JEDDAH, 26 April 2005 — Saudi Arabian Airlines is holding a signing ceremony tomorrow in Riyadh for the purchase of 15 new aircraft from Brazil’s Embraer.
The ceremony will be held under the patronage of Prince Sultan, second deputy premier and minister of defense and aviation, chairman of the board of directors of Saudi Arabian Airlines and will be attended by a number of airline executives and officials from the manufacturing company.
Dr. Khaled Ben-Bakr, director general Saudi Airlines, stated that the signing of the contract for the acquisition of these 15 new aircraft is the crowning point of a period of achievements that the airline has gone through during the past few years in spite of the unusual circumstances experienced by the aviation industry and the increased competition among international airlines. The airline attained a record number of passengers carried which reached fifteen million passengers in 2004 and resulted in the airline making a profit for the third consecutive year. This led to self financing the purchase of the new fleet, but it gave no value for the deal.
Embraer said the deal has a total value of around $400 million at list price, according to Reuters.
Ben-Bakr said that the purchase of the new Embraer 170s includes a maintenance center, the first of its kind in the Middle East, in which maintenance work on all aircraft manufactured by Embraer can be performed.
Embraer is also providing a flight simulator which will be installed at the Prince Sultan Aviation Academy in addition to all necessary support equipment to be used in training and the maintenance of the new aircraft.
The new Embraer 170 is a very technically advanced aircraft with a maximum range of 3,700 kilometers. It features a wide isle and high ceiling.
The Saudi Airlines configuration for this type of aircraft includes 66 seats, 6 first class seats and 60 guest class seats. The new aircraft is intended for operation on domestic and regional routes. “This is a small aircraft carrying 66 passengers making it suitable for domestic flights and Embraer specializes in manufacturing this size aircrafts,” said Abdul Aziz Al-Tamimi, PR assistant director.
“The first two aircraft will be delivered in December and another two in January and then an aircraft will be delivered every month until all 15 aircraft are delivered,” he told Arab News.
“Embraer’s new jet will provide Saudi Arabian Airlines with the possibility to expand our domestic and regional aviation activity,” said Ben-Bakr in a statement on the manufacturer’s website.
Saudi Airlines will use the Embraer to add frequencies on existing regional and local flights and eventually develop mini-hubs at Hail in northern Saudi Arabia and at Abha in the south.
The airline, which is slated for privatization and may lose its monopoly on domestic flights this year, has a fleet of 139 planes. This purchase might be seen as strengthening its position in the domestic market before private airlines are licensed to enter.