TOKYO (Dow Jones)--Mitsubishi Aircraft Corp. said Friday that it had secured a second customer for its planned regional jet, with an order for up to 100 aircraft from U.S.-based Trans States Holdings.
The memorandum of understanding with Trans States follows a series of design changes that includes a new 100-seat version of the MRJ, with first deliveries to launch customer All Nippon Airways Inc. (9202.TO) expected in early 2014.
Mitsubishi Aircraft, a 64%-held subsidiary of Mitsubishi Heavy Industries Ltd. (7011.TO), is attempting to break the near-duopoly in the regional jet market held by Brazil???s Embraer and Bombardier Inc. of Canada, but faces rival new offerings from state-backed manufacturers in Russia and China.
While the U.S. remains the world???s largest market for regional jets, the sector has been hit hard by the financial plight of major network airlines, which contract most of the aircraft from third-party franchise operators. Dozens of jets have been parked in the desert as falling traffic and high fuel prices made them uneconomic even as major airlines pushed through tougher contracts with their regional partners.
Missouri-based Trans States operates flights on behalf of the United Airlines unit of UAL Corp. (UAUA) and US Airways Inc. (LCC).
The MOU includes 50 firm orders and 50 options.
The company operates two subsidiaries, Trans States Airlines and GoJet Airlines, and Mitsubishi said it is looking at all three versions of the MRJ, which range from 78 to 100 seats.
All Nippon has 15 firm orders and 10 options for the aircraft.
Mitsubishi Aircraft announced major design changes to the MRJ last month, delaying its planned first flight by six months until the second quarter of 2012.
-By Hiroyuki Kachi, Dow Jones Newswires; 813-6895-7562; [email protected]
(Doug Cameron contributed to this article)
The memorandum of understanding with Trans States follows a series of design changes that includes a new 100-seat version of the MRJ, with first deliveries to launch customer All Nippon Airways Inc. (9202.TO) expected in early 2014.
Mitsubishi Aircraft, a 64%-held subsidiary of Mitsubishi Heavy Industries Ltd. (7011.TO), is attempting to break the near-duopoly in the regional jet market held by Brazil???s Embraer and Bombardier Inc. of Canada, but faces rival new offerings from state-backed manufacturers in Russia and China.
While the U.S. remains the world???s largest market for regional jets, the sector has been hit hard by the financial plight of major network airlines, which contract most of the aircraft from third-party franchise operators. Dozens of jets have been parked in the desert as falling traffic and high fuel prices made them uneconomic even as major airlines pushed through tougher contracts with their regional partners.
Missouri-based Trans States operates flights on behalf of the United Airlines unit of UAL Corp. (UAUA) and US Airways Inc. (LCC).
The MOU includes 50 firm orders and 50 options.
The company operates two subsidiaries, Trans States Airlines and GoJet Airlines, and Mitsubishi said it is looking at all three versions of the MRJ, which range from 78 to 100 seats.
All Nippon has 15 firm orders and 10 options for the aircraft.
Mitsubishi Aircraft announced major design changes to the MRJ last month, delaying its planned first flight by six months until the second quarter of 2012.
-By Hiroyuki Kachi, Dow Jones Newswires; 813-6895-7562; [email protected]
(Doug Cameron contributed to this article)
