Hyderabad, Mar 9 (PTI) Brazilian aircraft maker Embraer today said the 50-aircraft order placed by the grounded airlines Air Costa is still valid and they are hopeful of a recovery from the regional airline, a senior executive at Embraer Commercial Aviation said today.
"It (Air Costa order) is on our books. The airline can fly again if they are able to. So there is no time for that (cancelling their orders) unless something happens," Cesar Pereira vice-president Asia Pacific, Embraer Commercial Aviation said on the sidelines of Wings India 2018, being held here.
Pereira said that Embraer is in touch with Air Costa, adding, "the airline is trying to recover from the situation."
The Vijaywada-based airline temporarily halted operations in July 2016 due to a capital crunch and the aviation regulator DGCA subsequently suspended its flying permit.
Responding to a question on diverting the deliveries of the aircraft from Air Costas order, he said, "We do not necessarily have to do that (selling those aircraft in some other market). If that happens, we are going to talk to them to see the next step."
When asked if they are going to divert the order to other markets, he said, "We need to wait for that (cancellation of license) to happen before taking action."
The LEPL Group-promoted regional air operator had placed a firm order for 50 jets with Embraer in January 2014, in a deal valued at USD 2.94 billion under a 20-year fleet-management plan. Air Costa has options for purchase rights of an additional 50 of the E190-E2 jets as well.
Replying to a query on Udan scheme, Pereira said Embraer sees a "big opportunity" in the regional connectivity scheme (RCS) announced by the centre last year.
"RCS is an excellent programme to bring more passengers to the system. But some airlines look at long-term sustainability. They may fly for three years, but what after that? We know that IndiGo decided to go for ATRs. SpiceJet has their Q400s. So we are talking to all airlines to unlock the opportunity with the E175."
We are delivering these type of aircraft, which is an 80-seater to the US market as well for their regional routes, he added.
Embraer estimates the airlines in Asia Pacific will take delivery of 3,010 new aircraft in the up to 150-seater segment over the next 20 years, representing 29 per cent of the worldwide demand for the segment.
Meanwhile, Claudio Camelier, vice-president, sales for Middle east and Asia Pacific, Embraer Executive Jets, said infrastructural constraints in the (aviation) sector restrict the growth of business jets in India.
Original article ➤ https://timesofindia.indiatimes.com
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