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Friday, December 17, 2010

Update: Embraer Wins Alitalia Bidding


Alitalia has opted to buy Embraer regional jets in the competition to modernize and consolidate the airline’s RJ fleet, industry officials say.
The airline’s board of directors has authorized management to sign a preliminary agreement covering the lease of a combination of 14 Embraer 170 and 190 regional jets.
Alitalia already operates six 170s, which first entered the fleet in 2004 and appears to have bolstered the aircraft maker’s position in competition over Bombardier and Sukhoi since the airline has a medium-term target to grow its fleet to 20 aircraft. Later expansion to 27 units is possible.
The ten Bombardier CRJ900s also currently in service at the carrier are to be gradually retired as the new E-Jets arrive.
According to industrial sources, the airline’s management rated the Embraer proposal as the best one, with the Sukhoi Superjet 100 coming second. The Russian bid came with aggressive financial terms to secure Alitalia as the first big-name European costumer. But management shied away in part because the Superjet 100 remains to be certified; Embraer also benefitted from the positive experience the airline has had with the 170s now in service. Bombardier, offering the CRJ900NG/1000, came last.
Aitalia CEO Rocco Sabelli says the airline was leaning toward the Sukhoi Superjet 100, but that the repeated delays to the aircraft’s certification where an issue. “We delayed our choice by 6-12 months waiting for the Superjet and we considered the involvement in the program of an Italian company [Alenia Aeronauita] but we were still not sure about the European certification date and we were also concerned about the prospect of being, in effect, the western launch customer for the type,” he says.
The Embraer choice also provides commonality between Alitalia and SkyTeam partner and major Alitalia shareholder Air France.

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