Aircraft lessor Azorra said on Thursday that maintenance and reliability issues with Pratt & Whitney’s geared turbofan engines are improving, while demand for smaller regional jets remains strong despite elevated fuel costs.
Azorra President Ron Baur told reporters on the sidelines of an industry event that Pratt & Whitney’s engine problems—including maintenance delays and metal contamination—have eased significantly for smaller aircraft models. Disruptions affecting Embraer’s E2 family and Airbus’ A220 jets have virtually disappeared since July, he said, though challenges persist for larger A320neo engines, a point of contention between Pratt and Airbus.
Baur noted that global airlines continue to face higher fuel prices following U.S.-Israeli strikes on Iran, which disrupted traffic through the Strait of Hormuz. However, he described the fuel price spike as manageable, with carriers largely able to pass higher costs on to passengers. The persistent shortage of available aircraft globally has sustained leasing demand, particularly for smaller, fuel-efficient regional jets such as the E2 and A220, which have passenger capacities of up to about 150 seats.
Azorra has secured commitments for both the Embraer E2 and Airbus A220 families, and Baur expressed interest in a potential stretched variant of the A220, known as the A220-500. Airbus has studied the A220-500 but has not yet launched the program. Baur called the proposed variant "very competitive" if developed.
Last year, Embraer’s E2 series outsold the A220 by a three-to-one margin, and Baur said he expects the E2’s momentum to continue. Embraer also marked the delivery of its 2,000th E-Jet at the event where Baur spoke.
Baur characterized Pratt & Whitney’s engine issues as comparable to "teething issues" often seen with new aircraft technologies, adding that Azorra believes the problems are being resolved. "We think Pratt for sure has gotten better," he said. "We see definitely a light at the end of the tunnel with the engines."
Uncertainty in the broader market has slowed some fleet decisions, Baur noted, but overall demand for aircraft remains robust.
