Delta Air Lines

Delta Air Lines plans to sign an agreement with Boeing to purchase 40 new 737-900ERs and 20 Embraer E190 aircraft.

The new 737s will increase the carrier’s existing order to 140 aircraft, and replace the narrow-body aircraft scheduled to retire during 2019.

In 2011, Delta placed an order for 100 Boeing 737-900ER aircraft.

The latest decision comes after the airline concluded a tentative agreement with its pilots to enhance their compensation and revise the profit-sharing principle from next year.

Delta Master Executive Council (MEC) of the Air Line Pilots Association (ALPA) has approved the tentative agreement, which is subject to a ratification vote and expected to be implemented from 31 December 2018.

"These cost-efficient aircraft will play a key role as we strive to achieve higher returns for our shareholders."

Delta CEO Richard Anderson said: "This tentative agreement with ALPA reflects the key role and contributions of our pilots in our excellent financial and operational performance.

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"These moves will continue to drive the industry-leading performance that has allowed us to return more than $3bn to shareholders and still reward our employees with industry-leading profit-sharing."

The airline expects the Embraer E190 aircraft to enter into its mainline service in the fourth quarter of 2016.

E190 aircraft will serve domestic routes in the US, as part of Delta’s strategy to move away from inefficient, 50-seater regional jets.

"These cost-efficient aircraft will play a key role as we strive to achieve higher returns for our shareholders, and we thank Boeing for their important partnership," Anderson added.

Image: A Delta Air Lines 737-900ER aircraft in flight. Photo: courtesy of Boeing.