Embraer and Republic Airways have signed a contract for a agency order of 100 E175 jets.
The settlement was introduced as a letter of intent on the Farnborough Airshow earlier this 12 months.
The agency order has a worth of US$4.69 billion, based mostly on present listing costs, and can be included in Embraer’s 2018 fourth-quarter backlog.
Deliveries will begin in 2020.
The contract additionally contains buy rights for an extra 100 E175s, with conversion rights to the E175-E2, bringing the overall potential order as much as 200 E-Jets.
With all buy rights being exercised, the deal has an inventory value of US$9.38 billion.
“What a good way to complete this very hectic 12 months for us at Embraer,” mentioned John Slattery, president, Embraer Industrial Aviation.
“As we promised in Farnborough, we are actually closing a vital contract with Republic for these further E175’s, repeatedly rising our long-standing partnership.”
Republic Airways and Embraer established their partnership in 1999 when considered one of its former subsidiaries, Chautauqua Airways, took supply of its first ERJ 145 within the livery of US Airways Categorical.
Right this moment, Republic Airline operates a fleet of practically 190 Embraer 170/175 plane and supplies fixed-fee flights operated beneath its main airline associate manufacturers of American Eagle, Delta Connection and United Categorical.
“This order represents one other vital advance in our long-standing partnership with Embraer, and it positions Republic to compete for the greater than 300 regional plane we anticipate being up for bid throughout the subsequent 5 years as current flying agreements expire with our international codeshare companions,” mentioned Bryan Bedford, Republic president.