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Brazilian aircraft maker Embraer to produce 20 planes for Air France-KLM Group

Brazilian aircraft maker Embraer is going to produce 20 regional jets, with an option for an additional 18 aircraft, for Air France-KLM Group.

The French-Dutch airline declined to disclose the value of the deal - the first joint order placed by the airline's regional units, the French carrier Regional and Holland's KLM Cityhopper.

Air France-KLM said the orders are for Embraer's E170 and E190 short-to-medium haul aircraft. Regional will take six E170s and four E190s, while KLM Cityhopper is taking 10 E190s.

"This first joint order placed by the two regional carriers will lead to substantial synergies both in the purchasing of aircraft, engines and spare parts, and in fleet management, operational maintenance and crew training," Air France-KLM said.

Deliveries will take place between 2008 and 2011.

The company said the new Embraer aircraft will help Regional improve its fleet significantly. Regional already operates three E190s and has three others on back order, besides those mentioned Friday.

The aircraft ordered by KLM Cityhopper gradually will replace aging Fokker 100s, the company added. The order marks the start of a fleet renewal and upgrade program for the Dutch regional carrier.

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