Slashing seat mile costs is at the core of Bombardier's strategy of determining whether to launch a new 100-seat aircraft family, and the airframer is targeting a two-cent reduction in costs from the largest member of its regional jet family -- the 86-seat CRJ-900.

Bombardier Regional Aircraft President Steve Ridolfi yesterday told attendees of the International Society of Transport Aircraft Trading (ISTAT) conference in Hollywood, Fla., that there's room for another aircraft if Bombardier can lower current cost per available seat mile (CASM) on the CRJ-900 from nine cents to seven cents on a 500-nautical mile trip.

Ridolfi told The DAILY that while the cost estimate is an "aggressive target," Bombardier sees it as a "tremendous opportunity."

Technology has moved "quite a bit" since Bombardier considered building the 100-seat BRJX in the late 1990s, Ridolfi said. And the airframer is looking across all aircraft components -- structures, systems and powerplants -- to meet the cost target. "The jury is still out on where we will see gains," Ridolfi said.

While Bombardier tries to find the right ways to cut CASM, Embraer is readying its 100-seat -190 family for a 2005 debut. Embraer CEO Mauricio Botelho has said Bombardier's decision to launch a new family would be a "tough one," since it wouldn't enter the market for at least five years (DAILY, March 26).

In the near term, Ridolfi has confidence in US Airways' 2004 CRJ delivery schedule. The carrier plans to add about 33 CRJ-200s and 19 CRJ-700s. "So far, so good," Ridolfi said. "They made it known regional jets are a key portion of their business plan."

Small jets are also crucial to Air Canada's successful restructuring, CEO Robert Milton said during the conference. The airline plans to add about 105 75- to 100-seat planes to its fleet. Milton noted the idea that big aircraft bring big revenues was "an industry notion that's been put to bed."