Embraer confirmed Tuesday that a letter of intent from KLM Cityhopper for 15 E195-E2s, signed at the Paris Air Show earlier this year, has now been increased to 21 firm orders.
Today, Embraer announced that they have signed a firm order for 21 E195-E2 aircraft with KLM Cityhopper along with 14 options. KLM Cityhopper originally signed a letter of intent for 15 of the type at the Paris Air Show last June, but today the order has been increased and confirmed. Today’s order will come from existing backlogs of lessors Aircastle and ICBC Aviation leasing, with each providing 11 and 10 aircraft, and if all options are exercised, the deal is valued at $2.48B. In Tuesday’s announcement, Embraer’s President and CEO – Commercial Aviation, John Slattery stated,
“KLM’s decision to add a further six aircraft to this order is a significant vote of confidence in our E2 program. Delivering 30% lower emissions compared to KLM’s current E190s, yet still providing a further 32 seats, the E195-E2 will simultaneously increase capacity for KLM at slot constrained Schiphol Airport, while delivering huge reductions in emissions.”
The order comes on the heels of a quarterly loss of $77.2M reported Monday by Embraer, largely attributable to costs related to Boeing’s deal to acquire 80% of the commercial aircraft division. The deal is still subject to European regulatory approval but is expected to be authorized in the first half of 2020. Also commenting on today’s order, KLM President and CEO, Pieter Elbers said,
“For KLM this aircraft is a significant part of our commitment to improving our environmental impact. Not only is the E195-E2 the most fuel-efficient lowest emission aircraft in its class, it is also the quietest by a considerable margin – a huge benefit for both our communities and our passengers.”
KLM will receive their new E195-E2s starting in the first quarter of 2021 and they will be configured with 132 seats.