American Airlines orders four Embraer E175s for Envoy Air

American Airlines has placed a firm order for four Embraer E175 jets to fly with its subsidiary Envoy Air, the Brazilian planemaker said on Thursday, marking the carrier's second order for the regional jets this year. American's previous deal for seven E175s, announced in June, underscored a U.S. regional aviation market recovering from rough years marked by the COVID-19 pandemic. Shares of Embraer rose as much as 1.2% on Thursday's order news, which analysts flagged as a sign of improving demand and stronger deliveries going forward. "It highlights that the company's efforts to increase its commercial backlog is bearing fruit and also indicates that demand for E1s in the U.S. could be picking up again," Santander analysts told clients, referring to the first generation of E-Jets still popular with U.S. regional carriers. "We maintain our optimistic view on Embraer, and believe that 2024-25 could translate into a period of a solid pipeline of deliveries." Embraer said in a statement that the order, worth more than $230m at list price, will be added to its fourth-quarter backlog, with deliveries expected to take place in the fourth quarter of 2024. The order will take Envoy Air's fleet of E-Jets to more than 150 aircraft by the end of next year, Embraer said. The United States is the main market for the first-generation E-Jets, which Embraer dubs "the backbone" of that country's regional network.<br/>