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Azul Announces Letter of Intent to Acquire 21 Embraer 195-E2 Aircraft

AZUL

Azul Announces Letter of Intent to Acquire 21 Embraer 195-E2 Aircraft

Total orders for the aircraft type now at 51

Azul announces today a letter of intent to acquire 21 Embraer 195-E2 aircraft, increasing its total firm order of E2s to 51. The announcement was made today at the Farnborough International Airshow held in England. With deliveries starting in 2019, the new aircraft will be configured with 136 seats, 15% more than the current version. Combined with the significant fuel burn improvement of the next generation aircraft, Azul expects to operate the E-2s at least a 26% lower cost per seat than the current generation Embraer jets operated by the airline. In addition to the operating costs savings, the E2s have the same type rating as the E1s, significantly lowering fleet transition and pilot training costs.

"We are very happy to increase our order of E2s. Our Embraer fleet has always been and will continue to be a critical part of our network and fleet strategy. We are extremely excited by the fleet transformation path that the airline is on, it is the biggest part of our margin expansion plan moving forward. With the need to replace all of our current generation E1 aircraft, 50% of those in the next 5 years, this order guarantees that Azul will have the newest, most fuel efficient fleet in the industry, continually driving down unit costs,” says John Rodgerson, CEO of Azul.

As Embraer’s largest E-195 operator, Azul will benefit from favorable contractual conditions, including flexibility to adapt to market growth opportunities.

About Azul

Azul S.A. (B3: AZUL4, NYSE: AZUL), the largest airline in Brazil by number of cities served, offers 780 daily flights to 107 destinations. With an operating fleet of 118 aircraft and more than 10,000 crewmembers, the company has a network of 217 non-stop routes as of June 30, 2018. Azul was awarded best airline in Latin America by TripAdvisor Travelers’ Choice in 2017. The Company was elected best regional carrier in South America for the eighth consecutive year by Skytrax. Azul also ranked as most on-time airline in Brazil and most on-time low-cost carrier in the Americas in 2017 according to OAG's Punctuality League, the industry's most comprehensive annual ranking of on-time performance. For more information visit www.voeazul.com.br/ir.

Azul S.A.
Investor Relations:
Andrea Bottcher, +55 11 4831 2880
invest@voeazul.com.br
or
Media Relations:
Tel: +55 11 4831 1245
imprensa@voeazul.com.br



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