A CS300 logo sits on the tailfin and winglet of the a new Bombardier CS300 C Series aircraft.Jasper Juinen/Bloomberg
Air Baltic Corp. AS has bumped up its order for 13 Bombardier Inc. C Series jets to 20.
Montreal-based Bombardier said on Tuesday that Air Baltic will convert its remaining seven options on the CS300 model, bringing the total firm order to 20.
The order for the seven planes is valued at about $506-million (U.S.). But it is standard practice in the aerospace industry for manufacturers to offer discounts to airlines making big purchases.
Latvia-based Air Baltic is expected to be the first customer in the world to operate the CS300 when it is scheduled to take delivery in the second half of 2016.
This latest C Series order brings the total number of firm orders to 250, 50 units short of the 300 Bombardier has targeted by the time the plane enters service, which is expected in the third quarter.
With options and conditional sales included, the tally stands at 678.
In February, Bombardier received a letter of intent from Air Canada for 45 of the CS300 planes – the larger of the two models on offer – with options for another 30. The letter has still not been converted into a firm order.
The Air Baltic order was announced as Bombardier's Brazilian rival, Embraer SA, said it has clinched a firm order from Horizon Air – a subsidiary of Alaska Air Group Inc. – for 30 of its E175 regional jets. Total value of the deal, including options for another 33 planes, is $2.8-billion.
Portland, Ore.-based Horizon Air said the E175s will supplement its fleet of Bombardier Q400 turboprops.
However, Horizon plans to phase out 15 of its 52 Q400s in 2018.
Bombardier commercial aircraft spokeswoman Marianella Delabarrera said Horizon Air's selection of Embraer for a major fleet replacement is not a blow to Bombardier because the airline and its parent "had a very specific requirement" for the type of aircraft required because of their alignment with E175 operator SkyWays Airlines.
Bombardier's closest competitor to the E175 is its CRJ900 regional jet.
Montreal-based Bombardier has been struggling with delays and cost overruns on the C Series program, its most ambitious ever. The program is about $2-billion over budget and more than two years behind schedule.
Ottawa is mulling an investment in the C Series of about $1-billion, a contribution that would be similar to the commitment made by the Quebec government.
Ms. Delabarrera said the C Series is showing strong momentum as the plane goes through certification and in-service testing. Better-than-expected results in performance and reliability are "encouraging customers who are waiting on the sidelines," she said.
"We are seeing an increase in interest."