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Embraer’s Paris Air Show 2023 Order Highlights

This week at the Paris Air Show, Embraer received a number of significant orders including 20 E190/195 P2F commitments, six E195-E2s for Binter, 15 E195-E2s for Azorra, seven E175s for Envoy Air, and the sale & leaseback with Avolon of 10 E195-E2s for Porter Airlines.

Embraer E190F Passenger-to-Freight Converted Aircraft - Courtesy Embraer

On Wednesday (June 21, 2023), from the Paris Air Show, Embraer announced the signing of a Letter of Agreement (LoA) with Lanzhou Aviation Industry Development Group for 20 Embraer Passenger-to-Freight conversions. The deal includes both E190F and E195F conversions, with both companies working to establish conversion capability in Lanzhou, China. With the signing of the LoA, Lanzhou Group becomes the launch customer for Embraer’s P2F conversion in China.

In Wednesday’s announcement, Embraer Commercial Aviation’s President and CEO, Arjan Meijer, said,

“The opportunity in China had a significant influence during the decision-making process of the launch of our P2F program. It is a market with increasing demand for cargo aircraft to accommodate the tremendous growth of E-commerce trade and the consequent evolution of the logistics industry. We’re confident in this booming market and always willing to support the sector’s further progress in cooperation with our Chinese partners. We welcome Lanzhou Group to be the region’s launch customer for Embraer’s P2F conversion, and we expect to bring new vitality to Chinese market with our E-Jets freighters.”

Also commenting on the P2F freighter commitments, Lanzhou Aviation Industry Group’s President, Chen Zhiqiang, said,

“We are honored to be the launch customer of the Embraer E-Jets freighters in China. We believe the ‘China speed’ in aviation logistics will be an important basis for the sustainable and efficient growth of the Chinese economy. By cooperating with industry-leading aircraft manufacturer, Embraer and introducing E-Jets freighters to China, we’ll fully leverage our domestic strength and competitive advantages to boost China’s air cargo market growth. We expect that the project, after it comes to fruition, will also help achieve high-quality economic development in Lanzhou, Gansu, and western regions of China.”

Currently, there are 85 Embraer E-Jets flying in China with Tianjin Airlines, Hebei Airlines, Beibu Gulf Airlines, and Colorful Guizhou Airlines. Embraer’s E-Jets P2F conversions will offer over 50 percent more cargo capacity and three times the range of large cargo turboprops.

Embraer E195-E2 Rendered in Azorra Livery - Courtesy Embraer

In an earlier press release on Tuesday (June 20th), Embraer revealed that aircraft lessor Azorra is the undisclosed customer who placed an order for 15 E195-E2s in January 2023. The deal is valued at $12.0 billion at list process and was added to Embraer’s Q4 2022 backlog. Leading up to the 2023 Paris Air Show, Embraer and Azorra also announced a number of key aircraft deals, including six E2s for Royal Jordanian, nine E190-E2s for Scoot and 10 E195-E2s for SKS Airways.

In Tuesday’s announcement, Embraer Commercial Aviation’s Chief Commercial Officer, Martyn Holmes, said,

“Azorra has made a big impact on our market in a short time. They are proving to be great partners for Embraer and our airline customers. As the global leader in regional aircraft, Embraer is pleased to see the momentum our market is enjoying; and thanks Azorra for their help in building on the opportunities we are seeing across the world.”

Also commenting on the E195-E2 order, Azorra’s President, Ron Baur, said,

“Based on our success in placing the E2, we are pleased to increase our firm commitment with Embraer from 20 to 35 aircraft. Azorra has a long-standing partnership with Embraer and owns and manages a portfolio (including our orderbook) of more than 100 Embraer E1, E2, and Phenom aircraft, making Azorra one of the largest lessors of Embraer aircraft. We believe the operating economics of the E2, combined with its environmentally friendly and quiet engines, make the E2 an ideal aircraft for our airline customers.”

Envoy Air Embraer E175 Operating as American Eagle - Courtesy Embraer

In another press release on Tuesday (June 20th), Embraer announced that American Airlines signed a firm order for seven Embraer E175s for their regional subsidiary Envoy Air, with deliveries from Q4 2023. The contract value is $403.4 million at list prices and will be included in Embraer’s Q2 2023 backlog. By the end of 2024, Envoy’s E-Jet fleet will grow to over 141 aircraft.

In Tuesday’s announcement, Envoy Air’s President & CEO, Pedro Fábregas, said,

“Our journey with Embraer began 25 years ago with the ERJ145, and our partnership continues to grow today as we take these additional aircraft and grow our all E-jet fleet. Not only are our customers happy with the aircraft, but the jet’s outstanding performance and reliability has allowed us to continue to provide excellent service to American Airlines and the thousands of customers we serve every day.”

Embraer Commercial Aviation’s President and CEO, Arjan Meijer, added,

“We thank American Airlines and Envoy for their long partnership with Embraer. It’s hard to exaggerate the impact this hardworking aircraft has every day, delivering essential, dependable service, and an economic lifeline to communities across the North American market. The E175 is the backbone of the US regional network, with over 620 aircraft sold, and 86% market share since 2013.”

Binter Embraer E195-E2 - Courtesy Embraer

Embraer also announced on Tuesday (June 20, 2023), that Binter has placed a firm order for a further six Embraer E195-E2 aircraft, expanding their E2 fleet to 16 jets. Binter configures their E195-E2 jets in a comfortable single-class 132 seat layout. The deal is valued at $504.7 million at list prices, with deliveries commencing during the second half of 2024.

Commenting on the incremental E195-E2 order, Binter’s President, Rodolfo Núñez, said,

“The E2 has been a game changer for Binter. Our guests love the aircraft, especially how quiet it is. Performance in terms of fuel burn and maintenance has also been better than advertised. As we continue to grow, the E2 has proved to be the perfect aircraft to lead our continued growth.”

Porter Embraer E195-E2 - Courtesy Porter Airlines

Finally, on Tuesday (June 20, 2023), Embraer announced that Avolon, an international aircraft lessor, has signed a sale and leaseback agreement with Porter Airlines for 10 new E195-E2s, a deal valued at $841.2 million at list prices. Porter Airlines introduced the aircraft type into service in February 2023 and plans to expand their fleet in the coming years, with 50 firm E195-E2 orders and 50 options.

In Tuesday’s order announcement, Avolon’s President and Chief Commercial Officer, Paul Geaney, said,

“Porter Airlines is renowned for its customer experience and has exciting plans for the expansion of its E2 fleet. We are delighted to welcome them as a customer and look forward to partnering on their future growth. Our decision to add the E2 to our portfolio is supported by its growing operator base, with the transaction further diversifying our portfolio whilst offering attractive returns. The E2 is a modern fuel-efficient aircraft that offers excellent operating performance, competing effectively with other smaller narrowbody platforms.”

Also commenting on their expanding E195-E2 fleet, Porter Airlines’ EVP and Chief Financial Officer, Jeffrey Brown, said,

“The E2 is an incredible addition to Porter’s fleet, offering best-in-class seat cost economics and providing an ideal platform to deliver the truly differentiated in-flight economy passenger experience that Porter is known for. This means treating everyone with care and offering complimentary amenities like Wi-Fi, and beer and wine served in glassware throughout the cabin. We are excited to partner with Avolon and value their reputation and expertise in aircraft leasing, which makes them an ideal new partner.”

Headquartered in Brazil, Embraer is a global aerospace company and one of the leading manufacturers of aircraft with 70-150 seats, with more than 100 customers worldwide. The company maintains industrial units, offices and service/parts distribution centers across the Americas, Africa, Asia and Europe. Embraer also has businesses in Executive Aviation, Defense & Security, and Agricultural Aviation. Since the company’s founding in 1969, Embraer has delivered over 8,000 aircraft. Today, an Embraer aircraft takes off on average every ten seconds, carrying over 145 million passengers annually.

Source: Embraer


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