Wednesday, June 18, 1997

American Eagle to replace some turboprops

From Reproter-News staff and wire reports

American Eagle announced Tuesday it is buying 67 regional jets to replace turboprops on some of its most competitive and longest routes.

However, it probably will not bring jet service to Abilene Regional Airport.

Daniel P. Garton, president of American Eagle, said the airline will purchase 42 EMB-145 regional jets from Embraer Aircraft Corp. and 25 Canadair Regional Jet Series 700 aircraft from Bombardier Aerospace.

Garton said the jets will be delivered beginning in February and service will start shortly thereafter.

However, the new planes will first be used on routes of 300 or more miles, he said. That leaves Abilene out. The only Eagle routes from Abilene are to Dallas-Fort Worth International Airport - less than 200 miles in the air or on the ground.

Exact cities to be served will not be announced until late this year, Garton said.

The EMB-145 seats 50 passengers and is powered by two Rolls Royce Allison jet engines.

The Canadair CRJ-700, which will be powered by two General Electric jet engines, seats 70 passengers.

The jets have a list price of $15 million to $18 million each.

Garton said financial details are not being disclosed and both transactions are subject to the completion of definitive aircraft purchase and financing arrangements.

However, Embraer announced Tuesday at the Paris Air Show that the order of EMB-145s, which also includes options on 25 planes, is worth nearly $1 billion.

Canadair said the value of its 25 ordered aircraft and options to purchase 25 more is $1.4 billion. American Eagle will be the first customer in North America to use the Canadair CRJ-700.

Both American Airlines and American Eagle are owned by AMR Corp. of Fort Worth.

The regional jet issue was a contentious point in the recent dispute between American Airlines and its pilots. As part of the new contract, the company is able to have lower-paid American Eagle pilots fly the jets.