Luxair to Take CSeries or E2; Decision in 2016

Luxair has bought a Boeing 737-800 from airberlin and will decide on a 737-700 replacement next year, with the Embraer E190-E2 or Bombardier CSeries CS100/CS300 in the running.

At the start of 2015, Luxair operated a scheduled fleet of seven Bombardier Q400s, six Embraer ERJ-145s, two 737-700s and three 737-800s, although the -800s are primarily operated by the group's holiday arm LuxairTours. Since then, it has retired three ERJ-145s and -- on Oct. 15 --it bought a Boeing 737-800 from airberlin.

The Luxembourg flag carrier will retain the 737-800s, as they are dedicated to its tour operator business, and aims to decide on the 737-700 replacement in 2016 for delivery between 2018-19 to 2025.

"In 2016, we need to really evaluate what the next step is. It will probably be something like the E-190 or a mix of CS100s and CS300s -- about five aircraft -- to replace the two 737-700s and a number of older Q400s," Luxair Group EVP airline Martin Isler told ATW on the sidelines of the European Regions Airline Association (ERA) General Assembly in Berlin.

Luxair also has three Q400s on order, which are being brought in to replace its ERJ-145s. Two are due for delivery in December, followed by the third in May. As part of the deal it has two options that come up in 2017.

"We need to get rid of the ERJ-145s because they are not efficient anymore. They are too small and they are going to cost us ?30 million ($34 million) over the next five years to continue to operate them," Isler said.

However, Luxair is currently one Q400 down following a rejected take-off incident at Germany's Saarbrücken Airport. The aircraft came to rest on its belly and it remains unclear whether the 2012-build Q400 will be written off. "We need to replace that aircraft for the winter season; we are wet leasing for now," Isler said, adding that the three incoming aircraft have all been allocated and the deliveries cannot be brought forward.