Azul Airlines benefits from the new Breeze’s need for launch aircraft

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One of the benefits of having a portfolio of airlines is an ability to shift aircraft among those operators, and that has been a benefit to Azul and TAP Air Portugal in the past.

Now with the plans by Azul founder David Neeleman to launch a new US-based airline, Azul and Breeze Aviation (Mr Neeleman's new company) have reached a deal for Breeze to take a number of Azul's older Embraer 195s, while LOT Polish Airlines will also take a portion of the aircraft.

Although the Embraer 195s have a certain cost disadvantage in comparison with the Embraer 195-E2s Azul is adding to its fleet, Breeze and LOT can drive a degree of cost efficiency because fuel costs are higher in Brazil compared with the US and Europe. LOT has already purchased some E-Jets from Azul and has touted being the largest E-Jet operator in Europe.

The transaction is also shedding a sliver of light on Breeze's network strategy, as the company highlights the Embraer 195's charter potential and the aircraft's suitability for shorter haul flights.

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