Finnair places $320 million order

Finnair announced today that it has placed a $320 million order for 12 76-seat Embraer 170 jet aircraft, with options for another eight.

Finnair announced today that it is renewing its fleet by acquiring 76-seat Embraer 170 jet aircraft. Finnair Aircraft Finance and the Brazilian aircraft manufacturer Embraer have agreed on the firm order of 12 aircraft and options for eight.

According to a statement from Finnair, the Embraer 170 aircraft will replace the MD-80 fleet and ATR-72 turboprop aircraft, which are being retired.

“Shifting to a single aircraft type will bring significant savings in operating costs,” said Keijo Suila, Finnair President and CEO. “At the same time fuel consumption will be cut by a third and air traffic charges will decrease. From the passenger’s viewpoint, Embraer aircraft are comfortable and fast. Thus we can improve on our already high standard of service.”

The Embraer aircraft will be used in domestic and European traffic on routes and frequencies where demand is better met by an aircraft smaller than the Airbus A320s in Finnair’s fleet.

“Our efficiency will improve as our route network and services become more varied. The new aircraft will give us flexibility to serve our clients on more routes and outside peak hours as well,” added Suila.

The value of the firm order aircraft on the basis of the manufacturer’s listed price is approximately $320 million. The aircraft now on order will be delivered to Finnair Group’s Finnair Aircraft Finance between September 2005 and May 2007.

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