Republic Airways orders up to 94 E-175s, Signs 12 Year agreement to fly them for American Airlines.

Republic Airways Holdings has ordered 47 Embraer E-175s, plus 47 options. If all options are exercised, the value of the order could reach $4 billion at list prices, according to Embraer. Delivery is scheduled to begin in mid-year.

The new aircraft will be operated by Republic Airlines, a Republic Airways Holdings subsidiary, under the American Eagle brand in the American Airlines’ regional network. Because American’s parent company is operating under Chapter 11 bankruptcy protection, the deal is subject to court approval, which is expected to occur in the first quarter.

Republic also signed a 12-year capacity purchase agreement with American Airlines to provide large regional jet flying for the first time in the American’s history. This agreement, which is subject to court approval because American is still in Bankruptcy, was enabled by the new pilot contract between American and their Pilots. Through the agreement, Republic Airways will acquire 53 Embraer E-175 jets featuring a two-class cabin with 12 First Class seats and 64 seats in the Main Cabin.

The aircraft, which will be branded with the newly revealed American Eagle livery and operated by the Republic Airlines subsidiary of Republic Airways Holdings, will phase into operation at approximately two to three aircraft per month beginning in mid-2013. All 53 aircraft are expected to be in operation by the first quarter of 2015.