JUSTIN WASTNAGE / DUBLIN

Embraer likely to benefit as Irish carrier CityJet delays fleet renewal to await wider deal

European SkyTeam alliance partners have embarked on a joint regional jet procurement drive, which is likely to lead to further orders for Embraer types. Irish regional carrier CityJet, owned by SkyTeam founding member Air France, has delayed its fleet-renewal plans to allow its parent company to negotiate a wider deal.

Geoffrey O'Byrne White, chief executive of Dublin-based CityJet, says SkyTeam members began joint negotiations with airframe manufacturers at the Paris air show in June, following an assessment of member airlines' needs. The plan follows Star Alliance's move to jointly acquire regional types for Air Canada, Austrian Airlines, Lufthansa and SAS.

SkyTeam says the plan is not "a top agenda item" at its Mexico City annual meeting in November, adding that the aim of joint aircraft purchases has been discussed, although this is a "far-off goal".

CityJet abandoned an earlier plan to replace its fleet of BAe 146-200 regional jets with Avro RJs, due to start in late 2001, because of the industry downturn. Of the aircraft under consideration two years ago, only the Embraer 190 is still viable, as the Avro is no longer in production and CityJet would be excluded from operating either Airbus A318s or Boeing 717-200s under its scope clause with Air France.

"The 190 is the only brand new aircraft that can do what we're doing, with 100 seats, with ability to land at London City and Florence," says O'Byrne White. CityJet will continue to expand its BAe 146 fleet over the next two years, in anticipation of a wider SkyTeam deal for regional jets, he adds.

CityJet's tacit selection of the 190, combined with the choice by Alitalia Express for the ERJ-145 and 170, could push the alliance's selection towards a larger Embraer order. Air France regional subsidiary R‚gional operates a fleet of ERJ-135s and ERJ-145s in addition to six Fokker 100s.

Its sister company Brit Air has a fleet of 20 Bombardier CRJ100s and eight Fokker 100s that are approaching replacement age, as well as seven CRJ700s.

SkyTeam's US partner Delta Air Lines is also considering its 100-seat options, and CSA Czech Airlines also has a requirement for regional jets, following the collapse of the Fairchild Dornier 728 programme.

Source: Flight International