NEW YORK--(BUSINESS WIRE)--June 10, 2003--JetBlue Airways
Corporation (NASDAQ: JBLU) announced today that it has placed an order
for 100 new EMBRAER 190 jet aircraft, with options for an additional
100 new aircraft.
Embraer values the firm contract at $3 billion, with a potential
value of $6 billion if all options are exercised.
The announcement makes JetBlue the launch customer of the all-new
100-seat EMBRAER 190 aircraft. The EMBRAER 190 is the manufacturer's
newest model in a family of mid-sized aircraft targeting the growing
70- to 110-seat market. This family incorporates advanced design
features such as integrated avionics, fly-by-wire flight controls, and
more efficient, environmentally friendly GE engines.
As with JetBlue's A320 fleet, all of the low-cost carrier's new
Embraer aircraft will offer DIRECTV satellite programming at every
roomy leather seat. The new aircraft will feature 100 seats in an
all-coach, two-by-two seating configuration.
JetBlue plans to take delivery of the first seven Embraer aircraft
in 2005, with the remainder of the order expected to be delivered
through 2011 at a rate of approximately 18 per year. Options begin in
2011. With this new Embraer order and the low-cost airline's current
fleet of 42 Airbus A320 aircraft plus orders and options for future
Airbus deliveries, JetBlue's fleet could grow to as many as 290
aircraft by the end of 2011. Lease financing has been arranged for the
first 30 EMBRAER 190 aircraft deliveries.
"Through this new agreement with Embraer, JetBlue will bring its
superior product and award-winning customer service to the many
mid-sized markets desperately in need of low fares and high quality
service," said David Neeleman, CEO of JetBlue Airways. "Since our
first full year of operations in 2001, we have achieved continued
profitability through our focus on innovation and low costs. Our
unwillingness to rest on our success is evident today. With a combined
Airbus and Embraer fleet, we believe we will be well-positioned to
offer a better product to markets of all sizes across the U.S.,
without compromising the low fares, cabin comfort and great service
that are the hallmarks of the JetBlue experience."
"JetBlue has established itself as a leading carrier in the
low-fare market, and to have our aircraft chosen to join this
prestigious fleet is the highest praise," said Mauricio Botelho,
president and CEO of Embraer. "JetBlue passengers will find the
EMBRAER 190 provides them with the same high standards of cabin
comfort and appeal they are used to on JetBlue, offering a truly
seamless experience throughout the JetBlue system."
The EMBRAER 190 is powered by GE Aircraft Engines' CF34-10, the
newest and most powerful member of GE's successful CF34 engine family.
New technology features in the CF34-10 make it one of the most
efficient, environmentally friendly engines in the world.
Embraer (NYSE: ERJ) is the only manufacturer in the world to offer
a family of aircraft to satisfy airline requirements in the 70- to
110-seat segment. According to Embraer, more than 70 percent of the
value of parts and components come from U.S. partners and suppliers.
All JetBlue EMBRAER 190 aircraft will feature avionics systems
supplied by Honeywell (NYSE: HON). Thrust reversers and engine
nacelles will be provided by Goodrich Corporation (NYSE: GR), and
auxiliary power units by Hamilton Sundstrand, a subsidiary of United
Technologies Corporation (NYSE: UTX). Hydraulics, electrical systems,
flight controls and fuel systems will be provided by Parker Aerospace,
an operating segment of Parker Hannifin Corporation (NYSE: PH).
About JetBlue
JetBlue is a low-fare, low-cost passenger airline, which provides
high-quality customer service. Since launching operations in February
2000, the airline has carried more than 13 million passengers. JetBlue
operates a fleet of 42 new Airbus A320 aircraft and is scheduled to
place into service another 11 A320s by the end of 2003. All JetBlue
aircraft feature roomy all-leather seats each equipped with free live
satellite television, offering up to 24 channels of DIRECTV
Programming at every seat.(a)
(a) DIRECTV(R) service is not available on flights between New York
City and San Juan, Puerto Rico.
From its base at New York City's John F. Kennedy International
Airport, JetBlue flies to: Fort Lauderdale, Fort Myers, Orlando, Tampa
and West Palm Beach, FL; Buffalo, Rochester and Syracuse, NY; Long
Beach, Oakland and Ontario, CA; Burlington, VT; Denver, CO; Las Vegas,
NV; New Orleans, LA; Salt Lake City, UT; San Juan, Puerto Rico; and
Seattle, WA. From Washington DC, the airline serves Fort Lauderdale,
FL, and Long Beach and Oakland, CA. From Long Beach, CA, the airline
serves Atlanta, GA, Oakland, CA, Las Vegas NV and Salt Lake City, UT.
JetBlue is also scheduled to launch service between JFK and San
Diego, CA, with two daily flights starting June 26 and July 14,
respectively.
With JetBlue, all seats are assigned, all travel is ticketless,
all fares are one-way, and a Saturday night stay is never required.
For more information, schedules and fares, please visit
www.jetblue.com or call JetBlue reservations at 1-800-JETBLUE
(538-2583). This press release, as well as past press releases, can be
found on www.jetblue.com.
About Embraer
Embraer (Empresa Brasileira de Aeronautica S.A. - NYSE: ERJ;
Bovespa: EMBR3 and EMBR4) is one of the world's leading aerospace
companies. With headquarters in Sao Jose dos Campos, state of Sao
Paulo, and offices and customer service bases in Australia, China,
France, Singapore and the United States, the Company as of March 31,
2003 has a total workforce of 12,407 people. Embraer was Brazil's
largest exporter from 1999 to 2001, and second largest in 2002. As of
March 31, 2003 Embraer's firm order backlog totaled US$ 7.9 billion
and the total backlog, including options, equaled US$ 19.2 billion.
Embraer has 33 years of experience in designing, developing,
manufacturing, selling and providing after sales support to aircraft
for the global airline, defense and corporate markets.
Editors Note: A press conference about this announcement will be
held at 10am at the Sheraton Hotel & Towers (811 7th Avenue NYC).
Call 646-734-7103 for more details.
This press release contains statements of a forward-looking nature
which represent our management's beliefs and assumptions concerning
future events. Forward-looking statements involve risks, uncertainties
and assumptions and are based on information currently available to
us. Actual results may differ materially from those expressed in the
forward looking statements due to many factors, including without
limitation, potential hostilities in the Middle East or other regions,
our ability to implement our growth strategy and our dependence on the
New York market, our fixed obligations and our limited operating
history, seasonal fluctuations in our operating results, increases in
maintenance costs, fuel prices and interest rates, our competitive
environment, our reliance on sole suppliers, government regulation,
our failure to properly integrate LiveTV or enforce its patents, our
ability to hire qualified personnel, the loss of key personnel and
potential problems with our workforce including work stoppages, and
continuing changes in the airline industry following the September
11th terrorist attacks and the increased risk of future attacks, as
well as potential problems with the certification, financing,
delivery, performance and integration into service of the EMBRAER 190
aircraft and the CF34-10E engine. Additional information concerning
these and other factors is contained in the Company's Securities and
Exchange Commission filings, including but not limited to, the
Company's Annual Report on Form 10-K. We undertake no obligation to
update any forward-looking statements to reflect events or
circumstances that may arise after the date of this release.
CONTACT: Corporate Communications
Gareth Edmondson-Jones
Fiona Morrisson, 718/709-3089
OR
Investor Relations
Amy Carpi, 203/656-7651
amy.carpi@jetblue.com
SOURCE: JetBlue Airways Corporation
