In a series of massive deals announced on March 4, 2024, American Airlines has ordered hundreds of new aircraft from three major manufacturers – Airbus, Boeing, and Embraer – in a bid to modernize and expand its fleet.
From European aerospace giant Airbus, American placed a firm order for 85 additional A321neo aircraft, taking its total orders for that model to 219.
“Over the past decade, we have invested heavily to modernize and simplify our fleet,” said American’s CEO Robert Isom. “These orders will continue to fuel our fleet with newer, more efficient aircraft.”
The A321neo, part of Airbus’ A320 family, offers improved fuel efficiency, range, and lower emissions compared to previous generation single-aisle jets. American is already the largest operator of the A320 family aircraft worldwide.
American also inked a major deal with Boeing for 115 737 MAX 10 jets, the largest model in Boeing’s 737 MAX family. This includes a new order for 85 planes as well as converting an existing order for 30 smaller 737 MAX 8 aircraft. The fuel-efficient 737 MAX 10 can carry up to 230 passengers.
“American’s selection of the 737-10 will provide even greater efficiency, commonality and flexibility for its global network and operations,” said Stan Deal, CEO of Boeing Commercial Airplanes.
But the orders didn’t stop there. American turned to Brazilian manufacturer Embraer as well, placing a firm order for 90 E175 regional jets, with purchase rights for 43 more. The E175 has been popular with American and other U.S. carriers for serving smaller markets.
“The E175 is truly the backbone of the U.S. aviation network, connecting all corners of the country,” said Arjan Meijer, CEO of Embraer Commercial Aviation.
In total, American’s deals cover 260 new aircraft and include options and rights for 193 more. The commitments are valued at billions of dollars at list prices, though discounts are commonly negotiated.
The massive orders allow American to replace older, less efficient jets and gain operational flexibility with a mix of aircraft families and sizes.
The deals represent a major investment by American in upgrading its fleet with cutting-edge models providing fuel savings, range, and an enhanced experience as it aims for a 15-18% profit margin by 2026.
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