lightsaber wrote:marcogr12 wrote:Instead of flying the E195, why don't they order the smaller member of the A220 family, the A221 for thinner routes and long thin ones? The A221 can seat 125 pax comfortably
Because the E190/195 were acquired cheap.
https://crankyflier.com/2020/02/07/davi ... the-aisle/
On Flying Embraer 195s Short-Haul With Low Utilization
David: I’ve got a bunch of guys on the team that were at Allegiant. And this plane has a 15 to 20 percent lower trip cost than Allegiant’s [A]320. We think we can fly a lot of markets that couldn’t be flown by a 180-seat airplane without planning to have 122 seats on it. So we think between the 74-seat regional planes and 150 to 180 seats, this is a niche that we can fill, and we can serve a lot of markets.
We got the planes for a really great price and if you look at what Azul is paying for them versus what we’re paying for them, and then we negotiated some other things on the maintenance side…
Whenever you have a plane that is starting to get parted out, parts are a lot cheaper and they’ll be seven-, eight-year old airplanes. These are ones that came along late in the thing and then the E2s came along so they got obsoleted, but they’re kind of new in a sense. We’ll have an advantage on maintenance, advantage on capital costs. It just works good for low-utilization, four hours a day, five hours a day.[/i]
There is a huge amount more in the link. Quick answer is the E-jets are for low utilization duty. That link notes executives by name who came from Allegiant who really know the "only fly when customers pay more" model of airline. That requires really low purchase costs (so the airline isn't paying much when they sit).
The A220s will, in my opinion, fly a lot more hours per week. They'll fly red-eyes, they will park at distant airports with crew in the hotel instead of the E19x model of you always sleep in your own bed. While the model doesn't really depend on the plane type, it does depend on the purchase price. The A220s are just too expensive (in monthly payments) to be flown as the E19xs are right now.
Now, when the A220s age out, say 12+years after first delivery, they could be put into lower utilization duty. There is a reason Allegiant always buys used (excluding end of the line orders they received a good deal on, I assume), if the aircraft doesn't fly a lot of hours, fixed costs (cost to purchase) matters more than variable costs (cost in maintenance and fuel per flight hour).
I have heard some rumors about how cheap Neelman got the 190’s for, from people that do that kind of thing. Alliance bought 14 of them in August 2020 for a mere 5.6 mil each, and that included 6 spare engines… (Don’t forget the period they acquired them in, aircraft sitting everywhere they could find parking space, and a couple of hundred still sitting around the world).
That, and the power-by-hour deal, perfect for a low utilization operation.
I’d say right now aircraft expense is not a major concern, though that could change dramatically when the 220 comes on line.