The A220 wins 70% of the 100 to 150 seats orders
We took a look at the A220 and E2 backlog to compare them and whether the two planes were selling well.
For the A220, we used the latest Airbus publication which reports 402 firm orders for both variants as of September 30th. However, this figure includes dubious orders that we reported last July; to better reflect the reality, we have removed orders from AL Quahtani Aviation 16 (Saudi Gulf Airways), Braathens Aviation 10, Gulf Air 10, Odessey Airways 10 and Republic Airways 40. The new total is 316 firm orders for both variants of the A220. Airlines account for 75% of firm orders with 236 versus 80 for leasing companies; GTLK 6, Ilyushin Finance CO 14, LCI 20 and Macquarie Financial Holding 40.
For its part, Embraer has published the last update of the order book of the E2 on October 19 and the figures are those on September 30, 2018. Embraer has cleaned up the order book and there are currently 135 E2 that have been ordered. Note that E2-175 is no longer listed. Airlines account for just 37% of firm orders with only 50; Azul 30, China Hainan 2, Helvetic 12, Wilderoe 3 and an undisclosed customer with 3. The rest of the orders come from leasing company; AirCastle 25, AerCap 50, ICBC China 10. E2 has only five airlines as customers and it is to be expected that the leasing companies will postpone the delivery date of their E2 until later; With such a small customer base, the resale and investment value of used E2s may fall quickly, which is too risky.
In fact, when consolidating E-Jet and E2 deliveries, the E-175 alone accounts for 103 of the 251 orders to be delivered or 41% of the total. With only 132 E2 orders to deliver, Boeing will have to make very generous discounts to sell to American Airlines or Continental Airlines. The deficit of these discounts will be added to the $ 3.8 billion invested in the program to take control of it; it starts to do a lot.
If negotiations between Boeing and Embraer drag on too long, Airbus will have time to grab more important orders in order to grab an even bigger share of the market.
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