardier said in a statement. The E-175 deal is valued at about $705 million based on list prices, Embraer said.
American Airlines Group Inc. split a $1.4 billion order of regional jets between Bombardier Inc. and Embraer SA, extending a push to update its short-range fleet.
The world’s largest carrier is buying 15 Bombardier CRJ900 planes and 15 Embraer E-175 jets, according to a regulatory filing Thursday. American also took options for 15 more aircraft from each manufacturer.
The purchase boosts American’s shift to bigger regional jets with room for two passenger classes, which better match the offerings of the airline’s larger single-aisle planes. American has also reduced the number of aircraft in the fleet that are smaller than the new ones it’s buying from Bombardier and Embraer.
The CRJ900 planes will be operated by regional affiliate PSA Airlines with the Embraer E-175 jets going to Envoy Air, American said. Deliveries of both aircraft types will begin next year.
American has added about 200 dual-class regional jets over the past four years. At the end of last year, the Fort Worth, Texas-based carrier had 118 of Bombardier’s CRJ900 aircraft operated by regional affiliates PSA and Mesa airlines. It had 148 of Embraer’s E-175 planes in operation at Republic, Envoy and Compass.
Bombardier and Sao Jose dos Campos, Brazil-based Embraer are pushing replacements for the aging regional jets in U.S. fleets. According to a market forecast released last year by Montreal-based Bombardier, North American airlines will need to retire about 2,100 aircraft of 150 seats or fewer by 2036. Forty percent of the current fleet is at least 15 years old, Bombardier said.
The CRJ900 order has a list value of about $719 million before customary discounts, Bombardier said in a statement. The E-175 deal is valued at about $705 million based on list prices, Embraer said.
05-03-2018, 08:42 AM
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How is PSA getting more CRJs when they can't even staff the 700s we are sending/ supposed to be sending to them?
Also based on the email we got earlier today, scope was one of my biggest question marks. Per the email it sounds like they are retiring the 145s on our side in exchange for 175s. How is this possible given scope language?
Also based on the email we got earlier today, scope was one of my biggest question marks. Per the email it sounds like they are retiring the 145s on our side in exchange for 175s. How is this possible given scope language?
05-03-2018, 08:43 AM
#3
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Originally Posted by CaptJackSparrow
How is PSA getting more CRJs when they can't even staff the 700s we are sending/ supposed to be sending to them?
Also based on the email we got earlier today, scope was one of my biggest question marks. Per the email it sounds like they are retiring the 145s on our side in exchange for 175s. How is this possible given scope language?
Also based on the email we got earlier today, scope was one of my biggest question marks. Per the email it sounds like they are retiring the 145s on our side in exchange for 175s. How is this possible given scope language?
IIRC, the scope is nearly maxed on all size RJ's, but 51-76 seat jets aren't maxed yet. So, therefore they can retire the 50 seaters and replace them with 175/900's.
The number is 30 seat plus RJ cannot exceed 75% of the narrowbody fleet, whereas 51+ seaters cannot exceed 40% of the narrowbody fleet. Something to this effect don't quote me on the hard numbers.
05-03-2018, 08:47 AM
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I have also heard from a pretty reliable source (AA management pilot) that AA is quietly looking into a large Group 1 aircraft order and that the additional 319s are a stop-gap for now. The biggest issue that AA is facing is training capacity at the moment as far as bringing on a new fleet type is concerned. I don’t know how that would affect their scope for 76 seat RJs...
05-03-2018, 09:45 AM
#7
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Originally Posted by iahflyr
How many total EMB-175’s does AA have and how many total CRJ-900’s? What is their maximum for scope?
American Airlines Group Inc. split a $1.4 billion order of regional jets between Bombardier Inc. and Embraer SA, extending a push to update its short-range fleet.
The world’s largest carrier is buying 15 Bombardier CRJ900 planes and 15 Embraer E-175 jets, according to a regulatory filing Thursday. American also took options for 15 more aircraft from each manufacturer.
The purchase boosts American’s shift to bigger regional jets with room for two passenger classes, which better match the offerings of the airline’s larger single-aisle planes. American has also reduced the number of aircraft in the fleet that are smaller than the new ones it’s buying from Bombardier and Embraer.
The CRJ900 planes will be operated by regional affiliate PSA Airlines with the Embraer E-175 jets going to Envoy Air, American said. Deliveries of both aircraft types will begin next year.
American has added about 200 dual-class regional jets over the past four years. At the end of last year, the Fort Worth, Texas-based carrier had 118 of Bombardier’s CRJ900 aircraft operated by regional affiliates PSA and Mesa airlines. It had 148 of Embraer’s E-175 planes in operation at Republic, Envoy and Compass.
Bombardier and Sao Jose dos Campos, Brazil-based Embraer are pushing replacements for the aging regional jets in U.S. fleets. According to a market forecast released last year by Montreal-based Bombardier, North American airlines will need to retire about 2,100 aircraft of 150 seats or fewer by 2036. Forty percent of the current fleet is at least 15 years old, Bombardier said.
The CRJ900 order has a list value of about $719 million before customary discounts, Bombardier said in a statement. The E-175 deal is valued at about $705 million based on list prices, Embraer said.
American Airlines Group Inc. split a $1.4 billion order of regional jets between Bombardier Inc. and Embraer SA, extending a push to update its short-range fleet.
The world’s largest carrier is buying 15 Bombardier CRJ900 planes and 15 Embraer E-175 jets, according to a regulatory filing Thursday. American also took options for 15 more aircraft from each manufacturer.
The purchase boosts American’s shift to bigger regional jets with room for two passenger classes, which better match the offerings of the airline’s larger single-aisle planes. American has also reduced the number of aircraft in the fleet that are smaller than the new ones it’s buying from Bombardier and Embraer.
The CRJ900 planes will be operated by regional affiliate PSA Airlines with the Embraer E-175 jets going to Envoy Air, American said. Deliveries of both aircraft types will begin next year.
American has added about 200 dual-class regional jets over the past four years. At the end of last year, the Fort Worth, Texas-based carrier had 118 of Bombardier’s CRJ900 aircraft operated by regional affiliates PSA and Mesa airlines. It had 148 of Embraer’s E-175 planes in operation at Republic, Envoy and Compass.
Bombardier and Sao Jose dos Campos, Brazil-based Embraer are pushing replacements for the aging regional jets in U.S. fleets. According to a market forecast released last year by Montreal-based Bombardier, North American airlines will need to retire about 2,100 aircraft of 150 seats or fewer by 2036. Forty percent of the current fleet is at least 15 years old, Bombardier said.
The CRJ900 order has a list value of about $719 million before customary discounts, Bombardier said in a statement. The E-175 deal is valued at about $705 million based on list prices, Embraer said.
05-03-2018, 09:57 AM
#8
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Originally Posted by Newstick189
Thank you, that's what I was thinking!
05-03-2018, 11:38 AM
#9
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Originally Posted by zondaracer
No problem. Delta and United have mirrored their scope in many ways and AA is a little different. The Envoy and PSA CRJ700s are configured with 63/65 seats to qualify for the smaller jet scope. Do some of those have a forward lav? It would be nice to have.
05-04-2018, 01:05 AM
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Originally Posted by chrisreedrules
I have also heard from a pretty reliable source (AA management pilot) that AA is quietly looking into a large Group 1 aircraft order and that the additional 319s are a stop-gap for now. The biggest issue that AA is facing is training capacity at the moment as far as bringing on a new fleet type is concerned. I don’t know how that would affect their scope for 76 seat RJs...
