UPDATE 1-JetBlue profit misses estimates as costs rise
* Third-quarter profit of 21 cents vs estimate 22 cents
* Carrier delays Embraer jet deliveries to save money
* Expenses rise 8 percent, revenue up 10 pct
Oct 29 (Reuters) - JetBlue Airways Corp missed estimates for quarterly profit on Tuesday as costs rose, and the airline said it would delay Embraer jet deliveries over the next three years to save money.
The airline also announced orders for 35 additional Airbus planes, saying its growth plans call for larger aircraft.
Cost pressures have been a major hurdle for New York-based JetBlue, which has 80 percent of its operations in the U.S. Northeast. Costs for fuel and salaries rose 4 percent and 8 percent, respectively, in the third quarter, while expenses for maintenance materials and repairs spiked 28 percent.
Net income rose 58 percent to $71 million, or 21 cents a share, in the seasonally strong third quarter, from $45 million, or 14 cents a share, a year earlier, as JetBlue flew fuller planes.
Analysts expected profit of 21 cents a share, on average, according to Thomson Reuters I/B/E/S.
Quarterly revenue rose 10 percent to $1.44 billion, while total costs rose 8 percent.
JetBlue said it would defer delivery of 24 Embraer planes over the next few years, bringing those planes to about 60 in its fleet over the near term.
The carrier said it would also order 35 Airbus planes, including 15 of the A321 current engine option family, and 20 A321s that will be equipped with new, more fuel-efficient engines. JetBlue also said it converted orders for 18 A320s to A321 planes. It has about 190 planes.
Shares of Embraer fell as much as 3 percent after JetBlue's announcement. Airbus said in a statement that JetBlue's move marked its 10,000th order for its A320 jet family.