Nigeria’s airline operator, Air Peace, has signed a billion dollar deal with Brazil’s plane manufacturer, Embraer SA.
The deal comes at a time countries are grounding Boeing‘s Max model – the same model Air Peace ordered in 2018 to boost its fleet.
How much the deal is worth: Air Peace signed a $2.12 billion deal with Embraer SA that will see the Nigerian airline operator take delivery of ten E195-E2 jets at an unspecified date. The Brazilian plane maker will include the order in its backlog for the second quarter of 2019, the company said.
Is Air Peace seeking an alternative to Max model?: The deal is likely to be an alternative to embattled Boeing 737-Max 8 and 9 model, as Embraer SA‘s E195-E2 jets is in direct competition with Airbus A220, Airbus A320neo and Boeing‘s Max model.
While Air Peace didn’t state if the decision to order for Embraer SA‘s E195-E2 jets is connected to a possible loss of trust in the American plane maker, ordering jets from a direct competitor is a signal.
Air Peace’s romance with Boeing
After the Ethiopian Airways crash which killed 157 passengers, Air Peace said it had no intention in cancelling its order of the Boeing 737-Max model despite the deadly crash being the second in the space of five months for the Max model – with the Lion Air crash, which killed 189 passengers, being the second.
First, it was the spokesman for Air Peace, Chris Iwarah, who described the call to cancel the order as premature. He argued that before the public rush into conclusion, it’s advisable to wait until the investigation into the crashes is concluded.
Then, the Chairman of Air Peace, Allen Onyema second Iwarah’s opinion while taking delivery of its third Boeing 777-300 aircraft. Onyema said it ordered for the embattled aircraft long before the technical issue arise because the plane was the toast of the global aviation industry, and it’s only normal for the company to align with such development.