Yesterday, Alliance Airlines announced that it had signed a deal to procure additional Embraer E190 aircraft. The aircraft will be acquired through an agreement with an Irish aircraft lessor company called AerCap. The airplanes are currently employed by a US airline. However, under this new agreement, these planes will be forced by contract to relocate to Australia and change employers. These aircraft will be sold one at a time to Alliance. With each aircraft being purchased one at a time, the deliveries will not be completed for two years.

Purchase order

The recent purchase agreement was for 30 used E190s. The first of these will be delivered in September. Alliance has not shared from which airline these airplanes will come. However, it has assured that they are being operated by a US airline. Currently, only Breeze Airways and JetBlue operate the E190 in the US. Both airlines are currently working to build their fleets primarily by adding additional Airbus A220 aircraft. Regardless, only JetBlue could sustain such a loss as it has 60 E190s, and Breeze only has 15 of the E190 family.

Alliance Airlines Embraer E190s
Photo: Alliance Airlines 

Regardless, Alliance assures the public that the deliveries will occur as scheduled. The final deliveries are scheduled to occur in late 2025. Come 2026, the airline anticipates that it will operate a fleet of 63 E190s. The aircraft acquisitions will be funded by a mix of available cash and debt taken on by the Australian airline. So far, no prices have been given for the order as each plane will be purchased separately, with each plane bringing its own cost as every plane's value will vary. A representative for the airline stated the following in the recent announcement,

"Final purchase price for each aircraft will be adjusted for the maintenance status of the airframe and the two fitted engines in the week preceding each delivery. Accordingly, there is a significant degree of variation in unit cost and a totally firm fleet price is unable to be given at this time,"

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Qantas agreement

According to FlightGlobal, the purchase order came shortly after Qantas announced that it would increase the number of E190s leased from Alliance. The airline currently operates 18 of Alliance's E190s on a wet lease basis. Under the new contract, it will operate 30 E190s on a wet lease contract. In the arrangement, Qantas chose to extend the lease agreement enabling it to lease the aircraft for four additional years without undergoing a lease renewal. This is good news for Alliance as it means Qantas plans to utilize its services for years to come, as it sees this as a long-term partnership.

Embraer E190
Photo: Embraer

Alliance has ordered 30 additional E190s partly because of this new contract. Not only does it need to supply the airline with more aircraft, but it also anticipates that it will need to supply it with additional aircraft in the future should the demand for air travel in the region continue to grow. The other reason the airline has placed the order has been to enable it to expand other operations and have additional aircraft parts to help with maintenance.

What do you think of Alliance's decision to order 30 more E190s? Let us know in the comments below.

Source: FlightGlobal, Scramble

  • /wordpress/wp-content/uploads/2021/05/Qantas-Yam-Dreaming-Livery-Boeing-787-9-Dreamliner-VH-ZND-4-1000x1000.jpg
    Qantas
    IATA/ICAO Code:
    QF/QFA
    Airline Type:
    Full Service Carrier
    Hub(s):
    Brisbane Airport, Melbourne Airport, Sydney Kingsford Smith Airport
    Year Founded:
    1920
    Alliance:
    oneworld
    CEO:
    Alan Joyce
    Country:
    Australia
  • TECH-SHARK_EXTERIOR_004
    Embraer
    Stock Code:
    ERJ
    Date Founded:
    1969-08-19
    CEO:
    Francisco Gomes Neto
    Headquarters Location:
    Sao Paulo, Brazil
    Key Product Lines:
    Embraer 170, Embraer 175, Embraer 190, Embraer 195, Embraer 175-E2, Embraer 190-E2, Embraer 195-E2
    Business Type:
    Planemaker