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Friday, June 15, 2007

Mainlines Will Offer More Non-Stop Flights on Smaller Aircraft

In a more conservative forecast than either Embraer or Bombardier, Boeing is predicting a need for 3,700 regional jets with no more than 90 seats, about 350 more than what it predicted last year. By 2026, it said, regional jets will number 4,180 aircraft in the worldwide fleet, according to Boeing. In addition, it sees trends that bode well for regionals as mainline carriers begin offering more point-to-point, nonstop service, and, as recent marketing announcements illustrate, using their regional partners to accomplish this. Indeed, airlines may finally be getting the message as they plan for more non-stop flights in an effort to respond to complaints about travel hassles associated with the hub-and-spoke system. Even so, the greatest need in mainliner fleets is single-aisle aircraft which will number 17,650 deliveries through during the forecast period which could mean some of the new, more efficient narrow-bodies could be used for the more-direct service. Even so, regionals could fill the void in the meantime.