New delivery of Embraer 190 (Coming soon)

You understand wrong. The E190's do not apply toward the minimum fleet count per our last LOA.
ALPA has minimum fleet count that the company can't fall below? Thought all the minimum fleet counts were bargain away
 
ALPA has minimum fleet count that the company can't fall below? Thought all the minimum fleet counts were bargain away

The transition agreement set a minimum fleet for both sides of the operation. Basically it took a fleet count at the 1 year mark after that agreeement (should have been just recently) and sets that number minus 10% as the minimum fleet. Specifically, the EMB-190 does NOT count towards the min. fleet... I do not know exactly what the min. fleet number is, or exactly how many aircraft are currently on the property... It would be nice to get this information.
 
I do not know exactly what the min. fleet number is, or exactly how many aircraft are currently on the property... It would be nice to get this information.
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This is off the top of my head but the West is near 130 and the East 220? I think there is one west AC to leave next year I don't know about east but think I heard sometheing like 4-6 leaving? If someone wants to say the E190s are replacing those few leaving next year that is ok but it isn't a plan and I think some of the East AC leaving may indeed be Airbus. A replacement plan will be 737 or Airbus and will be significant #s and will need to be announced within the next year or two at the latest IMHO.
 
The "Investor Guidance" that was issued on the 26th shows 357 total aircraft in the fleet as of the end of the 3rd quarter - no breakdown between East & West. For the end of the 4th quarter - as far as the fleet projection goes - it shows 359 aircraft which includes 2 E190's to be delivered this year.

As far as minimum fleet count (not counting the E190's, which are excluded), the transition agreement calls for each side to be set at 10% less than the number in the fleet on 9-27-06. While there is a little room for rounding to affect the minimum, using the total fleet at the end of the 3rd quarter yields a minimum fleet of 322 - again excluding the E190's.

Of course, the transition agreement disappears when East & West are integrated, so thereafter the minimum fleet will be determined by what, if anything, is in the combined agreements.

Additionally, as most everyone knows we converted the original Embraer order to 25 firm E190's with options for 50 more. Since then we transfered 30 of the options to Republic, which will use them to get the 30 E175's that will replace the ERJ-145's that CHQ currently operates. So that leaves a maximum of 45 E190's coming unless more are added in a further modification of the order or a new order. Considering we have a total of 96 737's, it will be a while before they are all replaced by something.

Jim
 
Since then we transfered 30 of the options to Republic, which will use them to get the 30 E175's that will replace the ERJ-145's that CHQ currently operates.

Are you sure about that. I thought the 175 order was a completely new and seperate order???

-SOAC
 
Are you sure about that. I thought the 175 order was a completelly new and seperate order???

-SOAC

Unfortunately, the E175 deliveries will count for part of the 50 options from the E190 order. That means that E190 should be as follows:

25 confirmed/32 reconfirmed/20 options
 
Are you sure about that. I thought the 175 order was a completely new and seperate order???

-SOAC
Yes, according to the comments in the quarterly report:

"On July 21, 2006, the Company assigned 30 of the purchase options to Republic Airline Inc."

25 confirmed/32 reconfirmed/20 options

Absolutely correct and thanks for correcting my error - I omitted the order for the additional 32.

"On June 13, 2006, the Company and Embraer executed an Amended and Restated Purchase Agreement and an Amended and Restated Letter Agreement. In accordance with the terms of these agreements, the Company placed an initial firm order for 25 Embraer 190 aircraft and an additional firm order for 32 Embraer 190 aircraft. In addition, the Company has the option to purchase up to 50 additional Embraer 190 aircraft and to convert certain of the Embraer 190 aircraft to Embraer 170, Embraer 175 or Embraer 195 aircraft, subject to availability and upon agreed notice."

Jim
 
Okay, now I'm confused. Does this mean there
are a total of 57 firm E-190 orders for USAirways,
and an additional option of 50, 30 of which have
been sold to Republic? If that's the case, would
it be correct to say USAirways has 57 firm E-190
orders and 20 options for mainline, with everything
else going to Republic?
 
If that's the case, would
it be correct to say USAirways has 57 firm E-190
orders and 20 options for mainline, with everything
else going to Republic?
Since I'm probably responsible for your confusion - I forgot the other 32 orders - let me try to unconfuse....

Yes - 57 firm orders and 20 remaining options (at least as far as what's been made public), for a potential 77 E-190's.

The first 25 will be delivered between later this year and the end of 2008 (as it stands now). I haven't seen anything about the timeframe for deliveries of the other 32 firm orders.

Jim
 
the press release when they ordered them specified that they would be based in PHL and initially fly to BDL, PVD, DFW, and IAH...


Yeah, but I've also got a press release announcing the order for the E170 with a 2 class configuration.
 

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