Skywest Gets 25 New E175's for Delta & Alaska
09-06-2017, 08:37 AM
#1
Gets Weekends Off
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Skywest Gets 25 New E175's for Delta & Alaska
SkyWest, Inc. Announces Order of 25 New Aircraft, New Flying Agreements
- Order includes 15 new Embraer E175 SC 70-seat aircraft expected to be delivered and placed into service with Delta Air Lines in 2018
- Order includes 10 new Embraer E175 76-seat aircraft expected to be delivered and placed into service with Alaska Airlines in 2018
- Terms and economics similar to prior contracts with each partner
ST. GEORGE, Utah, Sept. 6, 2017 /PRNewswire/ -- SkyWest, Inc. (NASDAQ: SKYW) ("SkyWest") today reported that it has entered into aircraft purchase agreements and capacity purchase agreements to acquire and fly 15 new aircraft with Delta Air Lines ("Delta") and 10 new aircraft with Alaska Airlines ("Alaska"), of which five aircraft with Alaska were previously discussed. Expected delivery dates of the 25 aircraft run from March 2018 through the end of 2018.
Of the 25 aircraft, 15 Embraer E175 SC aircraft will fly under an agreement with Delta in a 70-seat configuration. The E175 SC aircraft has an E175 airframe and can be retrofitted to 76 seats in the future. The agreement with Alaska includes 10 Embraer E175s, which will be configured with 76 seats, similar to aircraft SkyWest has previously placed into service with Alaska.
Similar structurally to SkyWest's acquisition of 104 E175s, SkyWest expects to invest approximately $90 million in cash to acquire these 25 new aircraft, and to finance the balance of the purchase price with 12-year fixed rate debt. These aircraft will be operated by SkyWest Airlines, Inc. a wholly owned subsidiary of SkyWest.
About SkyWest
SkyWest, Inc. is the holding company for two scheduled passenger airline operations and an aircraft leasing company. SkyWest's airline companies provide commercial air service in cities throughout North America with more than 2,900 daily flights carrying more than 50 million passengers annually. SkyWest Airlines operates through partnerships with United Airlines ("United"), Delta Air Lines ("Delta"), American Airlines ("American") and Alaska Airlines. ExpressJet Airlines operates through partnerships with United, Delta and American. Based in St. George, Utah, SkyWest continues to set the standard for excellence across the regional industry with unmatched value for customers, shareholders and its more than 17,000 employees. This press release and additional information regarding SkyWest can be accessed at inc.skywest.com.
- Order includes 15 new Embraer E175 SC 70-seat aircraft expected to be delivered and placed into service with Delta Air Lines in 2018
- Order includes 10 new Embraer E175 76-seat aircraft expected to be delivered and placed into service with Alaska Airlines in 2018
- Terms and economics similar to prior contracts with each partner
ST. GEORGE, Utah, Sept. 6, 2017 /PRNewswire/ -- SkyWest, Inc. (NASDAQ: SKYW) ("SkyWest") today reported that it has entered into aircraft purchase agreements and capacity purchase agreements to acquire and fly 15 new aircraft with Delta Air Lines ("Delta") and 10 new aircraft with Alaska Airlines ("Alaska"), of which five aircraft with Alaska were previously discussed. Expected delivery dates of the 25 aircraft run from March 2018 through the end of 2018.
Of the 25 aircraft, 15 Embraer E175 SC aircraft will fly under an agreement with Delta in a 70-seat configuration. The E175 SC aircraft has an E175 airframe and can be retrofitted to 76 seats in the future. The agreement with Alaska includes 10 Embraer E175s, which will be configured with 76 seats, similar to aircraft SkyWest has previously placed into service with Alaska.
Similar structurally to SkyWest's acquisition of 104 E175s, SkyWest expects to invest approximately $90 million in cash to acquire these 25 new aircraft, and to finance the balance of the purchase price with 12-year fixed rate debt. These aircraft will be operated by SkyWest Airlines, Inc. a wholly owned subsidiary of SkyWest.
About SkyWest
SkyWest, Inc. is the holding company for two scheduled passenger airline operations and an aircraft leasing company. SkyWest's airline companies provide commercial air service in cities throughout North America with more than 2,900 daily flights carrying more than 50 million passengers annually. SkyWest Airlines operates through partnerships with United Airlines ("United"), Delta Air Lines ("Delta"), American Airlines ("American") and Alaska Airlines. ExpressJet Airlines operates through partnerships with United, Delta and American. Based in St. George, Utah, SkyWest continues to set the standard for excellence across the regional industry with unmatched value for customers, shareholders and its more than 17,000 employees. This press release and additional information regarding SkyWest can be accessed at inc.skywest.com.
09-06-2017, 08:40 AM
#3
Ich bin Pilot von Beruf
Joined APC: Aug 2016
Position: CRJ Kapitän
Posts: 616
This will significantly reduce upgrade time and precipitate considerable growth in many of our west coast bases. I wouldn't be surprised to see a quick E175 upgrade because of this. Overall, we have much to celebrate with this new announcement.
09-06-2017, 10:30 AM
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Originally Posted by Duesenflieger
This will significantly reduce upgrade time and precipitate considerable growth in many of our west coast bases. I wouldn't be surprised to see a quick E175 upgrade because of this. Overall, we have much to celebrate with this new announcement.
09-07-2017, 05:30 PM
#8
Gets Weekends Off
Joined APC: Jul 2008
Posts: 4,203
Looks like a very aggressive deliver schedule.. all DL 175's in 90 days. AS 175's spread over 6 months. But the first 6 come quick... bet big ERJ classes this winter!!
http://inc.skywest.com/assets/Uploads/Presentations/09-01-17-INVESTOR-Update-SEPTEMBER-FINAL.pdf
Side note looks like XJT down to 100 ERJ's end of 2018..
http://inc.skywest.com/assets/Uploads/Presentations/09-01-17-INVESTOR-Update-SEPTEMBER-FINAL.pdf
Side note looks like XJT down to 100 ERJ's end of 2018..
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