The transaction also includes conditional orders for another 10 Q400 aircraft and options on an additional 20. The total value could rise to $1.2bn if all conditional orders and options are exercised.
Pinnacle Airlines will assign the 15 aircraft to its wholly-owned subsidiary Colgan Air which will operate the aircraft under the Continental Connection banner primarily from the Continental Airlines hub at Newark Liberty International Airport, New Jersey.
The transaction announced today increases firm orders for the Q400 aircraft to 215. More than 140 Q400s have been delivered to date.