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Friday, May 25, 2007

Embraer Launches Advanced Range Version with NW

Embraer (ERJ) is extending it advanced range version to its ERJ170/175 model with Northwest (NWACQ) as its launch customer. Northwest has already ordered the ERJ 175 for its new subsidiary Compass, which launched last month. Its first 10 aircraft will be the Long Range (LR) version and, later, will be retrofitted to the AR. The remaining 26 jets of the airline's firm order will incorporate the AR structural provisions from the assembly line. Related Story
Northwest is planning to increase its regional jet capacity four times that of its international flying. Its fleet plan relies increasingly on regional jet flying which is expected to grow 16.9 percent per year between now and 2010, compared to a 4.3 percent growth in international flying and a 2.7 percent decline in domestic capacity. Related Story
The new version increases MTOW for improved range – 300 nm with full payload – offering up increased flexibility, said Bruce Peddle, the recently appointed vice president-North America sales and airline marketing. The AR versions incorporate structural reinforcements of about 45 pounds in the landing gear and wheels that allow the aircraft to be operated at takeoff, landing and zero fuel weights above the current maximum values. This means an average additional range of 300 nautical miles (556 km) and a payload increase of more than 1,543 lb (700 kg), depending on the aircraft model, airline's specific operating conditions and configuration. Embraer will offer retrofit kits to existing operators.
Meanwhile, Northwest was granted final court approval for its reorganization plan setting the stage for the airline to exit its long bankruptcy process on May 31. Outstanding common and preferred stock will be cancelled. Its new stock will be traded under the NWA symbol on the New York Stock Exchange.