Embraer Receives Orders For E195-E2 & E175 Jets

Embraer Receives Orders For E195-E2 & E175 Jets
  • Embraer SA ERJ has received a firm order for 20 E195-E2 passenger jets from Porter Airlines, adding to the existing 30 firm orders.
  • The deal with a list price value of $1.56 billion brings Porter's orders with Embraer to 100 E195-E2 aircraft, with 50 firm commitments and 50 purchase rights.
  • In 2021, Porter had ordered 30 Embraer E195-E2 jets, with purchase rights for a further 50 aircraft worth $5.82 billion at list price, with all options exercised.
  • Porter Airlines will be the North American launch customer for Embraer's E2 jets. Porter's first delivery and entry into service are scheduled starting in 2H22.
  • Separately, Alaska Air Group, Inc. ALK ordered eight new additional E175 jets and options for 13 more as the airline intends to grow its regional fleet.
  • The E175 aircraft will fly exclusively for Alaska Airlines under a Capacity Purchase Agreement (CPA) with Horizon Air. The value of the contract, including options, is $1.12 billion based on the list price.
  • Horizon's new 76-seat aircraft from this order will be delivered over the next four years, starting in Q2 2023.
  • Price Action: ERJ shares are trading higher by 7.82% at $8.91 and ALK higher by 2.02% at $42.37 on the last check Tuesday.

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