At the end of Dec-2013, the Flybe Group fleet consisted of 98 aircraft, all regional jets and turboprops, of which 70 in Flybe UK and 28 in Flybe Finland. Flybe took delivery of two new Embraer E175 aircraft during the quarter. A total of 25 aircraft are deployed in contract flying (21 for Finnair and four for Brussels Airlines). According to Flybe, the average age of the fleet is 5.6 years, which compares favourably with the majority of airlines in Europe.
As part of its restructuring programme (see below), Flybe will ground 10 Embraer E195 aircraft by the end of Mar-2014 and the remaining four of this type by the end of northern hemisphere summer 2014. CEO Saad Hammad told analysts on a conference call to discuss the 3Q results that the E195 does not make sense in the context of Flybe’s operations. He views the group’s turboprops as the core of the fleet, although there continues to be a role for the smaller regional jets.
Flybe is currently looking at ways to minimise the cost to Flybe of the planned aircraft groundings. These include discussions with third party airlines, including European flag carriers, about contract flying; and possible sub-leases or early hand-backs of leased aircraft (10 aircraft come to the natural end of their lease over the next 18 months anyway).
