Planes Valued At $914 Million At List Prices

Embraer has announced a firm order from SkyWest for 20 E-Jets. The order has a value of $914 million, based on current list prices, and will be included in Embraer's 2017 third-quarter backlog. Combined with last month's announcement for 25 new aircraft, today's order results in a cumulative order of 45 new aircraft placed by SkyWest with Embraer in 2017.

Of the 20 aircraft, SkyWest will receive 15 E175 SC (Special Configuration) aircraft, in a 70-seat configuration. The E175 SC aircraft features an E175 airframe, which can be retrofitted to 76 seats in the future. SkyWest will also receive five E175s, in a 76-seat configuration, similar to aircraft SkyWest has previously ordered.

Including this new contract, Embraer has sold more than 380 E175 jets to airlines in North America since January 2013, earning more than 80% of all orders in the 76-seat jet segment.

Combined with last month's announcement for 25 new aircraft, this announcement results in a cumulative order of 45 new aircraft. Similar structurally to SkyWest's acquisition of 104 E175s, SkyWest expects to invest approximately $161 million in cash to acquire these 45 aircraft, and to finance the balance of the purchase price with debt. The expected delivery dates for the 45 aircraft run from September 2017 through the end of 2018, with the majority of the deliveries scheduled for mid-2018.

Since entering revenue service, the E-Jets family has received more than 1,700 orders and over 1,300 aircraft have been delivered. Today, E-Jets are flying in the fleets of 70 customers in 50 countries. The versatile 70 to 130-seat family is flying with low-cost airlines as well as with regional and mainline carriers.

(Source: Embraer and Skywest news releases. Image from file)

FMI: www.skywest.com, www.embraer.com