JetBlue Just Ordered More Airbus A220s

In July 2018, JetBlue Airways (NASDAQ: JBLU) ordered 60 A220-300s from Airbus (OTC: EADSY) as part of a plan to modernize its fleet and reduce unit costs by retiring its less-efficient Embraer E190s. Less than a year later, the airline exercised options to buy another 10 A220s.

JetBlue began operating its first A220-300 last year, and it seems very pleased with how its newest jets are performing. This week, the low-fare airline announced that it has exercised another 30 options, putting it on track to have 100 A220s in its fleet by the end of 2026. Let's take a look at what this means for the company.

JetBlue Airways has operated the E190 since 2005. While the 100-seat jet has helped the airline expand its service into smaller markets, unit costs have been significantly higher than anticipated, due to high maintenance costs and the model's subpar fuel efficiency. As a result, JetBlue has been considering the future of its E190 fleet for many years.

Source Fool.com