KLM has signed a firm order with Embraer for 21 E195-E2s plus 14 purchase rights for the model, slightly tweaking the letter of intent covering a firm order for 15 airplanes with purchase rights for another 20 announced at the Paris Air Show in June. John Slattery, Embraer Commercial Aviation president and CEO, described KLM’s decision to add a further six aircraft to the firm contract as “a significant vote of confidence in our E2 program.” At the end of September, the Brazilian airframer held firm orders for 124 E195s and 44 E190-E2s, and none for the smallest of the three members of the E2 family, according to company’ s third-quarter results released on Tuesday. Embraer delivered its first E195-E2 to Brazilian low-cost operator Azul, the type’s global launch operator, and to lessor AerCap on September 12.
KLM president and CEO Pieter Elbers said the E195-E2 acquisition accounted for a “significant part” of the Dutch airline’s commitment to lessening its environmental footprint. “Not only is the E195-E2 the most fuel-efficient lowest-emission aircraft in its class, but it is also the quietest by a considerable margin—a huge benefit for both our communities and our passengers,” he said. KLM regional subsidiary KLM Cityhopper will operate the aircraft. KLM will configure the new jets with 132 seats. The contract calls for deliveries to begin in the first quarter of 2021 and run through 2024.
The 21 firm positions will come from the existing backlogs of lessors Aircastle and ICBC Aviation Leasing, each providing KLM with 11 and 10 E195-E2s, respectively. KLM Cityhopper’s fleet consists entirely of Embraer jets, including 32 E190s and 17 E175s. The new order will give KLM the single largest Embraer fleet in Europe. KLM Cityhopper’s French sister airline, Air France HOP, operates 14 additional E190s, 15 E170s, and 17 ERJ-145s.
Air France-KLM last week announced a major fleet simplification and optimization as part of its new five-year strategic plan to improve operational and financial performance, including achieving a 7 to 8 percent operating margin by 2024. Speaking to investors November 5, the Franco-Dutch group’s CEO, Ben Smith, stressed fleet rationalization stood as a priority, especially at Air France, which, he quipped, operates “almost every type of aircraft.” Air France will reduce the number of cockpit types of the passenger fleet from nine to five or seven and KLM will move from five cockpit types to three.