The contract also gives American the option to place more of the E175s with the regional carrier that is a subsidiary of Trans States Holdings. American announced last December it had ordered 60 of the E175s from Embraer.
Compass will begin flying the E175s in the first quarter of next year under the American Eagle brand and livery.
"Compass Airlines has a proven history of providing safe, reliable, customer-friendly and cost-effective service on the E175 aircraft and this made Compass a great choice for our business and our customers," said Kenji Hashimoto, American's senior vice president of regional carriers.
The aircraft had been promised to Envoy Airlines if the pilots approved a tentative agreement with American. However, earlier this spring, the pilots rejected the proposed contract that gave them the jets in exchange for pay scale freezes.
This is the first time Compass will be flying under the American Eagle brand. American has ten other regional carriers that operate flights for the Fort Worth-based airline including their wholly owned subsidiaries, Envoy, PSA and Piedmont.