Avelo Airlines Silences Skeptics with Massive Embraer Order
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Avelo Airlines placed a firm order for 50 Embraer E195-E2 aircraft, with purchase rights for another 50 aircraft. This agreement, valued at $4.4 billion at list prices for the initial order, marks the introduction of the E2 into the US aviation market and supports the growth strategy of the low-cost airline that was born at the most unexpected moment, in early 2021, when the pandemic was still ravaging the world.
According to a statement from Embraer, deliveries of the new aircraft will begin in the first half of 2027. With this addition, Avelo Airlines will become the first and only U.S. operator of the E195-E2, the Brazilian manufacturer's largest and most advanced commercial aircraft.
These aircraft will modernize Avelo's fleet, which is currently composed exclusively of Boeing 737NGs, and will complement its operations for the foreseeable future. The choice of the E195-E2 aims to improve cost efficiency and expand the company's network reach, enabling access to markets that are not viable with larger aircraft.
Andrew Levy, founder and CEO of Avelo Airlines, commented that their customers "will love the E2’s comfortable 2x2 seating, in-seat power ports, large overhead bins, and quiet cabin." He added that "the aircraft’s exceptional performance, size, and efficiency make it the perfect choice for the future growth of our scheduled service network."
Precisely last Monday Avelo announced that it secured a new round of capital to fund its next growth phase. Although the airline did not disclose the amount or the name of the new investment partner, it emphasized that this capital injection strengthens its liquidity position. Avelo also reported that July was its fourth profitable month in the last five, following a near break-even operating result in 2024.
Capabilities and Network Expansion
A key feature that drove Avelo's decision is the E195-E2's excellent short-field performance. This capability, enabled by the E2TS (Embraer Enhanced Takeoff System), a proprietary technology, will allow the airline to access new markets and optimize efficiency at many of its current airports.
Avelo serves a network of 37 destinations in the United States and the Caribbean, operating around 600 weekly flights in September, according to data compiled by Aviacionline through Cirium.
From December, the company will cease operations on the west coast, closing its base at Burbank Airport.
This technical advantage, along with the aircraft's range, fuel efficiency, and low noise footprint, positions it as a strategic tool for expanding Avelo's network. Since commencing operations in April 2021, the airline has flown nearly eight million customers.
Arjan Meijer, President and CEO of Embraer Commercial Aviation, highlighted that the E195-E2 "is a game-changer for airlines that want to grow profitably while elevating the guest experience." He added that its "exceptional fuel efficiency, quiet operations, and short-field capability will unlock new markets and optimize capacity across its network."
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