Alaska Air Group Orders Eight New E175 Aircraft for Operation with Horizon Air

Rhea-AI Summary

On July 19, 2022, Alaska Air Group announced an order for eight new E175 jets, with options for 13 more, valued at USD 1.12 billion. These aircraft will operate exclusively under a Capacity Purchase Agreement with Horizon Air, supporting regional connectivity. Deliveries will begin in Q2 2023. Horizon Air will transition to a single fleet of E175 jets, enhancing service across the Pacific Northwest and beyond. The E175, with a significant market share, offers a three-class cabin configuration and is designed for operational efficiency as it connects smaller communities to major hubs.

Positive

• Alaska Air Group's order of eight E175 jets and options for 13 more could enhance market position.
• The E175 aircraft has an 85% market share in its segment, indicating strong performance.
• Transitioning Horizon Air to a single fleet of E175 jets may streamline operations and improve service delivery.

Negative

• None.

FARNBOROUGH, England , July 19, 2022 /PRNewswire/ -- Alaska Air Group announced plans to grow its regional fleet with an order of eight new additional E175 jets and options for 13 more.  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 USD $1.12 billion based on list price. Horizon's new 76-seat aircraft from this order will be delivered in Alaska's livery and three-class configuration over the next four years starting in Q2 2023.

Mark Neely, VP Americas, Embraer Commercial Aviation, said, "The E175 is the backbone of the US regional network, feeding airport hubs across the country as well as producing the connectivity all communities need to thrive, both economically and socially. While this market is currently under pressure, it is essential that carriers are able to provide these essential services to the entire United States. The Embraer E175, with 85% market share in its segment, is keeping the US on the move and in touch."

"The E175 is an extremely efficient aircraft," said Nat Pieper, senior vice president of fleet, finance and alliances for Alaska Airlines. "The jet is the perfect aircraft to serve Horizon's regional network in the Pacific Northwest and beyond. Our guests will enjoy a consistent, three-class cabin experience as they travel from smaller communities to catch flights across Alaska's larger hubs or on one of our many global airline partners."

The Horizon Air 76-seat E175 jet features 12 seats in First Class, 12 in Premium Class and 52 in the Main Cabin. Onboard amenities include free entertainment featuring more than 1,000 movies and TV shows. Additionally, customers seated in First Class enjoy 110-volt power in every seat.

Transitioning to a single jet fleet

Earlier this year, Horizon Air announced it would move to a single fleet of all E175 jets. The carrier currently flies a mix of 31Bombardier Q400 turboprop aircraft and 30 E175s. It will take delivery of 9 E175s over the next year as part of a previous order that also includes 3 deliveries in 2025.With this order by 2026, if not sooner, Horizon will have a fleet of 50 E175s.

With bases in Washington, Oregon, Idaho and Alaska, Horizon serves more than 45 cities throughout the Pacific Northwest, California, the Midwest, and British Columbia and Alberta in Canada.

The Alaska Airlines' E175 experience:

• Seat pitch is 31 inches in the Main Cabin, 34 inches in Premium Class and between 36 and 38 inches in First Class.
• All guests flying on the E175 will enjoy a window or aisle seat.
• The regional jet is equipped with large overhead bins.
• Maximum cruising altitude: 41,000 feet
• Typical cruising speed: 494 mph

Embraer in North America

Embraer's North America market share in the 70-90-seat segment is 86% since 2013, with 635 net orders (643 accounting for Alaska's new orders). There are currently 601 E175s serving U.S. carriers in cities across Canada, the USA, Mexico, and Central America

Aircraft images:

 https://news.alaskaair.com/wp-content/uploads/2022/03/170605_alaska_112-3.jpg

Follow us on Twitter: @Embraer @AlaskaAirNews

About Embraer

A global aerospace company headquartered in Brazil, Embraer (B3: EMBR3, NYSE: ERJ) has businesses in Commercial and Executive aviation, Defense & Security and Agricultural Aviation. The company designs, develops, manufactures and markets aircraft and systems, providing Services & Support to customers after-sales.

Since it was founded in 1969, Embraer has delivered more than 8,000 aircraft. On average, about every 10 seconds an aircraft manufactured by Embraer takes off somewhere in the world, transporting over 145 million passengers a year.

Embraer is the leading manufacturer of commercial jets up to 150 seats and the main exporter of high value-added goods in Brazil. The company maintains industrial units, offices, service and parts distribution centers, among other activities, across the Americas, Africa, Asia and Europe.

About Alaska Airlines

Alaska Airlines and its regional partners serve more than 120 destinations across the United States, Belize, Canada, Costa Rica and Mexico. We emphasize Next-Level Care for our guests, along with providing low fares, award-winning customer service and sustainability efforts. Alaska is a member of the oneworld global alliance. With the alliance and our additional airline partners, guests can travel to more than 1,000 destinations on more than 20 airlines while earning and redeeming miles on flights to locations around the world. Learn more about Alaska at news.alaskaair.com. Alaska Airlines and Horizon Air are subsidiaries of Alaska Air Group (NYSE: ALK).

 

View original content:https://www.prnewswire.com/news-releases/alaska-air-group-orders-eight-new-e175-aircraft-for-operation-with-horizon-air-301589269.html

SOURCE Embraer S.A.

FAQ

What is the significance of Alaska Air Group's recent order for E175 jets?

Alaska Air Group's order enhances its regional fleet capacity and strengthens connectivity under a Capacity Purchase Agreement.

How many E175 jets is Alaska Air Group planning to order?

The company has ordered eight new E175 jets with options for an additional 13.

What is the value of the E175 jet order by Alaska Air Group?

The total value of the order is USD 1.12 billion based on list price.

When will the new E175 jets be delivered to Alaska Air Group?

Deliveries for the new E175 jets are expected to start in Q2 2023.

How will the E175 jets impact Horizon Air's fleet?

Horizon Air will transition to a single fleet of E175 jets, improving operational efficiency across its network.