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7JetSet7 Code: EMB
Status: Operational
Country: BRAZIL
Employees 18628
Web: embraer.com

Click below for data links:
EMB-2011-12 RUSSIAN EMB-120
EMB-2013-09 - LEGACY 650
EMB-2014-09 - UPDATE
EMB-2014-10 - E190-E2 PROTOTYPE
EMB-2016-02 - E190-E2 Roll Out.jpg
EMB-2017-03 - E195-E2 Roll Out.jpg
EMB-2018-04 Wideroe E190-E2.jpg
EMB-LOGO - 2011-11

Founded in 1969. Jet airplane manufacturer. Embraer S A is a Brazilian aerospace conglomerate that produces commercial, military, and executive airplanes and provides aeronautical services. D B A Empresa Braziliera de Aeronautica (EMBRAER) (EMB).

Headquartered in Sao Jose dos Campos, Sao Paulo, Brazil.


August 2008: Parent organization/shareholders: Previ (a Brazilian pension fund) (16.40%); Bozano Group (11.10%); Sistel (7.40%); Dassault Aviation (2.1%); (EADS) (EDS) (2.1%); Thales (THL) (2.1%); Safran (1.1%); Government of Brazil (0.3%); the remainder being publicly traded.

January 2011: Embraer (EMB)'s 2010 net income = $363.4 million. 2010 Revenue = $5.9 billion.

September 2011: Embraer (EMB) and GE Aviation (GEC) concluded a series of biofuel test flights in Brazil aboard a (CF34-8E)-powered E170. 1 of the airplane's 2 engines was powered by a 50/50 blend of camelina-derived hydro-processed esters and fatty acids (HEFA) and Jet-A. (ASTM) International's committee on petroleum products and lubricants in June provisionally approved a new specification for hydro-processed renewable jet fuels.

“This series of tests, and their very positive results, gives us a lot of new information to continue our sustainability program as it relates to future products,” Embraer Executive VP Engineering & Technology Mauro Kern said. The 2 companies “plan to engage in future biofuel testing and (ASTM) substantiation activities,” (GE) Aviation (GEC) (CMO), Laurent Rouaud said. “This could encompass a broad range of pursuits from testing of additional fuel production pathways and feedstocks, to potentially increasing (HEFA) blend levels.”

November 2011: Embraer (EMB) is the world's 3rd-largest commercial jet airplane company and has been for much of the 2000s 1 of Brazil's top exporters.

Embraer (EMB) is dropping plans to enter the 130 to 160 seat narrow body market and instead is focusing on developing a re-engined variant of its E-jet family that could be ready in 2018.

(EMB) has been analyzing the potential of developing a narrow body for some time, but Commercial Aviation President Paulo Cesar Souza e Silva said that recent changes in the marketplace with Airbus (EDS) and Boeing (TBC) both now developing re-engined versions of their A320 and 737, make clear it would be “very challenging” for a new entrant to persuade airlines to switch to an all new airplane type. “Our shareholders would probably not like this venture,” he said.

Instead, (EMB) will focus on developing a version of its E-jet family that would be equipped with a new engine, new landing gear and other new technology. It could potentially be a stretch of the E195, de Souza e Silva said, and it would consolidate (EMB)'s market leadership in the 70 to 130 seat market.

De Souza e Silva said anticipated entry into service (EIS) date would be around 2018. A launch customer could be announced around mid-2012. “We are seeing a lot of interest in developing this type of airplane,” he said.

A name for the new variant has yet to be decided (for now, Embraer (EMB) refers to it as a new generation E-jet) and an engine supplier has also yet to be picked. (EMB) has a long-established relationship with (GE) and the (CF34), but de Souza e Silva said other options are being considered.

De Souza de Silva said (EMB) was in talks with its customers to define the future requirements of the 70 to 120 seat segment.

“We will further refine our findings. There are a lot of details we don’t know yet because we want to listen to our customers, but we have a rough idea of what this airplane should be,” he said.

De Souza de Silva added that there would remain a lot of commonality with the existing E-jet family. “We are convinced this is the way to go forward, keeping the same airplane but upgrading it,” he said.

(EMB) signed a 6-year flight hour pool agreement with Aerolineas Argentinas (ARG) under which it will provide component support for (ARG)’s fleet of 20 E190s through 2017.

(CIT) Aerospace (TCI), the airplane leasing unit of the (CIT) Group signed an agreement with Embraer (EMB) for up to 30 Embraer E190 and/or E195 jets, with 10 firm orders. Deliveries are scheduled through 2015.

(BOC) Aviation (SIL) signed a contract with (EMB) for 15 E190 airplanes. Deliveries are scheduled from the 4th quarter of 2012 through 2014.

(EMB) said it has received >1,000 firm orders for its E-Jets from 60 companies in 40 countries.

December 2011: (BOC) Aviation (SIL) entered into a sale and leaseback transaction for 4 new Embraer E195s, the lessor's 1st such transaction involving (EMB) airplanes. The airplanes are on long-term lease to Brazil's Azul (AZL). 2 have been delivered and 2 are scheduled for delivery by the 2012 2nd quarter.

Hebei Airlines (NTE) took delivery of 2 Embraer E190s. (EMB) said the sale of the 2 E190s was confirmed this month, and the purchase of another 8 jets on order is still subject to Chinese government approval.

Shijiazhuang-based (NTE) will deploy the E190s to support establishing a hub network within the Hebei Province, and on routes from Shijiazhuang to other provincial capitals. (NTE) Chairman Luo Zhanling said the introduction of these E190 jets “matches (NTE)’s marketing strategy, and is 1 of our important initiatives in response to the state’s call to build China as a civil aviation powerhouse by improving the country’s regional aviation sector.” He said (NTE) will “fully leverage the jets’ advantages in seat capacity and range performance to build a hub network.”

(EMB) said it has 153 firm orders for commercial and executive jets from China, including 85 E190s.

January 2012: Embraer (EMB) Chairman Mauricio Botelho has resigned and Vice Chairman, Hermann Wever has been appointed the position on an interim basis.

Embraer (EMB) said that Botelho had stepped down "for personal reasons."

Botelho was the Brazilian manufacture’s President & (CEO) from 1995 to 2007 and became Chairman in 2006. He led the company’s restructuring after its privatization and built and established a successful family of regional jets that made Embraer (EMB) the world’s fourth largest commercial airplane manufacturer.

“On behalf of all of the people who make up the Embraer (EMB) family, we present our sincere gratitude to Mauricio for his dedication and effective contribution to the success of our company, wishing him much success and happiness in this new phase of his life,” the company said.

The statement also said that an extraordinary general assembly to elect a new Chairman will be called in the near future.

Wever began his career with the industrial unit of General Electric and is a former President of Siemens’ energy sector. He was elected to the Embraer board of directors in March 2006.

Embraer (EMB) delivered 82 airplanes, comprising 32 commercial and 50 business jets during the fourth quarter of 2011, -10 fewer than in 2010.

(EMB) said it delivered a total of 204 airplanes for the full year, comprising 105 commercial airplanes and 99 executive jets.

Embraer (EMB)’s firm order backlog stood at $15.4 billion at the end of 2011, slightly down from $15.6 billion compared to the year-ago period.

During the fourth quarter of 2011, (EMB) said it signed orders for 33 EMB-190s, comprising 15 to Singapore’s (BOC) Aviation (SIL); 16 to USA leasing companies (CIT) Group (TCI) (10), and (GECAS) (GEF) (six); and two to China’s Hebei Airlines (NTE), and 12 E195s, comprising 11 to Azul (AZL); and one to USA-based Jetscape (JTS).

(NTE) became the newest EMB-Jets operator when it received two E190s in December.

February 2012: Embraer (EMB) announced at the Singapore Airshow that Azul (AZL) has firmed options for 10 single-class E195 airplanes. The order, valued at approximately $478 million at list prices, brings its E-Jet fleet to 67. It also announced an order from Minsk, Belarus-based Belavia (BLV) for two dual-class E175s, which it will finance through Air Lease Corporation (ALE).

(AZL) will take delivery of the airplanes in 2013 - 2014, and follows an October 2011 order for 11 E195s. Belavia (BLV)'s first E-Jet order, slated for delivery beginning in September, is part of a fleet renewal program.

“We have taken a strategic decision to phase out our old fleet and opt for a new airplane to complement our narrow body jets,” (BLV) Director General, Anatoly Gusarov said. “The E175 perfectly suits our growth strategy to test new routes where it would be uneconomical to operate larger airplanes.”

Embraer (EMB) noted that its presence in Eastern Europe, the Ukraine and Central Asia is “steadily increasing,” with six airline customers in these regions: Montenegro Airlines (MNO), Air Moldova (MOL), Bulgaria Air (LZB), AeroSvit (UKA), Wind Rose Aviation (WRC) and Air Astana (AKZ). The Brazilian and Asian markets are also seeing growth for the airplane manufacturer.

"The Brazilian market is growing unbelievably fast," Embraer (EMB) President Commercial Aviation, Paulo Cesar de Souza e Silva said, adding that it is also "very much committed to the Asian market . . . we are growing in Asia. In 10 years, we have sold more than >130 airplanes in the region."

Estonian Air (ENA has ordered three E175s and one E190 as it transitions to a fleet of Embraer E-Jets. Delivery is scheduled for the second half of 2014. (ENA) will also take eight additional airplanes (four EMB-170s and four E190s) under a combination of lease agreements with third parties and leasing companies. The first of four E170s leased from Finnair (FIN) enters service this month.

All E-Jets will be configured in a single-class layout, with 76 seats on the E170s, 88 on the E175s, and 112 on the E190s, according to Embraer (EMB).

(ENA) President, Tero Taskila said (ENA) chose Embraer E-Jets to replace its current fleet of 737s and Bombardier CRJs because “the one-family concept offers the capacity flexibility we need to pursue our immediate expansion and fleet modernization objectives. The airplanes will deliver a standard of in-flight experience that will keep us competitive and allow us to access new markets with lower risk than using larger jets,” she said.

“We have also been following with high interest the analysis that Embraer (EMB) is conducting to launch a second generation of its E-Jets, using new engines, with possible entry into service (EIS) around 2018,” Taskila said.

Embraer (EMB) delivered the first Medevac version of the Phenom 300 - - SEE PHOTO - - "EMB PHENOM 300 - - 2012-02" jet to Amil Resgate Saúde. The airplane, with tail number (PP-UTI), which was transformed into a veritable flying Intensive Care Unit (ICU) (UTI, in Portuguese), is the 100th Embraer executive jet to be delivered in Brazil.

March 2012: Embraer (EMB) posted a loss in the fourth quarter after it was forced to make a $366 million provision following the recent bankruptcy filing of the parent company of its key USA customer, American Airlines (AAL).

Boeing (TBC), Airbus (EDS) and Embraer (EMB) signed a memorandum of understanding (MOU) to work together on the development of drop-in, affordable aviation biofuels. The airframe manufacturers agreed to seek collaborative opportunities to speak in unity to government, biofuel producers and other key stakeholders to support, promote and accelerate the availability of sustainable new jet fuel sources.

"There are times to compete and there are times to cooperate," said Boeing Commercial Airplanes President & (CEO), Jim Albaugh. "Two of the biggest threats to our industry are the price of oil and the impact of commercial air travel on our environment. By working with (EDS) and (EMB)on sustainable biofuels, we can accelerate their availability and reduce our industry's impacts on the planet we share."

The collaboration agreement supports the industry's multi-pronged approach to continuously reduce the industry's carbon emissions. Continuous innovation, spurred by competitive market dynamics that push each manufacturer to continuously improve product performance, and air traffic modernization, are other critical elements to achieving carbon-neutral growth beyond 2020 and halving industry emissions by 2050 based on 2005 levels.

"Having these three aviation leaders set aside their competitive differences and work together in support of biofuel development, underscores the importance and focus the industry is placing on sustainable practices," said (ATAG) Executive Director, Paul Steele. "Through these types of broad industry collaboration agreements, aviation is doing all it can to drive measurable reductions in carbon emissions, while continuing to provide strong global economic and social value."

All three companies are affiliate members of the Sustainable Aviation Fuel Users Group, which includes 23 leading airlines responsible for about 25% of annual aviation fuel use. (TBC) and (EMB) are already collaborating on how to establish a sustainable aviation biofuels industry in Brazil and exploring new technology pathways to broaden biofuel sourcing and availability. (TBC) and (EDS) are also active around the globe in helping to establish regional supply chains, while the three manufacturers have all supported numerous biofuel flights since global fuel standards bodies granted their approval for commercial use in 2011.

Embraer (EMB)’s large-sized Legacy 650 executive jet has received type certification (TC) from the Directorate General of Civil Aviation (DGCA) in India, paving the way for Legacy 650 customers to register and operate the airplane in India. “The Legacy 650 is the sixth Embraer Executive Jet model to gain Indian certification,” said José Eduardo Costas, VP Marketing & Sales, Asia Pacific – Embraer Executive Jets. “Launched in 2009, the Legacy 650 is the latest executive jet offered by Embraer (EMB). All of Embraer (EMB)’s executive jets in production today (the entry-level Phenom 100, light Phenom 300, super-mid-size Legacy 600, large Legacy 650 and ultra-large Lineage 1000) are now certified in India.”

This will be the standard configuration of the airplane produced in 2012. The 2012 version of the Legacy 650 features refinements to the interior and cabin management system, including a new full high-definition in-flight entertainment system in order to increase cabin comfort and capabilities. New avionics are designed to reduce pilot (FC) workload while the overall enhancements improve the flexibility and efficiency of airplane operations.

New features include the addition of the Honeywell (SGC) Ovation® SelectTM, alldigital, cabin management system and an 8.9” touchscreen (CMS) passenger control monitor in the galleys for master control of video, audio, lighting, temperature and water. Individual touch-screen controls are also located throughout the cabin. The jet also features improved interior storage, restyled seats with side-pocket storage and greater swivel movement in the third zone.

A new, wireless handset Iridium telephone system is yet another enhancement as are the high-definition video system, media input and iPod and iPhone docking systems. Embraer (EMB) has chosed the Honeywell (SGC) Primus EliteTM avionics suite, to ensure the 2012 Legacy 600/650 is equipped for the changing air traffic control (ATC) system. Embraer (EMB) incorporated FANS 1/A CPDLC, RNP 0.3 WAAS/LPV and coupled VNAV for optimizing airspace use, flight time and lowering fuel burn.

Embraer (EMB) will establish the Embraer Engineering & Technology Center USA as part of its growing aeronautical cluster in Melbourne, Florida. It will be a subsidiary of Embraer Aircraft Holdings Inc, Embraer SA’s wholly owned subsidiary in Fort Lauderdale, Florida, and will mean about +200 new jobs in Melbourne over the next five years.

April 2012: Embraer (EMB) announced a first-quarter net income of +$62.7 million, down -40.4% from the +$106.3 million net income in the year-ago period. The regional jet manufacturer said increased financial expenses coupled with higher income taxes contributed to the poorer results.

Revenues increased to $1.16 billion, compared to $1.06 billion in the year-ago quarter. (EBIT) fell to $85.7 million from $94.3 million. A +10% increase in wages in Brazil at the end of 2011 was the main factor behind cost increase to $71 million from $57.2 million. Selling expenses went up +15% to $108.7 million.

(EBITDA) margins decreased from 14.8% to 12.8%. Commercial aviation business accounted for 65.7% of net revenues, equivalent to $759.7 million.

Throughout the first quarter of 2012 (1Q12), Embraer (EMB) delivered 21 jets to the commercial aviation market and 13 to business aviation. This result surpassed the 20 commercial and eight executive jets recorded in the same period of 2011. On March 31, 2012, the firm order backlog totaled USD 14.7 billion.

A new aviation pact signed between Boeing (TBC) and Embraer (EMB) will be a first step in exploring technological synergies and potential cross benefits, Embraer (EMB) President & (CEO), Frederico Curado said.

Curado and Boeing Commercial Airplanes (TBC) President & (CEO), Jim Albaugh signed the memorandum of understanding (MOU) in Washington, DC during the annual meeting of the USA - Brazil (CEO) Forum.

Speaking at a press briefing, Curado said the two companies shared similar philosophies regarding airplane cockpit design and technological development. Both companies, for example, invest heavily in advancing safety and on the man/machine interface. “[The agreement] is just a recognition that both players are in the same areas and there could be some cross benefits through work sharing, learning and so forth. It’s a non-exclusive agreement, so it does not affect our relationships with each other or anyone else. It’s how to best leverage our efforts in research and development and it’s really a first step,” Curado said.

Curado added there was no specific agenda at this stage. “Let’s see where it takes us. It may lead to the creation of a new technology, but there are no specific goals,” he said.

Embraer (EMB) signed an (MOU) with Airbus (EDS) and Boeing (TBC) in March to collaborate on aviation biofuels development.

Separately, Boeing (TBC) is planning to open an aerospace technologies research center in Sao Paulo later this year, focused on researching biofuels, advanced Air Traffic Management (ATM), advanced metals and bio-materials, and support and services technologies.

Embraer (EMB) signed a memorandum of understanding (MOU) with China’s (ICBC) Financial Leasing Company to create financing opportunities for the sale of commercial and executive jets in China and other markets.

According to Embraer (EMB), the agreement covers up to $2.5 billion of financing over the next five years.

Embraer (EMB) Commercial Aviation President, Paulo Cesar Silva said the rapid development of the Chinese economy has resulted in “high growth rates for regional and executive aviation, making it one of the greatest potential markets in the world. Embraer (EMB) forecasts a demand of 430 commercial jets up to 120-seat and 635 executive jets in China during the next 10 years.”

Embraer (EMB) delivered 21 airplanes in the 2012 first quarter, one more than last year. It reported 1,063 firm commercial jet orders and delivered 823 airplanes, with a firm order backlog of 240 airplanes and 689 options.

(EMB) finalized sales for 12 new commercial jets, comprising 10 E195s to Azul (AZL), one EMB-190 to (BA) CityFlyer, and one E170 to Japan Airlines (JAL)/(JAS). It totaled 189 E170 firm orders with an order backlog of seven airplanes. Republic Airline is the largest operator with 48 airplanes, followed by US Airways (AMW)/(USA) and Saudi Arabian Airlines (SVA).

Embraer (EMB) also recorded 189 firm orders for the E175, with a backlog of 44 airliners. Republic Airline is the top operator with 54 airplanes, followed by Northwest (NWA) (36) and Flybe (BEE) (35).

The 552 EMB-190 firm orders include JetBlue (JBL) (88 airplanes) as the top customer, followed by Hainan Airlines (HNA) (50) and Air Canada (ACN) (45). Order backlog comprises 150 airplanes.

According to Embraer (EMB), it has 133 E195s on firm order with an order backlog of 39. Top customer is Azul (AZL) with 57 airplanes, followed by Lufthansa (DLH) (34) and Flybe (BEE) (14).

(EMB) expects to deliver between 105 and 110 commercial jets this year.

June 2012: Embraer (EMB) named José Antonio Filippo as (CFO), effective June 4. Filippo has worked for important Brazilian and multinational groups, (EMB) said.

Embraer (EMB) has launched a new version of its Historical Center website (http://www.embraerhistoricalcenter.com), creating an online reference database about the emergence of Brazil´s aeronautics industry. Students, aviation enthusiasts and the general public can access the website to research the history and pioneering initiatives that have contributed to raising Brazil to the topmost level of the worldwide aeronautics scenario.

“Our objective is to gather, preserve and publish the history of Brazil’s aeronautics industry, and pay tribute to the people who were, and continue to be, a vital part of this story,” said Pedro Ferraz, Director of the Embraer Institute for Education & Research. “This continuous process of researching and collecting historical information preserves the knowledge and the experiences of several decades for future generations.”

With the same visual identity and navigation capabilities as other websites of (EMB)´s business units, the site offers a modern layout, in a simple, objective and interactive navigation style. The digital architecture supports easy access to (EMB) historical and institutional data, as well as video and photo downloads. The website is compatible with a number of mobile platforms, like iPhone, iPad, and Android.

June 2012: During China´s Prime Minister, Wen Jiabao’s visit to Brazil for the "Rio+20" Conference, in a signing ceremony witnessed by leaders from both nations, Embraer (EMB) and the Aviation Industry Corporation of China (AVIC) signed an agreement to build Embraer’s (EMB)'s Legacy 600/650 executive jets in China, using the infrastructure, financial resources and workforce of their joint venture (JV) Harbin Embraer Aircraft Industry Company, Ltd. (HEAI), which started operations in 2002.

The agreement is based on the understanding of both parties about the potential demand of China’s flourishing executive aviation market, and their wish to extend their decade-long strategic partnership. (HEAI)’s first executive jet is expected to be delivered by the end of 2013.

“Today´s announcement marks another milestone in the history of (EMB)’s long term commitment to China and of Brazil-Sino bilateral relations. This new phase of (AVIC)-Embraer (EMB) partnership corroborates what has been referred to by state leaders of both countries as ‘a model of South-South cooperation’,” said Frederico Fleury Curado, (EMB) President & (CEO).

“The achievement of Sino-Brazil cooperation in the field of aviation is a hard-won, indispensable of the joint efforts from state leaders and the industry players of both countries. The cooperation on executive jets manufacturing, as the continuation of what the two parties have attained via the joint venture, fits in the strategic development of all parties. It is undoubtedly a win-win strategic international cooperation. As the leader of China’s aviation industry, (AVIC) will seize the opportunity to develop a platform building executive jets that will meet the demand of the global and China markets, and ultimately assist China’s executive aviation industry progressing into a new stage,” said Tan Ruisong, President of Aviation Industry Corporation of China.

Embraer (EMB)’s presence in China dates back to 2000, when its Beijing Representative Office was established. In June 2010, in light of its increasing customer base, the Company set up its first wholly owned subsidiary in China, the Embraer (China) Aircraft Technical Services Company Ltd., focusing on after sale support.

To date, Embraer (EMB) has 154 firm orders from China market, with 116 airplanes already delivered. (EMB) accounts for around 78% of China’s regional aviation market and is gaining strength in its executive segment with 18 firm orders for executive jets in the year 2011. The cooperation with (AVIC) on the Legacy 600/650 program further consolidates Embraer (EMB)’s presence in China’s executive aviation market.

Azul (AZL) launched an Embraer E195 demonstration flight June 19 using a 50:50 blend of conventional jet fuel and (AMJ) 700, a renewable fuel produced from the fermentation of Brazilian sugarcane.

The 57-minute flight (which included air transport authorities, industry experts and journalists) flew out of Viracopos-Campinas International Airport (VCP) to Santos Dumont Airport (SDU) in Rio de Janeiro, which is hosting the United Nations (UN) Conference for Sustainable Development (Rio+20).

The demonstration flight was part of the Azul+Verde (meaning a greener blue in Portuguese) Renewable Jet Fuel project, which was jointly developed with Embraer (EMB), (GEC) and Amyris Inc from November 2009.

According to Embraer (EMB), (AMJ) 700 fuel is made using modified micro-organisms that function as living factories, converting sugar into pure renewable hydrocarbon. Such a process results in a renewable jet fuel that, once approved, will meet the most rigorous requirements of the aviation industry as well as the American Society for Testing & Materials.

Amyris (CEO), Paulo Diniz said the company is establishing its first production plant facility in Brazil (scheduled to open in the fourth quarter) to produce 50 million tonnes per year, with 10% of the estimated output designed for the local market.

Azul (AZL) Communication, Brand & Product Director, Gianfranco Beting said that Amyris’ renewable jet fuel (AMJ) 700 is compliant with Jet A/A-1 fuel specifications and could reduce its carbon footprint by up to -82%, according to a study developed in Brazil by the Institute for International Trade Negotiations.

Azul (AZL)’s Institutional Relations Director, Adalberto Febeliano said the price of this biofuel is estimated to float around the current price of kerosene fuel. Diniz said the goal is to make it competitive while having less impact on the environment.

It is now unclear how long it will take to acquire American Society of Testing and Materials’ certification, but production in Brazil is not seen as a problem. “This will be a new option for sugar cane producers, opening up new business opportunities,” Febeliano said, adding, even though (AZL) and (EMB) are testing different biofuel options, sugar cane-derived biofuel seems to present a clear advantage. “It’s a higher level of productivity,” he said.

Embraer (EMB) and Zodiac Aerospace reached an agreement to set up a joint venture (JV) to manufacture cabin interior parts for the E170/E190 family of jets. This jointly operated manufacturing facility will be located in Mexico and reinforces a long-time successful partnership between Embraer (EMB) and Zodiac Aerospace.

“This facility in Mexico will be used to manufacture interiors for our current family of E-Jets and new interiors for tomorrow’s airplanes”, said Artur Coutinho, Embraer (COO). “We have a long-standing partnership with Zodiac Aerospace, and are proud to establish this venture to manufacture new state of the art products which will have been co-developed by (EMB) and Zodiac Aerospace and will maintain the excellent experience passengers have flying Embraer (EMB) airplanes.”

“I’m very pleased with this new step in a long-time successful cooperation between Zodiac Aerospace and (EMB),” said Maurice Pinault, Zodiac Aerospace deputy (CEO).

The establishment of an interiors facility in Mexico represents one more important step in (EMB)´s process of manufacturing globalization. Embraer (EMB) today has industrial facilities in China, Portugal and, most recently, in the USA, where the Company currently assembles the entry level executive jet, the Phenom 100.

The Boeing Company [TBC] and Embraer [EMB) announced an agreement to collaborate on the KC-390 airplane program. Under this agreement, Boeing (TBC) and Embraer (EMB) will share some specific technical knowledge and evaluate markets where they may join their sales efforts for medium-lift military transport opportunities. “Boeing has extensive experience in military transport and air refueling airplanes, as well as deep knowledge of potential markets for the KC-390, especially those which were not considered in our original marketing plan,” said Luiz Carlos Aguiar, President & (CEO) of Embraer Defesa e Segurança. “This agreement will strengthen the KC-390's prominent position in the global military transport market.” The KC-390 collaboration is part of a broader agreement that Boeing and Embraer signed in April. The companies previously announced that they are exploring ways to cooperate in commercial airplane efficiency and safety, research and technology, and sustainable aviation biofuels. Boeing (TBC) and Embraer (EMB) will conduct a joint market assessment for the medium-lift military transport market and analyze business collaboration models. The market assessment includes potential customers that had not been considered in the initial market prospects for the KC-390. “Embraer is a leading global innovator and we both understand the value of working in partnership to provide high-quality, affordable customer solutions,” said Dennis Muilenburg, President & (CEO) of Boeing Defense, Space & Security. “This collaboration matches Boeing’s proven excellence in military transport with Embraer’s KC-390 accomplishments to further advance this highly capable and efficient medium-lift airplane.” The KC-390 is a Brazilian Air Force project for which Embraer (EMB) signed the development contract in April 2009. It is the biggest airplane to be manufactured by the Brazilian aerospace industry and will set new standards in the medium-lift market in terms of performance, cargo capacity, flexibility, and life cycle costs. Boeing (TBC) has had a strong and enduring partnership with Brazil for 80 years, delivering the first F4B-4 fighters to the Brazilian government in 1932 and providing commercial airplanes to Brazilian airlines since 1960. Boeing opened its office in São Paulo in October.

Embraer (EMB) has delivered the first two E190 jets to the Ukrainian Aviation Group Alliance (UAG), in a ceremony at (EMB)’s headquarters in São José dos Campos, Brazil. The airplane will be operated by Dniproavia (UDN), on behalf of AeroSvit (UKA), both of which are members of the (UAG), mainly serving the airline’s international regional network from its Kiev Boryspil airport (KBP) hub. Three other E-Jets are scheduled for delivery by the end of the year.

(UAG) selected the E190 as part of the (UAG) alliance’s fleet replacement for older, narrow body jets, as it looks to right-size some routes and also develop its international regional network with new routes, and provide increased frequencies on others. The E190 will be configured in a dual-class layout with comfortable Elite seats.

“The E190 perfectly fits AeroSvit (UKA)’s strategy of growing with the right capacity to access new markets and help it build a stronger and more competitive network,” said Paulo Cesar Silva, Embraer (EMB) President, Commercial Aviation. “Kiev is geographically well-positioned and the E190 will provide them access to a wide range of cities and introduce high quality service to their customers.”

Currently, up to 20 ERJ-145s jets are in Dniproavia (UDN)’s fleet in Ukraine. The Kiev-based charter carrier and wet-lease (ACMI)-provider, Windrose Aviation (WRC), also has one E195, which is wet-leased to (UAG) member carriers. Following delivery to (UAG) of all five new EMB-190s, the Ukraine will be home to over >25 Embraer commercial airplanes.

Gregory Gurtovoy, AeroSvit (UKA) Chairman, highlighted the mission of the new E190: “The airplane will be operated by Dniproavia (UDN), on behalf of AeroSvit (UKA), and will serve to enhance our overall product offering and improve our operational efficiency. This is very important, in light of the soon-expected "Open Skies" agreement between the European Union (EU) and Ukraine. The E190s will also fly to destinations in the (CIS) and the Middle East, providing excellent passenger comfort, transit baggage capacity and range that will enable us to compete with both legacy and low-cost carriers (LCC)s. With our good experience in the E195 commercial use for (UAG), I’m confident that the brand-new E190s will deliver even more exceptional performance.”

Since the E-Jets entered revenue service, in 2004, Embraer (EMB) has delivered nearly 850 of them to more than >60 airlines from 42 countries around the world. The versatile 70 to 120-seat, four-airplane family is flying with (LCC)s, on regional services and with mainline carriers. The E-Jets order book registered 1,063 firm orders as of March 31, 2012.


July 2012: Embraer (EMB) reported second-quarter net income of +$54.3 million on revenues of $1.7 billion, down from +$204.7 million in net income in the prior-year period. The company said the profit decline was primarily due to the negative impact of deferred income taxes generated by the 11% appreciation of the USA dollar against the Brazilian real, which cost the company $132.2 million.

Its commercial aviation segment generated 68.5% of total net revenues ($1.1 billion) against 15.5% input by defense and security and 15.2% by its executive aviation segment. In last year’s second quarter, commercial aviation generated $888.2 million, or 65.7% of total net revenues.

(EMB) delivered eight E175s, five E195s and 22 E190s in the quarter, totaling 35 commercial airplanes, up from 25 last year. The backlog comprises 1,058 firm orders and 596 options, with 858 deliveries to 60 airlines from 42 countries since its family of E-Jets took off in 2004.

Highlights of the period included the acquisition of five additional E190s by China’s Hebei (NTE) and the first E190 deliveries to the Ukrainian Aviation Group Alliance, which will be operated by Dniproavia (UDN) on behalf of AeroSvit (UKA).

The unaudited consolidated financial and operating statements, presented in accordance with (IFRS), also show an accumulated delivery of 56 commercial airplanes for the first half of 2012, revenues totaling $2.8 billion in the period. Commercial aviation generated 67.4% of this total, or $1.9 billion. Total debt as of June 30 increased by $167.6 million year-over-year to $2.1 billion, the result of a cash-intensive management strategy emphasizing working capital to support ongoing operations.

(EMB) issued a total of $500 million in senior unsecured notes in June. Its total cash position at the end of the period grew by $156 million year-over-year. (EMB) said it is “on track to meet 2012 projected deliveries and revenue guidance.”

(EMB) delivered two E190 airplanes to the Ukrainian Group Alliance, to be operated by Dniproavia (UDN) on behalf of AeroSvit (UKA) to mainly serve the carrier’s international regional network from its Kiev Boryspil hub. Three additional E-Jets are scheduled for delivery by the end of the year.

Embraer (EMB) announced an order from China’s Hebei Airlines (NTE) for five E190s, a deal valued at $226 million at list prices.

The E190s will be delivered by the end of 2013 and will join two E190s in service with (NTE) since January. Embraer (EMB) said these airplanes are operating around 70 flights per week with an average reliability of 99.5% and a 100% completion rate.

August 2012: Embraer (EMB) is carefully preparing for a narrow body airliner that could succeed a re-engined and possibly re-winged E-Jet family sometime after 2025.

Early concepts showing a new airliner with high-aspect ratio wings and ultra-high-bypass ratio engines mounted over the aft fuselage between a noise-shielding split-tail were revealed by Embraer (EMB) in a presentation at the Latin American Business Aviation Conference & Exhibition (LABACE) in Sao Paulo in mid-August.

However, the new configurations are likely only initial designs. Antonini Puppin Macedo, a conceptual airplane designer for (EMB), calls them "very preliminary." But they offer a window into (EMB)'s ongoing effort to prepare to defend its hard-won turf in the commercial airplane sector against new competitors from China, India, Japan and Russia.

(EMB) had been close to launching a new narrow body airliner until last November, but then took a step back to avoid challenging the re-engined and upgraded 737-7 Max and A319neo in the 130-seat class.

(EMB) instead decided to re-engine its current E-Jet family that occupies the market segment just below the 120-seat threshold, with entry-into-service (EIS) scheduled no later than 2018. But it is clear that decision only postponed (EMB)'s goal to eventually field an all-new narrow body aimed at the 130-seat market, provided that Airbus (EDS) and Boeing (TBC) vacate the segment, with their all-new narrow bodies in the future, ranging between 150 - 220 seats.

Macedo's presentation revealed that (EMB) is steadily and deliberately working on the technologies that will be necessary to compete for orders in a market segment that has been dominated by the Airbus-Boeing duopoly for 25 years.

The presentation showed pictures of new laboratories managed jointly by (EMB) and Brazilian universities. One slide showed an image of a laboratory focused on developing manufacturing techniques for low-weight composite materials. Another slide revealed a facility aimed at developing automated drilling systems for a complete fuselage barrel.

Macedo also described (EMB)'s methodical development of fly-by-wire technology, which is typical of the airframer's strategy to make incremental advances with every new product. (EMB) first developed a rudimentary fly-by-wire system with Aeritalia (now AleniaAermacchi) for the (AMX) fighter-trainer. The next system that appeared on the 170 airliner was a partial, open-loop fly-by-wire governing pitch and yaw but not roll, as the ailerons are controlled by a hydro-mechanical system.

With the Legacy 500, (EMB) is integrating (with acknowledged difficulties) a closed-loop, three-axis fly-by-wire system for the first time. However, the system on the Legacy 500 and its sister 450 airplane, developed by Parker Aerospace, could be the last time (EMB) outsources the system. The KC-390 airlifter offers (EMB) an opportunity to develop its own software for the flight control computer, which translates the sidestick inputs to the control surfaces and monitors the feedback.

By the time (EMB) unveils an all-new commercial airplane, it will have steadily matured an almost entirely in-house capacity to design and integrate a fly-by-wire control system. Meanwhile, (EMB) has steadily increased its usage of composites to now include all primary control surfaces and the fuel-carrying sponson of the KC-390. (EMB) also is building a composite manufacturing facility in Evora, Portugal. "When it comes to the point of using these technologies, it's all linked," says Mauro Kern, Executive VP Engineering & Technology. "There's consistency to what's being developed in [the research and technology portfolio] to what's being used in the next programs," Kern says.

(EMB)'s strategy is shaped by developing performance improvements and new technologies that reduce the cost of operating the next generation of commercial airplanes, especially in terms of fuel cost. Each year, a technology roadmap with a 10- to 15-year horizon is reviewed and updated, Kern says.

"We have today 40 (a little over 40) different [research & technology] projects going on here in several different areas - cabin comfort and biofuels, for example," he explains. "We understand that in some areas we are maybe at the forefront of the technology already. In others, we are lagging behind, so we need to catch up."

September 2012: With the arrival of the first wing and fuselage in late August, Embraer (EMB) Executive Jets’ assembly facility in Melbourne, Florida has added production of the Phenom 300 light airplane to the two-shift assembly operation. Full development of the assembly line, including the addition of the Phenom 300, will be completed in the first quarter 2013.

“We have added the Phenom 300 to bring production closer to our customers,” said Phil Krull, Managing Director of the facility. “Customers have been benefiting from the delivery of the entry-level Phenom 100 produced in Melbourne since last year and we are now ready to expand these operations.”

Since its recent arrival, the fuselage and wing of the Phenom 300 have been readied for the commencement of assembly. Workers have been preparing all work instructions and tooling and have completed training at Embraer (EMB) Executive Jets’ production facility in Gavião Peixoto, Brazil. The Melbourne assembly facility has also completed hiring the necessary personnel to accommodate the addition of the Phenom 300. The current complement of assembly personnel now stands at 160. The employee complement for both the assembly and customer centers is now 233.

The addition of the Phenom 300 to the assembly line comes as Embraer (EMB) is developing the Embraer (EMB) Engineering & Technology Center USA at its growing aeronautical complex in Melbourne. Scheduled for completion in 2014, the Engineering Center will add another 200 jobs over the next five years.

The Phenom 100 and Phenom 300 assembly line has the ability to ultimately produce eight airplanes per month in a mix of the two airplanes produced on a single assembly line. The first USA-assembled Phenom 300 is scheduled for delivery in March 2013, one of more than >12 scheduled for production in Melbourne in 2013. The production certificate recently granted by the Federal Aviation Administration (FAA) for the Phenom 100 will be expanded to include production of the Phenom 300.

Embraer (EMB) opened two manufacturing centers in the Portuguese cities of Évora; Embraer Metálicas and Embraer Compósitos.

The two centers will manufacture complex airframe structures and components in metallics and composites and are valued at €100 million /$129.8 million and €77 million, respectively.

Construction on the 37,100 sq m and 31,800 sq m facilities began in 2010. They are expected to reach full production capacity in the second quarter of 2013.

Conviasa (VCV) has taken delivery of its first of six Embraer E190s ordered in July, in a deal that includes 14 options. The contract also includes a flight simulator and a logistics package to support operations for the next five years.

According to Embraer (EMB), the deal is worth $271.2 million at list prices, based on January 2012 economic conditions, and could total as much as $904 million if all options are confirmed.

October 2012: Singapore-based, (BOC) Aviation (SIL) will lease two Embraer E190s to (TUI) Travel (TUG) for its Belgian Jetairfly (TUB) subsidiary. The E190s will be delivered in the first half of 2013. The E190s, which will be configured with 112Y slimline seats in a single-class layout, will provide more capacity on lower-demand routes.

Jetairfly (TUB) Chairman, Elie Bruyninckx said, “With the E190, we can reduce the number of costly triangle and intermediate-stop flights that are necessary with our larger airplanes to consolidate loads in smaller markets. That means more nonstop flights and shorter travel times for our passengers.”

October 2012: Embraer (EMB) reached a significant milestone, with the delivery of its 900th E-Jet, an E190, to Kenya Airways (KEN). The E190 airplanes are configured in a dual-class layout with 96 seats: 12C in business class and 84Y in economy. They feature individual screens for every seat, with In-Flight Entertainment on demand. This airplane joins (KEN)’s existing fleet of twelve Embraer airplanes, comprising a mixture of five E170s and seven E190s. (KEN) has seven more E190 airplanes on order with a delivery each month between now and February 2013. The airplanes are operated from its Nairobi hub.

Embraer (EMB) has achieved two major milestones for its business within China. One is the previously announced deal to build Legacy 600/650 airplanes at the state-owned Harbin Aircraft Plant in the north of the country. The other was the signing of an agreement at the (NBAA) 2012 for the establishment of an authorized service center for Embraer (EMB) executive jet airplanes in the city of Tianjin.

The official agreement is between (EMB) and ExecuJet Asia, and was signed at the Orlando County Convention Center by Execujet’s Graeme Duckworth and Guan Dongyuan, President of Embraer China. “The agreement is part of our commitment to continuously improve our services to meet the demands of (EMB)’s increasing customer base in the Chinese market. We have full confidence in our partnership with ExecuJet Haite,” said Guan.

The service center initially will be located in a temporary facility in Tianjin while a new permanent base is built at Tianjin Airport. This will be (EMB)’s first authorized service center in mainland China. Another center already exists in Hong Kong. This new facility will service Legacy 600/650 and Lineage 1000 airplanes.

(EMB) executives also stated that they fully expect that other models of airplanes will be both supported and manufactured in China. Ernest Edwards, President of Embraer Executive Jets, made it clear that the company remains committed to a worldwide network of manufacturing and service centers — and that there are now production lines located in four different nations: Brazil, the USA, Portugal, and China.

AirFrance Industries (AFI)/(KLM) (E&M) and Lufthansa Technik (DLH) (LTK) agreed to launch a joint offer for providing Embraer EMB-Jet family component support. The two companies are now developing a business model for the product, which may expand to offer services beyond component support. Their existing (JV), "Spairliners" will develop the project.

Coopesa (COO) has performed a 72-month Corrosion Prevention & Control Program (CPCP) check on one Embraer E190 airplane in San Jose, following recent approval from the (FAA) and the (DGAC) Authorities from Panama, Colombia and Costa Rica to perform maintenance services on E170/E190s.

November 2012: Embraer (EMB)’s Legacy 600/650 program reached a significant milestone with the delivery of the 200th airplane of the Legacy family, a Legacy 650 large executive jet, to China’s Minsheng Financial Leasing Company Ltd (MSFL). This airplane, one of the 13 Legacy 650s ordered by (MSFL) in October 2011, will be used by an anonymous Chinese customer. As one of the largest financial institutions providing executive jets leasing services in China, (MSFL) ordered three Lineage 1000 ultra-large Lineage 1000 executive jets as well. “The Legacy 600/650 family has been well recognized by customers worldwide since the first Legacy 600 delivered in early 2002,” said Ernest Edwards, President, Embraer Executive Jets.

The large Legacy 650 can accommodate up to 14 passengers in three distinctive and spacious cabin zones. The jet’s range is 3,900 nautical miles/7,223 km, affording nonstop distances such as Beijing to Dubai and Hong Kong to Adelaide (Australia), with four passengers under (NBAA) (IFR) conditions. The jet’s enhanced interior features a new cabin management system, reduced noise levels and avionics advances that equip the aircraft for the future air traffic control system. Seats that convert to sleeping berths, a fully equipped wet galley and the largest in-flight accessible baggage compartment in its class are other value-added highlights for this large executive jet with transoceanic capability.

December 2012: Embraer (EMB) received Interstate Aviation Committee type certificates for its 112 to 124-seat E190 and E195 jets to operate in Russia and the (CIS). “This is a significant milestone in the program that now allows prospective customers in Russia to add E-Jets to their fleets,” (EMB) President & (CEO), Paulo Cesar Silva said. “We see tremendous potential in the Russian market, which has such a rich aviation history. I’m confident that these two E-Jets can bring new operating efficiencies to Russian airlines and help them succeed in a fast-growing domestic market.”

Embraer (EMB) forecasts domestic airline passenger volume in Russia to grow at an average of +5.6% annually over the next 20 years and sees a market for 445 new 30- to 120-seat airplanes over the forecast period.

The Nigerian government recently confirmed it is in talks with Embraer (EMB) to acquire new airplanes.

Embraer (EMB) broke ground on its $26 million Engineering & Technology Center at Melbourne International Airport in Florida, USA, late last month. It is expected to open by mid-2014.

(EMB) said the 67,000 sq ft facility will be a state-of-the art center with 3D computer-aided design, computational fluid dynamics, finite element modeling, 3D virtual reality center, prototype capabilities, laboratories and other test equipment.

The facility also include a 58,000 sq ft customer center and an 80,000 sq ft assembly and paint center for its Phenom 100 and Phenom 300 business jet airplanes.

Embraer (EMB) Managing Director, Walter Pinto said the strategy “is to increase the scope and depth of our Engineering capacity extending it globally and enabling Embraer (EMB) to take full advantage of the engineering talent and resources throughout the world.”

Embraer (EMB) Executive Jets has enlarged the authorization scope of ExecuJet Middle East as an Embraer Authorized Service Center (EASC). The service center, located at Dubai International Airport, is now authorized for line maintenance on the ultra- large Lineage 1000 and for base maintenance on the Phenom 300 light jet. ExecuJet Middle East was first appointed as an Embraer Authorized Service Center (EASC) in October 2010.

“Having ExecuJet Middle East in our network of authorized service centers is a great advantage as they are committed to delivering an excellent service to our customers,” said Pedro Paiva, VP Customer Support & Services Europe, Middle East & Africa – Executive Jets. “Company skill, combined with the existing (EMB) on-site stock of spare parts available at their facilities in Dubai, already provides our Phenom 300 and Legacy 600 / 650 customers with comprehensive support in the region. In addition, the inclusion of Lineage 1000 line maintenance capability gives our customers a further option in the Middle East region for this model.”

ExecuJet’s enhanced maintenance level capability consolidates (EMB)’s customer support and services network in the buoyant Middle East market where (EMB) Executive Jets already has authorized service centers in Abu Dhabi and Dubai, plus a dedicated spare parts distribution center in Dubai. (EMB), which has provided base maintenance services for the Legacy 600 and the Legacy 650 since March 2011, becomes the second service center in the region to provide support for the Lineage 1000.

Fuji Dream Airlines (FDA) has placed an order for two additional Embraer E175s valued at $81.6 million. (FDA), which has now ordered eight E-Jets, will use the airplanes to expand its network and services throughout Japan.

The E175s, which will be configured with 84Y seats in a single-class layout, will be equipped with auto-land systems to perform CAT III approaches and land in limited visual conditions.

(FDA) launched operations in July 2009. Prior to its launch, it ordered two E170s and added an E175 to its backlog before the end of 2009. In 2010 - 2011, it further increased its order book to include another E170 and two more E175s.

(FDA), which has bases in Nagoya and Shizuoka, serves 10 secondary cities in Japan using its six E-Jets and has carried more than >1.3 million passengers to date.

January 2012: Taikoo (Shandong) Aircraft Engineering (STAECO) was named by Embraer (EMB) as an authorized service center for the EMB-Jets family in Ji’nan, China. (STAECO) will now provide line and heavy maintenance services for the Embraer (EMB) airplane family in accordance with China Civil Aviation Regulation Part 145 standards.

Embraer (EMB) has confirmed re-engined, upgraded versions of its E170 and E190 family of regional jets will be exclusively powered by Pratt & Whitney (PRW) geared turbofan engines.

Embraer has signed a contract with Aldus Aviation Limited, the Irish lessor, for the sale of 20 E-Jets, five E175s and 15 E190s. The contract also includes 15 purchase rights for any E-Jet family model. The deal can reach a total of USD 1.56 billion, in 2012 economics conditions. The firm orders are already included in Embraer (EMB)’s 2012 fourth quarter backlog, where it was listed as an “undisclosed” customer.

(EMB) has not yet officially launched the program for what it is calling its “future, second generation of E-Jets.” But in announcing the engine selection, which marked a big win for (PRW) over GE Aviation (GEC), Embraer (EMB) revealed some details of the revamped EMB-Jets set to enter service in 2018.

Pratt (PRW) said (PW1700G) and (PW1900G) models (the same family of engines powering Bombardier (BMB)’s CSeries, among other programs) would be affixed to the upgraded E-Jets. The current generation of E-Jets is powered by (GE) (CF34) engines.

In addition to the new engines, the next-generation E-Jets will feature “new aerodynamically advanced wings, state-of-the-art full fly-by-wire flight controls and other systems evolutions,” Embraer (EMB) said.

(EMB) is promising “double digit [percentage] improvements in fuel burn, maintenance costs, emissions and external noise” compared to E-Jets flying today. It added, “The second generation of E-Jets will be a significant step in Embraer (EMB)´s commitment to continuously invest in this line of commercial jets. Embraer (EMB)'s objective is to offer the best product and maintain its leadership in the 70 - 120 seat market.”

Embraer (EMB) delivered 106 commercial airplanes in 2012, compared to 105 in 2011, including 23 commercial jets and 53 business jets in the fourth quarter. Commercial jet deliveries in the last three months of 2012 comprised one E170, three E175s, 10 E190s and nine E195s, nine less than the 32 commercial airplanes it delivered in the year-ago quarter.

For the full year, it delivered one E170, 20 E175s, 62 E190s and 23 E195s.

Embraer (EMB)’s firm backlog stood at $12.5 billion at the end of last year, down -18.8% year-over-year. Its backlog total includes an order for five E175s and 15 E190s from an undisclosed customer.

Republic Airways Holdings has ordered 47 Embraer (EMB) E175s, plus 47 options. If all options are exercised, the value of the order could reach $4 billion at list prices. Delivery is scheduled to begin in mid-year.

The new airplanes will be operated by Republic Airlines, a Republic subsidiary, under the American Eagle brand in the American Airlines (AAL)’s regional network. Because (AAL)’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.

The 76-seat E175s will be configured in a dual-class layout - - SEE ATTACHED - - "EMB-E175 - AAL 2013-01."

February 2013: Embraer (EMB) estimates it will deliver between 90 and 95 commercial jets in 2013, a slight decrease from 106 airplanes delivered in 2012. In its latest outlook, Embraer (EMB) said that executive jet deliveries are expected to grow from 77 light jets to between 80 and 90 airplanes, and from 22 large jets to between 25 and 30 large airplanes. Total net revenue is estimated to be between $5.9 and $6.4 billion, of which commercial aviation is expected to generate from $3.2 billion to $3.3 billion, representing 52% of the total.

The executive jet segment is expected to contribute from $1.4 billion to $1.6 billion, estimated 25% of the total, while defense and security should put in 21%; other business will make up the remaining 2%.

Embraer (EMB), which ended 2012 with a $12.5 billion backlog, will release its earnings results on March 22.

Honeywell (SGC) won a contract valued at $2.8 billion from Embraer (EMB) to supply its Primus Epic avionics system for the second generation of E-Jet airplanes. The re-engined, upgraded airplane family program is expected to launch later this year with entry into service (EIS) in 2018.

The Honeywell (SGC) Primus Epic 2 integrated avionics system includes synthetic vision and advanced flight management to increase situational awareness and allow for more fuel-efficient, direct approaches at airports. The five 8x10 inch displays on the current generation of E-Jets will be replaced by four 13x10 inch large landscape displays and Honeywell (SGC)’s Next Generation Flight Management System will provide enhanced flight planning, navigation and aircraft performance capabilities.

The re-engined E-Jet family will be powered exclusively by Pratt & Whitney (PRW) geared turbofan engines. Embraer (EMB) said it would select a supplier for dual head-up displays (HUD)s later this year.

Embraer (EMB), Azul (AZL) and TRIP Linhas Aéreas (TIB) have signed a renewal and expansion contract for the Pool services, for support on more than 350 spare parts and all repairable components of the hydraulic, mechanical, pneumatic, electronic and propulsion systems for their E-Jets. The renewal means the $400 million agreement will be extended until 2020.

March 2013: Embraer (EMB) reported a 2012 net profit of +$348.6 million, significantly widened over +$120.4 million in net income in 2011, on a +6.5% rise in revenue to $6.18 billion.

(EMB) reversed a 2011 fourth-quarter net loss of -$88.6 million to earn a +$122.7 million net profit in the 2012 December quarter. (EMB) delivered 106 commercial airplanes in 2012, one more than the 105 delivered in 2011. Deliveries in 2012 were led by 62 E190s. “The mix of products and revenues for the year, the company’s ongoing focus on its programs directed towards improving productivity and efficiency, the appreciation of the USA dollar against the real, as well as the stimulus packages implemented in Brazil” all helped improve operating margin, Embraer (EMB) said.

Embraer (EMB) has unveiled three new suppliers for its next-generation E-Jets, which are scheduled to enter service in 2018. All three are (UTC) Aerospace Systems companies.

Pratt & Whitney (PRW) will provide its AeroPower´s (APS2600[E]) auxiliary power units (APU)s. (UTC)’s Wheels & Brakes unit will provide the main wheel, nose wheel and carbon brakes. (UTC) will supply the main and auxiliary electric power generators, main and secondary electric power distribution, emergency electric generation system, batteries and converters.

Last month, Embraer (EMB) selected Honeywell (SGC) to supply its Primus Epic 2 integrated avionics system and Pratt & Whitney (PRW) to provide the powerplant.

The company reiterated that it continues analysis of a second generation E-Jet “with a potential entry into service (EIS) scheduled for 2018.” Embraer (EMB) said in January that the re-engined, upgraded versions of its E170 and E190 family of regional jets (not yet officially launched) will be exclusively powered by Pratt & Whitney (PRW) geared turbofan engines.

Embraer (EMB) said 56 new E-Jets were sold in 2012. Full-year commercial aviation revenue was essentially flat year-over-year at $3.75 billion. Commercial aviation generated 64.6% of the company’s revenue last year.

Embraer (EMB) formally added the previously announced Republic Airways order for up to 94 E175s to its first-quarter backlog. The purchase agreement comprises 47 firm orders and options for an additional 47. The USA Bankruptcy Court earlier this month approved the capacity purchase agreement. Republic will operate the 76-seat E175 airplanes under the American Eagle brand in the American Airlines (AAL) regional network. The purchase agreement was originally announced in January. American Eagle pilots (FC) in February filed a formal objection to the capacity purchase agreement with Republic.

April 2013: United Airlines (UAL) has inked a firm order for 30 Embraer E175 jets plus 40 options. If all options are exercized, the combined order for 70 airplanes has an estimated value of $2.9 billion at current list prices. The E175s, which will be operated under the United Express brand (SEE PHOTO - - "EMB - E175 - UNITED EXPRESS-2013-05"), will be configured in a 76Y-seat layout. The first delivery is scheduled for the first quarter of 2014. (UAL) VP, Chairman & Chief Revenue Officer, Jim Compton said the E175s are part of (UAL)’s fleet modernization plan.

May 2013: Embraer (EMB) said its E-Jet family has achieved 10 million flight hours since 2004. The airplane family completed seven million flight cycles, with an average mission conclusion rate of 99.9%. Nearly 1,000 jets have been delivered to 60 airlines in 43 countries around the world, with 1,200 firm orders.

(CEO) Embraer Commercial Aviation, Paulo César Silva said, “The high utilization of the airplanes contributed to reaching this mark just nine years after the first revenue flight.” In a company statement, Silva said one of the manufacturer’s clients is flying each of its Embraer (EMB) airplanes an average of 12 hours daily.

The company said some airlines do not restrict E-Jets to short-haul routes only. “Virgin Australia (VOZ) operates E190s on nonstop flights between Perth and Cocos (Keeling) Islands, “a leg that is in excess of four hours over water,” while Air Canada (ACN) flies E190s on routes “that take nearly five hours of flight time,” he said.

NetJets (EXF) took delivery of its first Embraer (EMB) Phenom 300 light-cabin business jet this month, the first of up to 125 Phenom 300s scheduled to be delivered to the private jet operator.

SkyWest Inc signed an agreement with Embraer (EMB) to acquire up to 200 E175 regional jets, a deal that could be worth up to $8.3 billion if all options are confirmed.

The St George, Utah-based regional airline group for SkyWest Airlines and ExpressJet Airlines has a firm order for 40 E175 jets, with another 60 firm orders for "re-confirmable" E175s, according to Embraer (EMB). The sale also includes options for an additional 100 E175 jets, taking the total potential order to 200 airplanes.

SkyWest will operate the 40 confirmed E175s under a Capacity Purchase Agreement (CPA) with United Airlines (UAL). The order marks another USA-based win for (EMB), after (UAL) agreed to purchase 30 of its E175 jets in April and American (AAL) agreed to an order of 47 E175s earlier this year. (EMB) has scheduled delivery of the first airplane to SkyWest for the second quarter of 2014.

As the Legacy 500 has achieved over >300 flight test hours, Embraer (EMB) Executive Jets is debuting its latest, game-changing airplane at the 13th European Business Aviation Convention & Exhibition (EBACE), at Geneva, Switzerland. This is the first time the midsize jet has made a public appearance outside of Brazil and is expected to be a highlight of this year’s show.

At the same time, Embraer Executive Jets will also be premiering a cinematic-style film starring the Legacy 500, illustrating how the Company is bringing tomorrow’s airplane to the market today. The film also features a special guest appearance to be revealed at its premier. “Embraer Executive Jets has already created a lot of comments about the Legacy 500 and now people can take a look at this remarkable airplane for themselves,” said Ernest Edwards, President, Embraer Executive Jets. “The airplane is no longer a concept and its debut is a very significant milestone for the company. We have three prototypes flying and our confidence in its maturity is such that we have flown Serial Number Three to Geneva. The Legacy 500 is the perfect illustration of what makes us different. Our mission is to bring amenities normally found in larger, more expensive jets to all levels of business aviation and, in doing so, have brought changes to the entire industry. The Legacy 500 will continue what has become our role in the industry and that is to raise the bar across the entire class spectrum and drive the change the 21st Century business aviation user is seeking.”

With three prototypes in flight test, over >30% of the flight test campaign has been completed. The Legacy 500 is making swift progress since Serial Number One made its maiden flight on November 27, 2012. The campaign began in December and pilots (FC) are reporting outstanding flying qualities that have exceeded expectations. It is being used for performance flights and systems tests. Serial Number 2, which took to the air in February 2013, has finished the In Flight Thrust Determination (IFTD) tests and is continuing with additional performance and systems tests. Serial Number 3, which joined the test campaign in March, has passed cold soak tests at Eglin Air Force Base in the USA and is the airplane now on display at (EBACE).

Development of the mid-light, Legacy 450 is proceeding on schedule with the first flight expected in the second half of 2013. The Legacy 450 fuselage is now being assembled and will soon be mated to the wings which have already been produced.

The Legacy 450 and Legacy 500 are two of the first clean-sheet designs in the mid-light and midsize categories in 15 years. Scheduled to enter service in the first half of 2014, the Legacy 500 has already won several international design and innovation awards. It is the first midsize jet with full fly-by-wire technology for complete envelope protection and improved comfort, efficiency and reduced pilot (FC) workload resulting in even more safety. The Legacy 500 is the first midsize jet with a six-foot/1.82 meter, stand-up cabin, offering the best cabin volume in the class. It is the only midsize jet with a wet galley. It offers the best high-speed cruise and the best cabin pressurization at 6,000 feet to ease jet lag.

Embraer Executive Jets announced at the 13th European Business Aviation Convention and Exhibition (EBACE – http://www.ebace.aero), the sale of the first super-midsize Legacy 600 with a new cabin interior and new Honeywell (SGC) Primus Elite avionics. The airplane will be operated by AIR HAMBURG, a leading German-based business charter operator, serving European, Russian, and Middle East destinations. The delivery is planned for the second semester of 2013.

“AIR HAMBURG started receiving requests for charter flights to destinations that were out of reach for our current fleet. Its limited baggage capacity and range made the step into the super-midsize category necessary to fullfil customer needs,” stated Floris Helmers, (CEO) of AIR HAMBURG. “That’s why, after evaluating the market of new airplanes in the super-midsize category, the Legacy 600 was the best choice.”

The Legacy 600 offers three comfortable cabin zones that allow up to 14 passengers to work or rest in a spacious area. The new interior includes the Honeywell (SGC) Ovation® SelectTM, all digital, cabin management system and a state-of-the-art system that is also offered on the Legacy 650 as well as the Legacy 500 and Legacy 450. It features a full, high-definition video system and media input and includes iPod and iPhone docking systems, (USB), (HDMI), (VGA) and Composite Video ports, blu-ray player and a 3-D moving map. There is an 8.9” touchscreen (CMS) control monitor in the galley for master control of video, audio, lighting, temperature and water and individual touch screen controls located throughout the cabin.

Two 17.5” (LCD) monitors come standard but customers can choose from a number of monitor options including up to a 32” credenza version, 24” bulkhead configuration or individual seat monitors. These can be complemented by a crisp, two-zone surround sound. In addition to the Ovation SelectTM system, Embraer (EMB) has improved the cabin acoustics comfort with a 5 dB SIL noise reduction, the interior storage and added a new, wireless handset Iridium telephone system. The company is also offering restyled seats with side-pocket storage and greater swivel movement in the third zone.

Improvements are not limited to the cabin and are designed to reduce pilot (FC) workload as well as improve the flexibility, efficiency and safety of airplane operations. The cockpit features improved avionics with the Honeywell (SGC) Primus EliteTM. The Elite system includes (LCD) displays and a Cursor Control Device (CCD) as well as charts and map capability and XM Weather. (EMB) also incorporated (VNAV) and (RNP) 0.3 for optimizing airspace use, flight time and fuel burn. (WAAS)/(LPV) along with (CPDLC) (FANS) 1/A, which enables satcom-based (ATC) communications for trans-oceanic flights are available as options as are Smart LandingTM and Smart RunwayTM surface awareness and advisory system.

The Legacy 600 entered service in 2002. With a range of 3,400 nautical miles/6.297 km, it can fly with 14 passengers, under (NBAA) (IFR) conditions, nonstop from Hamburg to Moscow, or from Hamburg to Dubai. The Legacy 600 can also achieve ranges of Hamburg to Delhi or Hamburg to Gander with four passengers under (NBAA) (IFR) conditions. Today, more than >200 Legacy 600/650s are flying around the world.


In 2001, young entrepreneurs Floris Helmers and Alexander Lipsky founded Hamburg-based flight school FLUGSCHULE HAMBURG. In 2005 they went on to launch AIR HAMBURG to enter and develop a new market with single and twin-engine airplanes, serving routes to the islands of Sylt, Helgoland, Juist, and Norderney. Then the company started receiving requests for charter flights to destinations that were out of reach for its current fleet. This was the trigger to operate the first citation bravo to start with corporate jets in 2007. By now the company operates four XLS+, two CJ3, one 525, two Bravo and one King Air (B200) airplanes. AIR HAMBURG is one of eight top European business jet operators to join forces to create the world’s first ever corporate jet alliance, AirClub. As pioneers in their industry, the operators have joined forces to create one of the largest fleet of corporate jets worldwide, offering their customers even more flexibility and availability, whilst enhancing premium customer service.

The ultra-large, Embraer Lineage 1000 executive airplane achieved steep-approach certification of 5.5 degrees from Agência Nacional de Aviação Civil (ANAC) and the European Aviation Safety Agency (EASA), Embraer Executive Jets. "This is yet another milestone in the development of the industry’s most versatile, ultra-large jet,” said Ernest Edwards, President, Embraer Executive Jets. “With the steep-approach certification, the Lineage 1000 will be able to access airports in many parts of the world where steeper approach angles are required owing to noise or terrain restrictions. This is key to operations at London City Airport and steep-approach certification increases the versatility, as well as the value of this airplane significantly. The capability at London City affords customers non-stop service from to Moscow, Istanbul, Cairo, Canary Islands and Reykjavik or, one stop to Los Angeles, Tokyo and Hong Kong.” The award-winning Lineage 1000 is the first 21st Century airplane in its class and offers fly-by-wire flight controls. With the most flexible interior of any ultra-large jet completed by a manufacturer, the Lineage 1000 is the only airplane offering five cabin zones. The Lineage 1000 can include a bedroom and en-suite shower and has the largest in-flight-accessible baggage compartment of any business jet.
- - SEE PHOTO - - "EMB-LINEAGE 1000 EXEC JET - 2013-05."

June 2013: At the Paris Air Show, (ILFC) (ILF) became the lessor launch customer for the Embraer E-Jets E2 family, signing a letter of intent (LOI) for the purchase of up to 100 E-Jets.

Embraer (EMB) owned the first day of Paris with potential orders for 365 next-generation E2 small- and medium-sized passenger jets. Embraer (EMB)'s strong showing highlights the importance of small- and medium-sized regional passenger airplane for the world aviation market. The Embraer E-Jets E2 airplane family comprises three new commercial airplanes: - - the E175-E2 that seats as many as 88 passengers, the E190-E2 that seats as many as 106, and the E195-E2, which seats as many as 132 passengers.

Two former Gulf Air (GUL) Embraer E190s are being used by Royal Air Maroc (RAM) this summer in an in-service evaluation. (RAM) has been considering introducing a regional jet type to its operation for the last year and has signed a tentative deal with Dutch (ACMI) wet-lease provider, Denim Air (DNM) to fly the two airplanes on its behalf. (RAM) is considering ordering up to 10 of the type.

July 2013: Embraer (EMB) posted a second-quarter net loss of -$3.8 million, “primarily as a result of deferred income taxes generated by the appreciation of the USA dollar [against the Brazilian real] during the period, which negatively impacted 2nd Quarter 2013 net income.”

Interlease Finance Company (ILF) finalized its order with Embraer (EMB) for 50 E-Jets E2 airpanes, comprising 25 E190-E2s and 25 E195-E2s. The firm order has an estimated value of $2.85 billion at current list prices.

The contract, announced as a letter of intent (LOI) at the Paris Air Show in June, also contains options for an additional 25 E190-E2s and 25 E195-E2s, bringing the potential order up to 100 airplanes. Deliveries are expected to begin in 2018 and complete in 2023.

All of the E2 models will be powered by new Pratt & Whitney (PRW) geared turbofan (GTF) engines and have new wings. “This order for the E-Jets E2 airplanes is in line with our current fleet strategy, which aims to provide our customers with a diverse mix of airplanes for their market-specific needs,” (ILFC) (CEO), Henri Courpron said. “We will also leverage access to the existing operators of the current version of Embraer (EMB) to offer them the new E2.”

(KLM) Cityhopper (AUK), has concluded a lease agreement with (BOC) Aviation (SIL) to add six Embraer E190s to its current fleet of 22 E-Jets. The additional E190s are part of (AUK)’s strategic plan to replace the oldest airplanes in its Fokker fleet. The first of the six E190s is scheduled to be delivered during the second half of 2013.

Consistent with its current E190s, the new E190s will also be configured with 100Y seats in a single-class layout. After delivery of the last airplane from this new acquisition, KLM Cityhopper (AUK) will have more E190s in its fleet than any other airplane type. All of the E190s will be deployed across (KLM)’s European network from Amsterdam’s Schiphol Airport. “It is a major endorsement for the EMB-Jets program to see KLM Cityhopper (AUK) continuing its fleet modernization with additional E190s,” said Paulo Cesar Silva, President & (CEO), Embraer Commercial Aviation (EMB). “Through its partnership with AirFrance (AFA), the combined group will operate more than >50 airplanes, the largest fleet of E-Jets in Europe. The participation of (BOC) Aviation (sil) was key in the success of this transaction and shows the role such an important lessor plays in the E-Jets program.”

“This deal is a perfect example of the investments that (KLM) is making,” says (KLM)’s (CEO), Camiel Eurlings. “Not only do these investments make travel more comfortable, they also contribute to a more sustainable operation and greater efficiency, all of which will help us achieve our ambitious aims to reduce noise and carbon emissions.”

“We are delighted to work with (KLM), by helping its subsidiary (KLM) Cityhopper (AUK) to support its modernization plan with the E190, a versatile and excellent airplane,” said Robert Martin, Managing Director & (CEO) of (BOC) Aviation (SIL).

October 2013: Embraer (EMB) has reported third-quarter net income of +$52.9 million, down -19.1% from a net profit of +$65.4 million in the prior-year period, as commercial airplane deliveries lagged last year’s deliveries.

(EMB) delivered 58 commercial airplanes through the first three quarters of 2013, down -30.1% from 83 commercial airplanes delivered through the first nine months of 2012. (EMB) said that as a result of the lower airplane deliveries, third-quarter revenue fell -8.3% to $1.29 billion. “The lower commercial aviation deliveries in 3rd quarter 2013 combined with a mix shift towards the smaller E170 and E175 airplane models led to the decline in revenues,” (EMB) said. The company’s Commercial Aviation segment recorded a -28.1% year-over-year drop in third-quarter revenue to $687.4 million

Embraer delivered 19 commercial aircraft in the third quarter, down 29.6% from 27 delivered in the prior-year period. Third-quarter deliveries comprised nine E190s, nine E175s and one E170. Last year, the manufacturer delivered 17 E190s, three E195s and seven EMB-175s in the third quarter.

Year-to-date, Embraer (EMB) has delivered 58 commercial aviation airplanes and 66 executive jets, a total of 124 airplanes. “The main announcement during 3rd quarter 2013,” Embraer (EMB) said, “was the signature of the final agreement between (EMB) and International Lease Finance Corporation (ILFC) for a firm order of 50 E-Jets E2 planes: 25 E190-E2s and 25 E195-E2s. The contract, announced as an (LOI) at the Paris Air Show contains options for an additional 25 EMB-190-E2s and 25 E195-E2s, bringing the potential order up to 100 airplanes.”

As of September 30, (EMB)’s order backlog totaled $17.8 billion, an increase of +$700 million over the second quarter; the firm order backlog stands at 396 airplanes (140 E175s, 100 E175-E2s, 78 E190s, 25 each for the E190-E2 and the E195-E2, 22 E195s and six E170s).

Embraer (EMB)’s third-quarter deliveries included nine E175 200LR airplanes to Republic Airlines, three E190 100 STDs to Ukrainian carrier Dniproavia (back in business following its operational shutdown in January) and two E190 100 ARs to Azerbaijan Airlines (AHY).

Brazilian airplane manufacturer Embraer (RMB) has awarded Thales (THL) a contract to supply Identification Friend or Foe (IFF) transponders for the upgrade of A1M fighters and E-99 (AEW) surveillance airplanes in service with the Brazilian Air Force (BRF). A total of 48 airplanes will be retrofitted with the new (IFF) transponders.

Thales (THL) will supply its TSC 2030 and TSC 2050 transponders, which are part of the company’s BlueGate range of (IFF) products and provide a digital identification capability in line with (NATO)’s (MKXA) standard. The airplanes equipped with the new (IFF) systems will be fully interoperable to overcome risks of friendly fire.

“This (IFF) retrofit program for the Brazilian Air Force (BRF) shows that Thales (THL)’s BlueGate (IFF) solutions are an excellent fit for upgrading existing airplanes,” said Jean-Michel Lagarde, (CEO) of Thales Communications & Security.

The panel mounted TSC 2030 transponders and the remote 2050 transponders rely on the latest technologies and meet all the most recent standards and regulations defined by (NATO) and the International Civil Aviation Organisation (ICAO). They are designed to operate either in national secure cryptographic mode or in the secure identification modes used by (NATO) forces (Modes 4 and 5).

December 2013: The American Airlines Group has signed a firm purchase agreement for 60 Embraer E175 jets with options for another 90 E175s, as well as a firm order for 30 Bombardier CRJ900 regional jets with options for 40 more airplanes.

The orders are the first new airplane orders since American (AAL) and US Airways (AMW)/(USA) merged into a single company on December 9.

Embraer (EMB) said the E175 firm orders are valued at $2.5 billion at list prices. (EMB) said (AAL) will configure the E175s with 12F first-class, 12PY main cabin extra and 44Y economy seats. Deliveries will start in the first quarter of 2015.

(BOC) Aviation (SIL) has delivered the first of six Embraer E190 airplanes to (KLM) Cityhopper (AUK) under an operating lease agreement. The remaining five E190s will be delivered through April 2014.

January 2014: Embraer (EMB), the world's fourth largest airframe manufacturer by sales, delivered 209 airplanes in 2013, a slight increase from the 204 airplanes delivered the previous year.

Deliveries included 90 commercial deliveries, and 119 business aviation deliveries, including 90 light and 29 large executive jets. The Sao Jose dos Campos, Brazil-based company's backlog increased to $18.2 billion. Embraer (EMB) targeted deliveries of 80 to 90 light executive jets and 25 to 30 large executive jets in its 2013 outlook.

The fourth quarter was a busier period for Embraer (EMB), with 32 commercial and 53 business jets delivered.

In other fourth quarter 2013 news for Embraer (EMB), American Airlines (AAL) placed a $2.5 billion order for up to 150 airplanes, and the Legacy 450 completed its maiden flight.

Greenland Express (GXP) has merged with two other airlines, Eyjaflug and Air Arctic, and is aiming to launch Embraer E190 services in March - - SEE PHOTO - - "EMB-EMB-190 - GXP - 2014-01."

February 2014: Embraer (EMB) Commercial Aviation forecasts airlines in Asia Pacific, including China, are to take delivery of 1,500 new 70- to 130-seat jets over the next 20 years, representing roughly $70 billion US at list prices and nearly 20% of worldwide demand. 65% of the region's new deliveries will support market growth, whereas 35% will replace aging airplanes that are being retired.

At the same time, the Asia Pacific market will become more affluent, competitive, and liberal, further stimulating airlines to seek system efficiencies, brand differentiation, and improved service levels, Embraer (EMB) analysts predict. As a result, the 70- to 130-seat jet segment will play a key role in the support of intra-regional development in Asia Pacific. "Passenger traffic in the Asia Pacific region is mostly composed by secondary markets with low and medium demand densities of up to 300 passengers daily each way. Some 60% of those markets are not served nonstop, and around half of all markets served do not allow for same day return travel," explained Embraer Commercial Aviation President & (CEO), Paulo Cesar Silva. "Embraer E-Jets provide the capability to develop a better traffic feed system and greater network connectivity, as well as improving the quality of services on existing markets where there is not enough demand to support larger single aisle airplane operations."

The region's economic growth has altered its socio-demographic context, with an increased urban middle class with more discretionary spending and therefore higher propensity to air travel. A positive economic outlook and intra-regional liberalization will drive air transport demand in Asia Pacific to increase +6% annually by 2032, led mainly by China and India. The region will become the world's largest market accounting for 34% of total revenue passenger km.

As the Low Cost Carrier (LCC) model matures in the region, airlines have incentives to search for new opportunities to sustain growth by complementing their narrow body operations with smaller capacity jets in point-to-point mid density markets, as well as in hub and spoke operations. E-Jets can play an integral part in the (LCC) and Mainline Carrier networks by providing the benefit of lower trip costs and competitive seat-mile costs. In addition, 40% of intra-regional turboprop capacity is offered on routes longer than >450 km which are better suited to E-Jets operations due to its higher network productivity, better operating economics, and superior passenger appeal.

The E-Jets family has logged more than >1,400 orders and over >1,000 deliveries to date and are in service with some 65 customers from 45 countries. In the 70- to 130-seat segment, Embraer (EMB) has a global market share of 51% of orders and 62% of deliveries since 2004. In the Asia Pacific, Embraer (EMB) has more than >80% market share in its segment with nearly 150 E-Jets delivered to 10 operators from six countries in the region.

Embraer Commercial Aviation’s three new airplanes (E175-E2, E190-E2, and E195-E2) have geared turbofan engines from Pratt & Whitney (PRW), new aerodynamically advanced wings, full fly-by-wire flight controls, and advancements in other systems that will deliver improvements in fuel burn, maintenance costs, emissions, and external noise compared to current-generation E-Jets.

The E190-E2 is expected to enter service in the first half of 2018. The E195-E2 is slated to enter service in 2019, and the E175-E2 in 2020.

March 2014: This month, Embraer Commercial Aviation celebrates another historic milestone in its E-Jets program: – the ten year anniversary of the first jet airplane deliveries. On March 8, 2004, (LOT) Polish Airlines and US Airways (USA) each received an E170. US Airways (USA) was the launch customer of the E-Jet in the (USA). (LOT) was the first airline to operate a commercial E-Jet flight when the E170 flew between Warsaw and Vienna on March 17, 2004.

“E-Jets revolutionized the market for medium-sized jets by incorporating a more spacious cabin for greater passenger comfort, and by making it versatile for operators to optimally manage their fleets,” said Paulo Cesar Silva, President & (CEO) of Embraer Commercial Aviation. “Over these ten years, we have continuously worked to improve the E-Jet family by perfecting its performance and reducing operating costs. This ensures that our customers have the best product in the up to 130-seat jet category and some of the best operational support services in the industry.”

Embraer (EMB) is the only manufacturer to have developed a family of four modern airplanes specifically for the 70 to 130-seat capacity segment. Since the formal launch of the program in 1999, Embraer E-Jets have redefined the traditional concept of regional airplanes by operating in other business applications. Today, E-Jets are flying with mainline carriers, low-cost and regional airlines, and with scheduled tour companies.

In September 2013, Embraer delivered its 1,000th E-Jet. The E175 was delivered to Republic Airlines, a subsidiary of Republic Airways Holdings Inc of the USA. That same year, the worldwide E-Jets fleet surpassed 10 million flight hours and carried some 540 million passengers.

Besides their proven reliability (the average mission completion rate is 99.9%), the global E-Jets fleet has logged more than >7 million flight cycles. E-Jet operators have access to a strategically located worldwide customer support and services network of 37 service centers (Maintenance Repair & Overhaul (MROs)), 12 of which are authorized and 25 which are independent.

Embraer E-Jets command a 50% share of orders, a 62% share of deliveries in the 70 to 130-seat jet segment, and are in the fleets of 65 airline companies from 45 countries. In June 2013, Embraer launched E-Jets E2, the second generation of the E-Jets family. The first E2 is scheduled for customer delivery in 2018.

SkyWest Inc, the Utah-based parent of regionals: SkyWest Airlines and ExpressJet, has taken delivery of the first of 40 new Embraer E175s for operation under a capacity purchase agreement (CPA) with United Airlines (UAL). According to Embraer (EMB), an additional 60 orders are reconfirmable, subject to SkyWest being awarded (CPA) contracts with major USA airline partners. The agreement between SkyWest and Embraer (EMB) also includes options for another +100 E175s, taking the potential total order up to 200 airplanes.

In a separate deal sealed at the Paris Air Show in June 2013, SkyWest became the launch customer of the E175-E2, ordering 100 airplanes with 100 additional options, for deliveries beginning in 2020.

April 2014: Embraer (EMB) posted a first-quarter net profit of +$110 million, more than tripling net income of +$30 million in the year-ago period, on a +13.8% year-over-year rise in revenue to $1.24 billion.

“The company’s firm order backlog grew to $19.2 billion, reaching its highest level since the second quarter of 2009, mainly as a result of orders in the commercial aviation segment,” Embraer (EMB) said.

However, the company did deliver three fewer commercial airplanes in the quarter compared to the year-ago period. As a result, revenue in the commercial aviation segment decreased -13.2% year-over-year to $555.3 million. The 14 commercial airplane deliveries for the three months ended March 31 comprised one E170, eight E175s, four E190s and one E195.

The Brazilian manufacturer’s earnings before interest, taxes, depreciation and amortization (EBITDA) margin was 12.2% in the first quarter, improved three percentage points from 9.2% in the 2013 first quarter.

Embraer (EMB) invested $83.3 million in product development during the first quarter, partially offset by $58.6 million in contributions from suppliers primarily related to the development of the next generation E-Jet, the E2.

Embraer (EMB) announced deliveries for a total of 34 airplanes for the first quarter of 2014. (EMB) delivered 20 business jets and 14 commercial jets, and reported an increase of its firm order backlog to $19.2 billion, a $1 billion increase from the fourth quarter of 2013. That backlog was driven by an order for 50 EMB-Jets E2 airplanes from India's Air Costa, placed during the Singapore Airshow.

Additionally, during the 2014 Asian Business Aviation Conference & Exhibition (ABACE) in Shanghai, China, (EMB) announced Hong Kong-based Metrojet as China's first Authorized Service Center (ASC) for its midsize Legacy 500 jets.

Embraer (EMB) Commercial Aviation forecasts that airlines in Africa and the Middle East will take delivery of 530 new 70 - 130 seat airplanes, valued at $25 billion at list prices, over the next 20 years. (EMB) estimates 65% of the total new deliveries will be added to support market demand growth, while 35% will replace aging retiring airplanes.

According to Embraer (EMB), air transport in Africa and the Middle East will steadily grow +5.3% and +7.1% per annum over the next 20 years, respectively (above the world average of +4.8% more than tripling the air traffic to, from, and within the region).

(EMB) Commercial Aviation President & (CEO), Paulo Cesar Silva said, “The 70- to 130-seat jets will play a key role to support the intra-regional development in Africa and the Middle East, not only for its ability to explore new markets, but also because of the possibility to improve load factors with greater flexibility.”

May 2014: Boeing (TBC) and Embraer (EMB) will open a joint research center to advance a sustainable aviation biofuel industry in Brazil. Under a memorandum of understanding (MOU), the two companies will perform joint biofuel research, as well as fund and coordinate research with Brazilian universities and other institutions. The research will focus on technologies that address gaps in a supply chain for sustainable aviation biofuel in Brazil, such as feedstock production and processing technologies. The companies’ biofuel research center will be located in Sao Jose dos Campos Technology Park.

In 2013, Boeing (TBC), Embraer (EMB) and the Fundacao de Amparo a Pesquisa of the State of São Paulo (FAPESP) completed an action plan (Flightpath to Aviation Biofuels in Brazil) that identified gaps in a potential biofuel supply chain. The joint research between Boeing (TBC) and Embraer (EMB) will help address those gaps.

June 2014: Phoenix-based, the Mesa Air Group has received (FAA) approval to add the Embraer E175 to its air operating certificate (AOC), which it called a “critical accomplishment” in its goal of having the airplane “on line on time.”

Mesa will begin E-Jet operations this summer with the first of 30 airplanes scheduled for delivery as part of its United Express operation.

Embraer Senior VP Aircraft Programs, Mike Ferverda said, “Our E175 certification program started more than >10 months ago and took team work, attention to detail and professionalism.”

Tianjin Airlines (GCR), the first E190 Chinese operator and the largest E-Jets carrier in Asia, is the launch user for E-Jets Aircraft Health Analysis & Diagnosis – PROgnosis (AHEAD-PRO) system in China. The system will be installed in all Tianjin Airlines (GCR) fleet of 50 E-Jets.

“We are glad to have Tianjin Airlines (GCR) as the first Chinese carrier adopting the Embraer (EMB)’s AHEAD-PRO system, representing a new milestone in our long-term successful partnership,” said Siu Ying Yeung, Chief Operating Officer (COO) of Embraer China, “As the state-of-the-art maintenance diagnostic management tool, the system leads to corrective and preventive maintenance planning management optimization and had been well recognized by customers worldwide. Predict the unpredictable, to make our aircraft always more available, is our customer support innovation driver.”

This system is the backbone of the future smart and fully integrated services that Embraer (EMB) is currently developing in order to provide its operators with the most complete solution. “Embraer AHEAD-PRO system offers us all functionalities to optimize the health monitoring process, from data acquisition to time-to-failure prognosis. It has been well proved that the system brings great benefits to line maintenance operation and significantly increase airplane dispatch reliability, which ultimately boosts operation profitability,” said Hu Jianfeng, Vice President of Tianjin Airlines.

AHEAD-PRO is a computational web-based platform that enables airlines to continuously monitor the health of an airplane while it is in flight, through the automatic and real-time transmission of alert and maintenance messages from the airplane systems to a ground base which will be received and used to generate fault identification reports. Troubleshooting and maintenance resources planning occur even before airplane arrival to its destination, optimizing the turn-around-time between flights.

Inaugurated as the first true regional airline in China back in 2009, Tianjin Airlines (GCR) is now the 8th largest carrier in China in terms of fleet size and 11th in terms of market share. As of today, (GCR) owns a fleet of over >80 jets, serving more than >90 domestic and international cities and carrying over >8 million travelers in 2013. In 2011, it was awarded the distinction of “Best Regional Aviation Airline in China”and “Global Four-star Airlines” by Skytrax consultancy for its outstanding achievements.

July 2014: Embraer (EMB) posted a second-quarter net profit of +$146.7 million, reversing a -$3.8 million net loss in the 2013 June quarter, on a +12.8% rise in revenue to $1.76 billion.

(EMB) delivered 29 commercial airplanes in the quarter, up +31.8% over 22 delivered in the prior-year period. The deliveries comprised 16 E175s, eight E190s and five E195s. Embraer Commercial Aviation generated revenue of $971.9 million in the second quarter, up +13% year-over-year and representing 55.2% of Embraer (EMB)’s total revenue during the three-month period.

Embraer (EMB) noted it completed the preliminary design review of the E190-E2 during the second quarter and also completed E190-E2 wind tunnel tests. “The next step in the development of the E190-E2 is the critical design review, when the product’s maturity will be validated, enabling prototype production to begin,” Embraer (EMB) said. The E190-E2 is slated to enter service in 2018.

Aurigny Air Services (AUR) has taken delivery of an Embraer E195, which will be used to add capacity on (AUR)’s Guernsey - London Gatwick route.

According to Embraer (EMB), the EMB-195 is configured with 122Y slim seats in a single-class layout and is the first commercial jet for the airline. Aurigny (AUR) will fly up to 4x-daily flights with the E195 between Guernsey and London Gatwick.

State-owned (AUR), based on the Channel Islands between the UK and France, also operates a single ATR 72-200, two ATR 72-500s and six Britten-Norman Trislanders. The E195 order, placed in August 2013, was triggered by Flybe (BEE)’s decision to axe its competing Guernsey - London Gatwick flights. “The 122Y-seat configuration is ideal for the Guernsey - Gatwick route. The E195 will deliver a seat mile cost that makes the airplane economical to operate even on the short sector, especially when you combine the quick turnaround time and high reliability of the E-Jet,” Embraer Commercial Aviation VP Europe, Middle East & Africa, Mathieu Duquesnoy said.

Turkish regional airline, Borajet (BOJ) has ratified an agreement to acquire four E190s as part of an initiative to gradually upgrade its turboprop fleet, add capacity and frequencies, and grow its network from its base at Istanbul’s Sabiha Gökçen International Airport. (BOJ) is acquiring the 100-seat, single-class E190s through a third party lease agreement. The first E190 revenue flight is slated to begin this month. “We welcome Borajet (BOJ) as the first Turkey-based E-Jet operator. The country has tremendous potential because of the large number of cities that are ideally sized for the E190,” said John Slattery, Chief Commercial Officer, Embraer Commercial Aviation. “The range of the airplane, its reliability and its trademark level of cabin comfort will be a welcome addition to travelers in the region.”

Borajet (BOJ )will join a family of 65 airlines from 45 countries that have already embraced the E-Jets philosophy and fly them in low-cost, regional and mainline business applications. Since entering revenue service in 2004, Embraer (EMB) has received some 1.470 orders for E-Jets. More than >1,000 have been delivered.

“We are eager to start operations with our first jet airplane and delighted, specifically, that the type selected is the E190 (chosen for its performance, comfort, plus the fact that it offers the best economics in its class),” said Fatih Akol, (CEO) of Borajet. “We will now be able to offer our passengers new destinations that were not possible to reach with our current fleet of turboprops due to the challenging and varied topography of the region.”

About Borajet:

Borajet (BOJ) was established in 2008 with a new approach in regional air transportation. (BOJ) offers new destinations with high quality service and safety standards delivered by an experienced crew. With a fleet of five airplanes, Borajet (BOJ) connects several Turkish cities by air.

Embraer (EMB) announced at the Farnborough Airshow that Azul Brazilian Airlines (AZL) has signed a letter of intent (LOI) for 30 firm orders for the E195 E2 jets, becoming the launch customer for the type. The (LOI) includes 20 additional purchase rights. The firm order, which is valued at $3.1 billion at current list prices, is expected to be completed by this year’s fourth quarter. Currently, (AZL) has 82 E-Jets in service and another 11 on order.

The E2 was launched last June at the Paris Air Show. The E195-E2 is scheduled to enter service in the first half of 2019.

Separately, Embraer (EMB) announced that Japan’s Fuji Dream Airlines (FDA) ordered three 84-seat E175s with three options, in an order valued at $256.8 million at current list prices. (FDA) currently operates three E170s and five E175s.

In addition, Azerbaijan’s national carrier, Azerbaijan Airlines (AZAL) (AHY) signed a firm order for two additional E190s, in an order valued at $95.4 million at current list prices. The E190s will be configured in a dual class layout and will be deployed from Baku to European routes such as Prague, Milan, or Rome.

Embraer (EMB) has announced that Hainan Airlines (HNA) subsidiary, Tianjin Airlines (GCR) has agreed to purchase 40 Embraer E-Jets, comprising 20 E-Jets and 20 E-Jets E2, in an order valued $2.1 billion at current list prices, becoming the first Chinese airline to order the E-Jets E2 model.

According to Embraer (EMB), the first current generation E-Jet will be delivered in 2015, and the first E-Jet E2 is scheduled for delivery in 2018.

“Embraer E190s have been the cornerstone of our regional expansion strategy over the past few years and have allowed us to achieve our development objectives,” Tianjin Airlines (GCR) Chairman & President, Liu Lu said. “We see these additional orders as a continuation of both our short-term and long-term growth plans. The 20 new E-Jets E2s will bring us even greater efficiency and flexibility in adding frequencies and expanding markets.”

In addition, Embraer (EMB) said China’s (ICBC) Leasing has ordered 20 Embraer E190 E2 jets. The agreement covers 10 firm orders and 10 purchase rights, in an order valued at $1.1 billion at current list prices. Deliveries are scheduled to begin in 2018.

The E190-E2 is the first model of the E-Jets E2 family to enter into service.

(ICBC) Leasing, (CEO), Cong Lin said, “Adding E-Jets E2s to our portfolio will diversify our airplane resources, strengthen our leadership in the leasing market, and support us in expanding the leasing market of regional aviation.”

August 2014: Embraer (EMB) has signed Tianjin Airlines (GCR), the first EMB-190 Chinese operator and the largest E-Jet carrier in Asia, as the launch user in China for (EMB)'s Ahead-Pro (Aircraft Health Analysis & Diagnosis-Prognosis) system. The contract calls for (EMB) to install the system in all 50 of (GCR)'s E-Jets.

Promoted by Embraer (EMB) as "the state-of-the-art maintenance diagnostic management tool," the web-based platform lets airlines continuously monitor the health of an airplane in flight, through the automatic and real-time transmission of alert and maintenance messages to a ground base. The system then generates fault identification reports, allowing maintenance crews to troubleshoot the problem and plan corrective work before the airplane arrives at its destination, for shorter turnaround times.

October 2014: News Item A-1: Embraer (EMB) delivered 19 commercial aviation airplanes and 15 executive jets in the third quarter, a total of 34 airplanes (a -22.7% overall decrease compared to the third quarter of 2013). The 19 commercial jet deliveries, however, were the same number as during the 2013 third-quarter, and this year comprised 16 E175s, two E190s and one E195.

As of September 30, (EMB)’s firm order backlog totaled $22.1 billion, up +$3 billion from the second quarter of 2014, and is now reportedly at its highest level in company history.

New firm orders in (EMB)’s third quarter included 50 E175s from loyal E-Jet customer, Republic Airlines, signed September 17 with deliveries beginning in the third-quarter of 2015 and continuing through 2017; 10 E190s and five E175s from Japan Airlines (JAL)/(JAS), ordered on August 27 with deliveries set to start in 2015; 10 E190-E2 jets from lessor, the Industrial & Commercial Bank of China (ICBC); three E175s from Japan’s Suzuyo Corporation, parent of Fuji Dream Airlines (FDA); and two E190s from Azerbaijan Airways (AZAL) (AHY). Two E190 undisclosed customers were removed from (EMB)’s third-quarter roster of firm orders.

(EMB)’s E175 third-quarter deliveries included six to Republic Airlines, six to SkyWest Airlines, and four to United Airlines (UAL). Additional deliveries during the third quarter included one E190 airplane each to British Airways (BAB) subsidiary, BA CityFlyer, Singapore-based lessor (BOC) Aviation (SIL), and one E195 to Azul Brazilian Airlines (AZL).

Year-to-date, Embraer (EMB) has delivered 62 commercial jets and 64 business jets for a total of 126 airplane deliveries (a +1.6% year-over-year rise over 2013’s third-quarter year-to-date count of 124 total deliveries).

News Item A-2: Embraer (EMB) has made the first metal cut of the E-jets E2, second generation of the E-Jets family of commercial jets at its Évora plant in Portugal. The part is the wing stub forward pressure bulkhead of the first prototype of the E190-E2 jet, which is scheduled for first flight in 2016.

“The production of this first part, on schedule, is an important milestone in all aviation programs, marking the transition from the project stage to beginning the manufacturing phase of the airplanes,” Embraer Commercial Aviation President & (CEO), Paulo Cesar Silva said. “There is still a long road ahead, until it actually enters service, but we harbor no doubts as to whether we will deliver to the market the most efficient, modern and robust airplanes in this segment, as well as a very comfortable cabin for passengers.”

According to Embraer (EMB), the pressure bulkhead is made of aviation aluminum and was manufactured at one of the advanced high-speed milling centers of the Embraer metallic structures plant in Évora. The part will now be sent to Brazil to start the first airplane assembly.

The first delivery of an E-Jet E2 (the E190 E2) is expected for the first half of 2018. The E195 E2 is scheduled to go into service in 2019 and the E175 E2 in 2020.

November 2014: Embraer (EMB) reported a third-quarter net loss of -$10.7 million, reversed from a net profit of +_$52.9 million in the prior-year period, blaming taxes for the deficit.

The Brazilian airplane manufacturer said its net result was hurt by a $77.1 million tax expense that more than tripled a tax expense of $25.3 million in the 2013 September quarter. It said the higher taxes were “largely” owing to “foreign exchange variation in the period.”

However, third-quarter revenue generated by the company’s Commercial Aviation unit decreased -3.9% year-over-year to $660.7 million. Embraer (EMB)’s commercial airplane deliveries were flat as it delivered 19 units in the third quarter, the same number as in the 2013 September quarter. Deliveries in this year’s third quarter were dominated by 16 E175s; deliveries of E190/E195 airplanes declined from nine last year to just three this year.

Overall third-quarter company revenue rose +7.9% year-over-year to $4.24 billion and operating profit was +$896.2 million, up +5.6% from operating income of $848.4 million in the prior-year period.

December 2014: News Item A-1: Embraer (EMB) delivered its 1,100th E-Jet to Aeromexico Connect.

News Item A-2: Irish Embraer (EMB) lessor, Aldus Aviation is planning to have 30 E-Jets in its portfolio by the end of 2014, a figure which it plans to double by 2016.

Aldus Aviation, which has just placed four new-build Embraer E190s with Royal Air Maroc (RAM), launched in 2008 as a specialist E-Jet lessor. “We expect to have 30 E-Jets in our portfolio by year-end and we see excellent prospects to double our portfolio by 2016 with more deliveries from our order, as well as sale and lease-back transactions,” Aldus Aviation, Chairman, Philip Bolger said.

Aldus claims the 70- to 130-seat market is the fastest-growing segment, with Embraer (EMB) picking up over >60% of orders.

In January 2013, Aldus was identified as the customer for up to 35 E-Jets, comprising five E175s and 15 E190s, plus purchase rights on a further 15 E-Jets. At the time, the agreement was valued at up to $1.56 billion.

“Aldus is one of the world’s largest Embraer (EMB)-focused lessors and has been a strong partner for Embraer (EMB) since it commenced business in 2008. It is gratifying to see that partnership strengthen and grow,” Embraer (EMB) President & (CEO), Paulo Cesar Silva said.

News Item A-3: Embraer (EMB) Executive Jets and private aviation operator NetJets (EXF)/NEU) have signed an agreement to convert 10 Signature Series Phenom 300 purchase options into firm orders. At current list prices, this addition to the contract is worth more than >$89 million, which will be included in Embraer (EMB)’s backlog of the fourth quarter of 2014.

In October 2010, a purchase agreement was signed for 50 firm and 75 options. The total value of the deal may exceed >$1 billion, if all options are exercised. As of now, Embraer (EMB) has delivered 36 Signature Series Phenom 300s to NetJets (EXF)/(NEU). Deliveries of the 10 additional airplanes will begin as of January 2016.

January 2015: Brazilian manufacturer, Embraer (EMB) delivered 92 commercial aviation airplanes in 2014 (a +2.2% increase over the company’s 90 commercial aviation deliveries in 2013). In total, Embraer (EMB) delivered 62 E175s, 19 E190s, ten E195s and one E170.

30 commercial aviation jets were delivered in the December quarter, a -6.3% overall decrease compared to Embraer (EMB)’s 2013 fourth-quarter. The 30 commercial jet deliveries were two less than in (4Q) 2013, and comprised 22 E175s, five E190s and three E195s.

As of December 31, Embraer (EMB)’s firm order backlog totaled $20.9 billion, down -$1.2 billion from the end of the 2014 third-quarter. 459 airplanes are in (EMB)'s firm order backlog queue, including 172 E175s, 100 E175 E2s, 65 E190s, 60 E190-E2s, 50 E195-E2, seven E195s, and five E170s.

Embraer (EMB) logged two new firm orders during the fourth-quarter: a November 25 order for seven E175s from SkyWest, estimated at $301 million at current list prices, to be operated under a (CPA) with Alaska Airlines (ASA), with deliveries beginning in the second-quarter of 2015; and an order for six E175s placed by an undisclosed customer.

(EMB) closed-out 2014 with a total of 149 firm orders for its commercial aviation jets, comprising 69 E175s, 35 E190E2s, 25 E195 E2s, 15 E190s, and five E170s. India’s Air Costa accounted for 25 E190 E2 and 25 E195 E2 orders; Republic Airlines accounted for 50 E175 orders.

(EMB)’s fourth-quarter deliveries of E175 airplanes included 11 to United Airlines (UAL), six to SkyWest, and five to Republic Airlines. E190 deliveries during the quarter included four to Irish lessor Aldus Aviation and one to (CIT) Commercial Air. Additionally, three E195s were delivered to Azul (AZL) Brazilian Airlines.

February 2015: News Item A-1: Embraer (EMB) delivered to American Airlines (AAL) the first of 60 firm order E175 jets under the contract signed between the two companies in December 2013. The contract also included options for another 90 E175s, taking the total order potential to 150 airplanes.

(AAL) selected Compass Airlines, a wholly owned subsidiary of Trans States Holdings, to operate the first 20 E175 airplanes under the American Eagle brand. The E175s will be configured with 12F First Class, 20PY Main Cabin Extra, and 44Y Main Cabin seats, for a total of 76 seats.

News Item A-2: Embraer (EMB) Executive Jets delivered 73 Phenom 300 in 2014, making it the most delivered business jet in the world, according to a report by the General Aviation Manufacturers Association (GAMA). Deliveries of this airplane reached a total of 60 in 2013, also the largest quantity for that year.

“We are very grateful for our customers’ preference for the Phenom 300, a truly revolutionary airplane, designed with extensive customer input and feedback,” said Marco Túlio Pellegrini, President & (CEO), Embraer Executive Jets.

In just five years of operation, the Phenom 300 fleet has reached the 250 airplane mark, having accrued a 57% market share in the light jet category. The airplane is in operation in more than >20 countries and has accumulated close to 200,000 flight hours.

The Phenom 300 is one of the fastest light jets, having recently established a National Aeronautic Association (NAA) cross-country speed record in the United States, from Bellingham, Washington, to Albany, New York.

About the Phenom 300:

The Phenom 300 performs among the top light jets, with a high speed cruise of 453 knots and a six-occupant range of 1,971 nautical miles (3,650 km) with (NBAA) (IFR) reserves. This range allows nonstop flights from Miami to Telluride, or Los Angeles to Orlando. With the best climb and field performance in its class, the Phenom 300 costs less to operate and maintain than its peers. The airplane is capable of flying at 45,000 feet/13,716 meters, powered by two Pratt & Whitney Canada (PWC) (PW535E) engines with 3,200 pounds of thrust each.

The Phenom 300 offers a spacious cabin, designed in partnership with (BMW) Designworks USA, and the largest baggage compartment in its category. The largest windows in the class deliver abundant natural lighting in the cabin as well as in the aft private lavatory. The comfort of the seats, with recline and full movement capability, is enhanced by the best pressurization among light jets (6,600 ft maximum cabin altitude). The Phenom 300 features distinct temperature zones for pilots (FC) and passengers, a wardrobe and refreshment center, voice and data communications options, and an entertainment system.

The pilot (FC)-friendly cockpit enables single-pilot (FC) operation and offers the advanced Prodigy Touch Flight Deck. The features it carries from a class above include single-point refueling, externally serviced lavatory, and an air stair.

March 2015: News Item A-1: Brazilian manufacturer Embraer (EMB) reported a full-year net profit of +$347.7 million, up +0.5% from the company’s +$346 million net profit in 2013. (EMB)’s 2014 revenues were $6.29 billion, up +0.9% year-over-year (YOY) from 2013; operating costs for the year were $5.04 billion, up +0.9% (YOY). The resulting 2014 gross profit came to +$1.25 billion, down -11.7% (YOY) from (EMB)’s 2013’s gross income of +$1.42 billion.

Embraer (EMB)’s fourth-quarter net profit was +$94.9 million, down -64.2% (YOY) from the manufacturer’s +$265 million net profit in the 2013 December quarter. Fourth-quarter revenues were +$2.05 billion, down 11.2% (YOY); operating expenses came to $1.69 billion, down 2.6% (YOY). The company’s operating profit for the quarter was +$354.3 million, down -37.6% (YOY).

(EMB)’s commercial aviation segment, which in 2014 accounted for 50.3% (down -2.7 points from 2013) of the manufacturer’s total revenue, earned +$3.16 billion in net revenues for the full year, down -4.4% (YOY). In the fourth-quarter, the commercial aviation segment earned +$975.3 million (and accounted for 47.7% of total company revenue), down -12.9% (YOY). Embraer (EMB)’s Defense & Security segment was the only company division to increase annual earnings in 2014, with full-year revenue growth of +21.7% (YOY).

(EMB) delivered 92 commercial airplanes in 2014, compared to 90 delivered in 2013; 30 commercial airplanes were delivered in the fourth-quarter. Deliveries in 2014 included 62 E175s, 19 E190s, 10 E195s, and one E170. As of the end of 2014, the company’s reported backlog was valued at $20.9 billion, up +14.8% from $18.2 billion in 2013.

Embraer (EMB) expects to deliver between 95 and 100 commercial aviation jets in 2015; its company guidance for 2015 is for expected net revenues between $6.1 billion and $6.6 billion. In 2014, (EMB) met its projected guidance range (between $6 billion and $6.5 billion in revenue), as well as its total commercial airplane deliveries guidance (between 92 to 97 jets).

News Item A-2: Embraer (EMB) has approved Exova, the global testing, calibration and advisory services provider, to provide material testing services through its laboratory in Toulouse, France.

April 2015: News Item A-1: Embraer (EMB) reported a -$61.7 million net loss in the first quarter, reversed from a net profit of +$110.6 million in the year-ago quarter. The Brazilian manufacturer attributed the loss mostly to income tax expenses of $118 million.

First-quarter revenue was down -14.5% to $1.06 billion, compared to $1.24 billion in the year-ago quarter.

Embraer (EMB) delivered 20 commercial jets in the first quarter. At the end of the quarter, it had a $20.4 billion backlog compared to a $19.2 billion backlog in the year-ago period. It booked new firm orders for 22 commercial airplanes during the quarter.

(EMB) said it invested $90.9 million in product development, which was partially offset by the addition of $63.8 million in contributions from suppliers. These supplier contributions are primarily related to the development of the E-Jets E2 program.

News Item A-2: Embraer (EMB) delivered 20 commercial aviation airplanes in the first-quarter of 2015, +6 more than in the 2014 March quarter and a +42.9% increase year-over-year. All of the delivered airplanes were E175 models, including nine to SkyWest, six to Republic Airlines, two each to American Airlines (AAL) and United Airlines (UAL), and one to Japan’s Suzuyo Corporation, parent of Fuji Dream Airlines (FDA).

Embraer (EMB) booked new firm orders for 22 commercial airplanes during the quarter: five E175s ordered by Republic Airlines on March 11, valued at an estimated $222 million based on current (EMB) list prices; and 15 E175s and two E190s ordered by Air France (AFA) - (KLM) on March 30, valued at an estimated $764 million at current list prices.

As of March 31, (EMB)’s firm order backlog reportedly totaled $20.4 billion, down -$500 million from year-end 2014. 454 airplanes are presently in (EMB)’s firm order backlog queue, including 172 E175s, 100 E175 E2s, 60 E190s, 60 E190-E2s, 50 E195-E2s, seven E195s, and five E170s.

News Item A-3: Embraer (EMB) Executive Jets delivered the 100th Phenom family jet produced in Melbourne, Florida, just over >3 years after the first airplane rolled off this facility’s assembly line. The commemorative airplane, a NetJets (EXF)/NEU) Signature Series Phenom 300, was delivered to NetJets® Inc, a Berkshire Hathaway company and will be part of the company’s European fleet.

“The delivery of the 100th Phenom jet made in Melbourne confirms our customers’ appreciation for revolutionary airplanes, like the Phenom 300,” said Marco Túlio Pellegrini, President & (CEO), Embraer (EMB) Executive Jets. “We are very pleased to deliver this milestone Phenom 300 to NetJets (EXF)/(NEU), which underscores the value of our strategic partnership.”

NetJets (EXF)/(NEU) and Embraer (EMB) signed an original purchase agreement for 50 Phenom 300 firm orders and 75 options, in October 2010. The total value of the deal may exceed >US$ 1 billion, if all options are exercised. In December 2014, an agreement to convert 10 Signature Series Phenom 300 purchase options into firm orders was signed by both parties. (EMB) has now delivered 40 Signature Series Phenom 300 to NetJets (EXF)/(NEU). These airplanes operate in the (EXF)/(NEU) fleet, with fractional owners in the USA and Europe.

“The Signature Series™ Phenom 300 has proven itself to be a success in meeting our expectations, and more importantly, the expectations of our customers,” said Chuck Suma, Senior VP Global Asset Management, NetJets Inc. “The Phenom 300 is the best-selling airplane in our fleet, and as we accept delivery of our 40th jet, we look forward to continue to bring them into our fleet.”

The Phenom 300 is in operation in the corporate and fractional markets, having become the most delivered business airplane in 2014, for the second consecutive year. The Phenom 300 has accrued a 57% market share in the light jet category, just five years after entering into service (EIS).

The Melbourne facility began operations in 2011, with the assembly of the Phenom 100, and the first airplane was delivered in December of the same year. Production of the Phenom 300 at this facility began in August 2012, and the first delivery took place in December of the same year.

News Item A-4: (STG) Aerospace has won a contract to supply its market-leading safTglo photoluminescent emergency floorpath marking system for the next generation of Embraer (EMB) airplanes launching in 2017.

May 2015: News Item A-1: "Embraer (EMB): The USA market continues to dominate 70- to 130-seat jet market" by (ATW) Linda Blachly, May 12, 2015.

Embraer (EMB) predicts 2,060 new jet deliveries in the 70- to 130-seat segment by 2035, valued at $96 billion at list prices, according to its 20-year Market Outlook for North America.

Some 47% of the region’s new deliveries are expected to support market growth, while 53% will replace aging airplanes that will be retiring by 2034, the Brazilian-based manufacturer said. “Despite higher growth rates in other parts of the world, our projections show the USA market continuing to dominate the segment because it has such a large volume of existing 70 to 130-seat jets,” Embraer (EMB) Commercial Aviation President & (CEO), Paulo Cesar Silva said. “However, we foresee room for growth, as network airlines look for alternatives to reduce the capacity gap between regional and mainline operations.”

Embraer (EMB) said further growth is expected as full-service carriers restructure their intra-regional hub-and-spoke operations and deploy larger-capacity regional jets with premium seating in markets traditionally flown by 50-seat jets. The E175 has become a best-seller in its category with an 80% share of net orders in North America since 2013.

In North America, Embraer (EMB) has more than >50% market share among airplanes in its segment, with over >400 E-Jets delivered.

News Item A-2: China’s (HNA) Group subsidiary, China’s Tianjin Airlines (GCR) has signed a final agreement with Embraer (EMB) for 22 airplanes, comprising 20 E195s and two E190 E2s. The order, valued at $1.1 billion at current list prices, makes Tianjin the first Chinese airline to order the E2 model.

The agreement between the two companies for 40 airplanes was previously announced in July 2014. The remaining 18 E190 E2 jets will be part of a second approval by the Chinese authorities in a later stage.

According to Embraer (EMB), the first E195 will be delivered in 2015, and the first E190 E2 is scheduled for delivery in 2018.

Embraer Commercial Aviation (EMB) President & (CEO), Paulo Cesar Silva said, “China is growing very fast and there is a need for smaller narrow body jets to support efficient hub and spoke operations, complementing larger narrow body airplane operations, thus providing an ideal balance of frequency and seats, encouraging the development of new markets with lower risks and incremental capacity, while generating significant demand for new airplanes in this category.”

Tianjin Airlines (GCR) was the launch customer for the EMB-190 in China and operates the largest E-Jets fleet in Asia with 50 E190s in its fleet. It is also the first carrier being appointed as an Authorized Service Center for Embraer (EMB) airplanes in China.

News Item A-3: Azul Airlines (AZL) has finalized an order with Embraer (EMB) for 30 firm orders for the E195 E2 jet, previously announced at the 2014 Farnborough Airshow, where (AZL) was announced as the launch customer for the type. The contract also includes an additional 20 purchase rights for the same model, bringing the total potential order up to 50 E195 E2 jets.

According to Embraer (EMB), the E2 order is valued at $3.2 billion at current list prices. First delivery is scheduled for the second quarter of 2020.

(AZL) (CEO), David Neeleman said, “The E2 will be the most advanced airplane in its category, providing a savings on fuel burn more than >+20% higher than the current model. That will be fundamental for maintaining our competitive fares and for growing in the domestic market.”

Currently, (AZL) has a total of 82 E-Jets in service and another six E195s on order. With this firm order from (AZL), the E-Jets E2 backlog reaches 242 firm orders, plus 348 options and purchase rights.

The first delivery of an E-Jets E2 (the E190 E2) is planned for the first half of 2018. The E195 E2 is scheduled to enter service in 2019 and the E175 E2 in 2020.

Embraer (EMB) said the E-Jets E2s will be powered by Pratt & Whitney (PRW) PurePower Geared Turbofan high by-pass ratio engines (PW1700G) on the E175 E2, (PW1900G) on the E190 E2 and E195 E2). “Combined with new aerodynamically advanced wings, full fly-by-wire flight controls, and improvements to other systems, the E2s will deliver significant reductions in fuel burn, maintenance costs, emissions and external noise,” Embraer (EMB) said.

News Item A-4: Embraer Executive Jets announced that the Legacy 500, its new midsize business jet that just entered the market, has already set four new world speed records for its class, this year.

June 2015: News Item A-1: "Embraer (EMB) to Fly ecoDemonstrator with Boeing (TBC)" by (ATW) Graham Warwick, June 30, 2015."

Boeing (TBC) is to collaborate with Embraer (EMB) to fly a test bed for environmental technologies in Brazil in 2016, as a follow on to the (TBC)’s series of ecoDemonstrators.

The unspecified Embraer (EMB) airplane will be flown as part of Boeing’s ecoDemonstrator program, which was begun in 2011 and so far has involved flight tests of more than >60 technologies, first on a 737-800, then a 787-8 and most recently on a 757, which is just wrapping up flights.

The technologies to be tested on Embraer (EMB)’s demonstrator are being assessed and will be announced at a later date, said Boeing (TBC).

The companies announced a collaboration in 2012, under which they have developed runway situational awareness tools to prevent incursions. Boeing (TBC) has provided support for Embraer (EMB)’s KC-390 military airlifter program, and in January they opened a joint biofuel research center in Brazil.

Under the ecoDemonstrator program, Boeing (TBC) flew the 737 in 2012 and 787 in 2014. This year, the 757 demonstrator has tested an active-flow-control vertical tail, insect mitigation for laminar-flow wings, dimmable windows powered by harvested energy and other technologies.

The three campaigns have included other agencies, companies and airlines including the (FAA), (NASA) (NAS), Honeywell (SGC), Panasonic, Rolls-Royce (RRC), American Airlines (AAL), Delta Air Lines (DAL), Japan Airlines (JAL)/(JAS) and the (TUI) Group (TUG).

July 2015: News Item A-1: Embraer (EMB) reported second-quarter net income of +$131.1 million, down -10.6% from a net profit of +$146.7 million in the 2014 June quarter, on a -14.2% year-over-year drop in revenue to $1.51 billion.

Embraer (EMB) delivered 27 commercial airplanes in the second quarter, down slightly from 29 commercial airplanes delivered in the prior-year period. Second-quarter 2015 commercial deliveries comprised 22 E175s, three E190s and two E195s.

(EMB)’s second-quarter operating profit decreased -25.6% from +$385.2 million in the 2014 June quarter to +$286.7 million this year.

Commercial aircraft now represent 58.3% of (EMB)’s total revenue, up from 55.2% in the 2014 second quarter. (EMB) noted that the E-Jet E2 program has now secured 267 firm orders.

News Item A-2: "Embraer (2Q) E-Jet Orders Surge; Order Backlog at Company Peak" by (ATW) Mark Nensel, July 15, 2015.

Embraer (EMB) reported bookings for 104 new firm orders in the 2015 second quarter, a twenty fold year-over-year (YOY) upsurge compared to (EMB)’s year-ago quarter total of five new orders.

(EMB) logged new firm orders worth $2.6 billion during the Paris Air Show in June, including 25 aircraft from USA lessor, Aircastle (CSL) (15 E190-E2s and 10 E195-E2s); 10 E175s from United Airlines (UAL), for operation on regional arm United Express; 8 E175s from SkyWest (for operation with Alaska Airlines (ASA)); and 7 E190s for Chinese startup, Guizhou Airlines (GIZ).

Additional firm orders logged during the second-quarter included 30 E195-E2s from Brazilian flag carrier, Azul (AZL), which had been originally announced at the 2014 Farnborough Airshow; 22 E-Jets for Hainan Airlines (HNA) (20 E195s and two E190-E2s), to be utilized on (HNA)’s subsidiary, Tianjin Airlines (GCR); and two E190s to Venezuelan flag-carrier, Conviasa (VCV).

As of June 30, Embraer (EMB)’s firm order backlog totaled $22.9 billion, “the highest level in [its] history,” (EMB) said, and a rise of +$2.5 billion since the end of the 2015 first-quarter.

(EMB) delivered 27 commercial aviation aircraft in the second-quarter of 2015, -2 less than the 2014 June quarter and a -6.9% drop (YOY). (EMB) also delivered 33 executive aviation aircraft during the quarter, bringing (EMB)’s second-quarter delivery total to 60, up +3.4% (YOY).

Embraer (EMB)’s commercial aircraft deliveries included 22 E175s (9 to SkyWest, 9 to (UAL), and 4 to American Airlines (AAL)), 3 E190s (2 to Conviasa (VCV) and 1 to USA-based lessor, the (CIT) Group (TCI), and two E195s to Azul (AZL).

At the end of the 2015 June quarter, 531 commercial aircraft were in Embraer (EMB)’s firm order backlog queue, up +77 aircraft since March 31, comprising orders for 168 E175s, 100 E175-E2s, 90 E195-E2s, 77 E190-E2s, 66 E190s, 25 E195s and 5 E170s.

News Item A-3: "Embraer (EMB) BizJet Business Picks Up in Second Quarter" by "Avionics Today" Juliet Van Wagenen, July 15, 2015.

Embraer (EMB) has seen a pickup in business jet deliveries in the second quarter of 2015 and has recorded a record backlog of more than >$22.9 billion. During the second quarter, the company delivered 27 jets to the commercial aviation market and 33 jets to the business aviation market, for a total of 60 aircraft, compared to 58 aircraft delivered in the same period last year.

September 2015: News Item A-1: "Surging E-Jet Sales Have Embraer (EMB) Mulling Production Increase" by (ATW) Aaron Karp, September 1, 2015.

Embraer (EMB) has already sold 131 E-Jets this year (a mix of current generation E-Jets and E2 aircraft) and, though declining to provide a specific number, hints that E-Jet sales could top 150 aircraft this year on the heels of 149 units sold in 2014. “We have several [sales] opportunities, and this number [131 units sold] can go up substantially” by the end of 2015, Embraer Commercial Aviation VP Marketing, Rodrigo Silva e Souza.

Embraer (EMB) will produce 95 - 100 E-Jets this year (it delivered 92 commercial aircraft last year), but if current sales trends continue, that likely won’t be a high enough level of production in coming years. “We have the capacity to increase production if necessary,” Silva e Souza said. “A small increment [of increased production] next year is possible. We have produced close to 150 aircraft a year in the past. If we plan accordingly, we can increase to those levels” in future years. The E-Jet backlog has reached a record 531 aircraft.

A big reason for the robust sales is that airlines are interested in both current generation E-Jets to meet more immediate needs and E2s to meet future demand. “The airlines need the [E-Jet] technology in the short term, so they can’t wait for the new [E2] technology to explore opportunities rising now,” Silva e Souza said.

Interest in current generation E-Jets is coming from USA airlines looking to replace 50-seat regional jets with dual-class 76-seat EMB-175s and emerging economies building internal domestic markets. Many airlines in developing economies are also interested in E2s, Silva e Souza said. “China is growing its domestic [air travel] market and we see a lot of potential for our aircraft to build the regional network in China,” he explained.

Embraer (EMB) has completed the wing assembly for the E190-E2, which is slated for first flight in the second half of 2016. The wing-fuselage joining will come “some months from now” and the (PW1900G) geared turbofan (GTF) engine should be delivered by Pratt & Whitney (PRW) by the end of this year, Silva e Souza said.

“We see thorough interest in both airplanes [current generation E-Jets and E2s] and in many cases, we’re in discussions about both airplanes with the same customer,” he said.

News Item A-2: "Embraer Forecasts 1,020 New Aircraft for China by 2034" by (ATW) Linda Blachly, September 16, 2015.

Embraer (EMB) Commercial Aviation forecasts that China will take delivery of 1,020 new 70- to 130-seat aircraft in the next 20 years. (EMB) projects worldwide deliveries of 6,350 jets, in the 70 to 130-seat segment. The value of these deliveries, at list prices, will reach an estimated $300 billion, according to (EMB).

"(EMB) Commercial Aviation has achieved an 80% share of the regional aviation market in China. Currently, (EMB)’s ERJ145 and E190 aircraft are serving over >120 airports in more than >400 markets.” As of June 30, (EMB) said it had logged 167 firm orders for commercial jets from customers in China, of which 130 have been delivered.

(EMB) Commercial Aviation President & (CEO), Paulo Cesar Silva said, “The aviation industry in China will continue to be robust in the foreseeable future. We believe China’s aviation industry will keep its momentum during the next 20 years and become the largest single-country market in the world.”

(EMB) believes China’s economy will remain strong, with a projected annual growth rate of +5.6%. “This is one of the drivers that will lead to a +7% annual growth for air travel in China over the next 20 years, and become the highest in the world,” Embraer (EMB) said.

October 2015: News Item A-1: Embraer posted a net loss of -$109.6 million, compared to a loss of -$10.7 million year-over-year. The Brazilian manufacturer said the loss was due to $24.2 million in foreign exchange losses compared to 45.7 million in foreign exchange gains as well as income tax expenses of $164.4 million. Brazil’s real devaluation of 28% vs the USA dollar during the quarter explains most of the income tax variation, it said.

Revenue for the quarter was up +3.6% to $1.28 billion year-over-year, driven by growth in its commercial and executive jet segments.

During the quarter, Embraer (EMB) invested $109.8 million in new product development, which was partially offset by suppliers’ contributions of $30.4 million. The investments were primarily related to development of the E-Jets E2 program in the commercial aviation sector, it said.

Its commercial aviation division recorded revenue of $688.2 million during the quarter, or 53.5% of the company’s total revenue. That compares to $660.7 million in revenue for the third quarter in 2014.

The development program of its E-2 family of E-Jets continues to progress, the company said. It expects to first flight of the E190-E2 jet in 2016 with entry-into-service (EIS) in the first half of 2018.

In the commercial division, the company is sold out for 2015 and expects similar results for 2016, officials said.

News Item A-2: Embraer (EMB) delivered 21 commercial aviation aircraft in the 2015 third-quarter, a +10.5% increase over the year-ago quarter. Twenty of the delivered aircraft were E175 models, including nine to American Airlines (AAL), six to Republic Airlines, and five to SkyWest Airlines. Additionally, Brazilian low-cost carrier (LCC) Azul (AZL) took delivery of an E195.

Embraer (EMB) booked new firm orders for 20 commercial aircraft during the quarter including SkyWest’s September 14 order for 18 E175s, valued at approximately $800 million. Additionally, British Virgin Islands-based lessor, Jetscape placed a firm order for two E190s, valued at approximately $98 million.

As of September 30, Embraer (EMB)’s firm order backlog totaled $22.1 billion for 530 aircraft (down -$800 million from the end of the 2015 second-quarter as the number of third quarter (3Q) deliveries exceeded new firm orders by one. (EMB)’s backlog order queue comprises 166 E175s, 100 E175 E2s, 90 E195-E2s, 77 E190-E2s, 68 E190s, 24 E195s, and five E170s.

By the end of the third-quarter, Embraer (EMB) has booked a gross firm order total of 146 commercial aircraft, worth approximately $7.59 billion in revenue, and has delivered a total of 68 commercial aircraft.

News Item A-3: "Embraer: Europe, (CIS) to Need 1,540 New 70- to 130-seat jets by 2034" by (ATW) Linda Blachly, October 14, 2015.

Embraer (EMB) predicts 1,540 new aircraft deliveries in the 70- to 130-seat jet segment for Europe and the Commonwealth of Independent States (CIS) over the next 20 years. This represents a value of $72 billion at list prices, according to (EMB).

(EMB), which released its "Market Outlook" at the European Regions Airline Association, (ERA) Annual General Assembly in Berlin, said this is the second largest market worldwide for the segment with a fleet growing from 740 to 1,560 aircraft by 2034.

The report stated: “In Europe, the focus on long-haul premium passengers is now close to absolute, which, in turn, reinforces the importance of jets in the 70- to 130-seat segment to feed international flights. Traditional full-service carriers restructured in order to improve efficiency and reduce costs. The poor financial performance is not the result of weak traffic growth or load factors, since (RPK) growth was solid at +5.8% in 2014 and the aggregate load factor was over >80% LF.” However, Embraer (EMB) said that pricing power for European airlines “has declined significantly, as supply has consistently outpaced demand. Yields have been decreasing -2% annually over the last five years,” adding there is a “further need for structural changes, business consolidation, and capacity management. Hub feeding and differentiation of services to attract business passengers are options that will require right-sized aircraft in the 70 to 130-seat segment.”

In parallel, (EMB) said some low-cost carriers (LCCs) are reaching the limit of growth in trunk routes. “As opportunities to explore trunk routes are limited, low density markets are becoming more relevant in their networks. The imbalance between aircraft capacity and demand has led to an increase in the number of service cancellations (carriers withdrew from 460 markets in 2014 compared to 370 just three years before). High (LCC) growth rates cannot be maintained indefinitely. There is one market canceled for each market opened, down from 2007 when (LCC)s opened 7x times more markets than they canceled.”

November 2015: News Item A-1: "Embraer (EMB) Says E2 Program Still On Schedule" by (ATW) Alan Dron, November 12, 2015.

Embraer (EMB) is assembling the first of its next-generation E2 regional jets and the program remains on track, according to Embraer Commercial Aviation President & (CEO), Paulo Cesar Silva.

Speaking at the Dubai International Air Show, Paulo said the wing and body of the first E190 E2 are being joined, the aircraft’s engines are due to arrive mid-November, and the aircraft is due to be completed by the end of the year. First flight is due for the second half of 2016, with first deliveries to customers in the first half of 2018.

There will be four flight-test aircraft for the baseline E190 E2 and two for the larger E195 E2. The number of flight test aircraft for the smallest aircraft in the range, the E175 E2, has not yet been decided. The E2 ‘iron bird’ test rig is already complete and working.

“We’re very pleased with the number of firm orders” (267 out of a total of around 600 commitments) and a total of around 160 current generation and E2 models has been sold so far this year, Silva said.

This is despite a slowdown in orders from developing nations and slowing economies in China and Brazil.

Mathieu Duquesnoy, Embraer (EMB) VP Commercial Aviation for Europe, Middle East & Africa, said sales this year had been excellent, with a “book to build” ratio close to two.

Traditionally, the Middle East has not been regarded as a strong market for regional jets, due to factors such as the emphasis on long-haul routes by many carriers. However, Duquesnoy said nine operators flew 58 E-Jets in the region, and he is confident this number would rise.

He noted that 41% of all intra-Middle East services carried fewer than <120 passengers and that there remains considerable potential to use regional aircraft to increase frequencies, as 56% of all services in the region have a frequency lower than one return flight daily.

“We see opportunities to ‘right-size’ some narrow body operations,” he said.

Duquesnoy added that Embraer (EMB) is working with Oman Air (OMR) to find new uses for its four E175 regional jets, which (OMR) had originally planned to retire this year. (OMR) owns the E175s, which arrived in Muscat in 2011, and uses them on domestic and regional services. It said in May, it plans to phase out both the E175s and its ATR 42-500 turboprops, and replace them with larger types to simplify its fleet structure and increase cost efficiency.

However, “We are now working with them on how this E175 fleet can be redeployed. It was instrumental for them developing their regional market,” he said.

December 2015: News Item A-1: "A United Airlines CSeries Order Could Be Breakthrough Bombardier Needs" by (ATW) Aaron Karp in AirKarp Blog, December 21, 2015.

United Airlines (UAL) is one step closer to placing an order for new small narrow body aircraft, after a key union committee voted on December 22 to approve a proposed two-year contract extension.

Bombardier (BMB) executives were rightly exuberant over Transport Canada’s certification of the CS100, a significant milestone not just for the CSeries program but for Canadian aerospace. The performance metrics Bombardier is reporting from CSeries flight testing are impressive, but to make genuine progress on the CSeries program, Bombardier (BMB) needs a big order.

“When I’m sitting across from a [potential airline] customer, I now have a certified aircraft,” Bombardier Commercial Aircraft President & (CEO), Fred Cromer said following certification, adding that the CSeries is “starting to resonate” with airlines. “We will turn that interest into sales,” he said.

CSeries sales are stuck at 243 firm orders, and (BMB) is in desperate need of a splashy order for its foray into the narrow body airliner sector.

United Airlines (UAL) presents a major opportunity. (UAL) has signaled it could soon place an order for as many as 50 aircraft in the 100-seat size range. Some have suggested that (UAL) could go with an Airbus A319neo or a Boeing 737 MAX 7. (UAL) executives say they’re exploring all options, but the impression I get is that those aircraft are too large for what (UAL) is looking for.

(UAL) wants to become “more dependent on mainline [flying] and less dependent on [contracted] regional [flying]” in its domestic network, Vice Chairman & Chief Revenue Officer Jim Compton said when I visited (UAL)’s headquarters earlier this month, citing, among other issues, USA regional carriers’ problems hiring new pilots (FC). “There are [domestic (UAL)] markets where a 100-seat aircraft would fit very well,” Compton said.

(UAL)’s most logical options are the CS100 and the Embraer (EMB) E190-E2. On the plus side for Embraer (EMB): (UAL) really likes the way the 76-seat E175 is performing in its network. In fact, according to (UAL) VP Network Planning, Brian Znotins, the E175 has a higher level of passenger satisfaction than (UAL)’s 737 and A320 mainline domestic aircraft.

(UAL) acting (CEO) Brett Hart told me, “The E175 has been a terrific aircraft for us. It provides a very good experience for our customers. We recognize that. We would expect that, if we went to a 100-seat aircraft, we would get that level of satisfaction.”

The E190-E2 and CSeries are both powered exclusively by Pratt & Whitney (PRW) geared turbofan (GTF) engines, so no advantage there for either aircraft. The CSeries is a bit larger. Delta Air Lines (DAL) plans to configure the E190s it is putting in its mainline fleet with 98 seats and (UAL)’s configuration would probably be similar. With the CSeries, it could likely seat 110 passengers.

Obviously, price will be a huge issue in this decision. (UAL) has a lot of leverage. An order from a major USA airline for as many as 50 CS100s or E190-E2s to place into mainline service would be a significant win for Bombardier (BMB) or Embraer (EMB).

This may turn into a limbo contest: How low will they go? Steven Udvar-Hazy has been publicly advising Bombardier (BMB) for some time to do whatever is necessary from a pricing standpoint to secure a signature order for the CSeries (would Bombardier (BMB) be willing to essentially give the aircraft to (UAL)?

One caveat: Could Boeing (TBC) or Airbus (EDS), in order to block Bombardier (BMB) from breaking through with (UAL), be willing to offer a sweet deal on 737 MAX 7s or A319neos? I mentioned those aircraft are larger than what (UAL) is looking for, but if the price is right (and if those aircraft are coupled with other Boeing (TBC) or Airbus (EDS) aircraft) this could be sufficient to scuttle a United (UAL) - Bombardier (BMB) CSeries deal?

News Item A-2: "Embraer E190-E2 to Roll Out February 25" by (ATW) Aaron Karp, December 23, 2015.

Embraer (EMB) plans to roll out its 1st next-generation E-Jet, an E190-E2 on February 25 at its headquarters in São José dos Campos, Brazil.

The E190-E2’s 1st flight is slated for the 2nd half of 2016 with 1st deliveries expected to take place in 2018. “It will be gratifying to see the 1st E190-E2 leave the hangar towards the tests that will lead to the inaugural flight,” Embraer (EMB) Commercial Aviation President & (CEO). Paulo Cesar Silva said “The 2nd generation of E-Jets will allow current and future operators to incorporate aircraft that are even more modern, with significant reduction in operating cost and unmatched passenger comfort.”

(EMB) has secured 267 firm orders since the E2 program was launched at the 2013 Paris Air Show. The program will also include the E195-E2 set to enter service in 2019, and the E175-E2 set to enter service in 2020.

The E2s will be exclusively powered by (Pratt & Whitney) (PW1900G)1 geared turbofan engines.

News Item A-3: (EMB) delivered the 1,200th E-Jets aircraft to Brazil’s Azul (AZL).

January 2016: "Embraer (EMB) Orders Up +24%, Deliveries Increase +10% in 2015" by (ATW) Mark Nensel, January 14, 2016.

Embraer (EMB) ended 2015 with firm orders from 13 customers for 185 commercial aviation jets, a +24.2% increase over 2014. In total, (EMB)’s 2015 orders comprised 94 E175s, 40 E195-E2s, 21 E195s, 17 E190-E2s and 13 E190s.

Cumulatively, (EMB)’s major orders for the year came from SkyWest Airlines (52 E175s ordered, valued at approximately $2.3 billion); Azul (AZL) (30 E195-E2s ordered, valued at $1.9 billion); USA lessor, Aircastle (CSL) (25 E190-E2s ordered, valued at $1.5 billion); China’s Hainan Airlines (HNA) (20 E195s and 2 E190-E2s ordered, valued at $1.1 billion) and (KLM) (17 E175s and 2 E190s ordered, valued at $856 million).

(EMB) delivered 101 commercial aviation aircraft to 13 customers during the year (a +9.8% increase over the company’s 92 commercial aviation deliveries in 2014. In total, (EMB) delivered 82 E175 models, 9 E195s, 8 E190s and 2 E170s.

(EMB)’s major delivery customers in 2015 included SkyWest (which took delivery of 25 E175s); American Airlines (AAL) (24 E175s); Republic Airlines (18 E175s); United Airlines (UAL) (11 E175s) and Brazilian low cost carrier (LCC) Azul (AZL) (7 E195s).

(EMB) logged 5 new firm orders for 39 commercial aircraft in the 2015 4th-quarter, including orders for 26 E175s from SkyWest (19 of which are to be operated under a Capacity Purchase Agreement with Delta Air Lines (DAL)), 8 E175s from Mesa Airlines, 2 optioned E175s for (KLM) and an E195 for Arkia Israel Airlines (ARK).

18 cancellations/changes were noted during the 4th-quarter as well, as 15 E175s for Republic and 8 E190s for an undisclosed customer were taken off the order books.

(EMB) delivered 33 commercial aviation aircraft in the 2015 4th-quarter, a +1.1% increase over the year-ago quarter. 20 of the delivered aircraft were ERJ-175 models, including 9 to American Airlines (AAL), 6 to Republic, 3 to Mesa and 2 to SkyWest. (EMB)’s other 4th-quarter deliveries included: 6 E195s (4 to Azul (AZL) and 2 to Hainan Airlines (HNA)); 5 E190s (2 to Colorful Guizhou Airlines (GIZ), 2 to (KLM) and 1 to Hebei Airlines (NTE) and 2 E170s to Japan Air Lines (JAL)/(JAS).

As of December 31, (EMB)’s firm order backlog was $22.5 billion, up +$400 million from the end of the 2015 3rd quarter. 513 aircraft are in (EMB)’s firm order backlog queue, including 169 E175s, 100 E175-E2s, 90 E195-E2s, 77 E190-E2s, 55 E190s, 19 E195s and 3 E170s.

February 2016: News Item A-1: Alaska Airlines (ASA) has selected the Embraer (EMB) E175 for its pending order of 30 regional jets, the Wall Street Journal reported. (ASA) also has purchase options for +30 more. The firm order is worth $1.3 billion at list prices. However, market data from aircraft valuation firm Avitas pegs the price after standard discounts at about $876 million. The E175S will be flown by (ASA) regional subsidiary, Horizon Air.

The other contender for the (ASA) order was the Bombardier (BMB) CRJ900.

News Item A-2: Colorful Guizhou Airlines (GIZ) signed a long-term agreement for its Flight Hour Pool Program with (EMB), providing a comprehensive components repair package for its E190 fleet. This is the 1st contract that Embraer (EMB) has signed for the program in China for commercial aviation. The Chinese carrier also reached a 10-year OnPointSM solution agreement with (GE) Aviation (GEC) for the Maintenance Repair & Overhaul (MRO) of the (CF34-10E) engine fleet powering its 7 E190 aircraft. The agreement is valued at >$56 million over the life of the agreement.

News Item A-3: Embraer (EMB) delivered a Legacy 500 to movie star Jackie Chan (the 1st customer in China). The Legacy 500 was granted a validation of Type Certificate from the Civil Aviation Administration of China (CAAC) in July 2015.

A Legacy 650 was previously delivered to Jackie Chan in 2012.

News Item A-4: Embraer Commercial Aviation has forecast that Asia-Pacific airlines will take delivery of 1,570 new jets in the 70- to 130-seat segment, valued at $75 million, over the next 20 years. This represents 25% of the worldwide demand for the segment.

According to the global "Embraer Market Outlook," the entire market will demand 6,350 new jets in the 70- to 130-seat category, which is valued at $300 billion.

The report stated: “The Asia-Pacific market will become more affluent, competitive, and open, further stimulating airlines to seek system efficiencies, brand differentiation, and improved service levels. In this context, the 70- to 130-seat jet segment will play a key role in supporting the intra-regional development in the Asia Pacific region.”

Embraer Commercial Aviation President & (CEO) Paulo Cesar Silva said, “We are showing to airlines the benefit of moving from ‘red oceans’ to ‘blue oceans,’ that is, to move away from a crowded marketplace and seek out opportunities in markets that are currently underserved, or not served at all, where yields are also stronger, moving from 1 to 2 digits.”

(EMB) said the Asia-Pacific has experienced rapid social and economic development in recent decades. The region’s above-average economic expansion, with a projected annual (GDP) growth rate of 4.1% for the next 20 years, combined with increasing urbanization and shifting demographic patterns, will result in higher household incomes and increased discretionary spending, including air travel.

(EMB) also said it sees untapped opportunities in Asia Pacific, where >250 markets, or 30% of narrow body exclusive markets are served with <1 daily frequency. “Markets like these would be better served with 70- to 130-seat jets, based on the average number of passengers per departure,” (EMB) said. “Also, 37% of intra-regional turboprop capacity is offered on routes longer than >200 nautical miles, which are better suited to jet operations, due to their higher network productivity, better operating economics, and superior passenger appeal.”

According to the market outlook, another opportunity in the region is the replacement of aging fleets, where there are >250 jets in the 50- to 150-seat category with >10 years of age, which will become targets for replacement in the near future.

News Item A-5: "Singapore Airshow - Embraer Signs Pool Agreement with Colorful Guizhou Airlines" by China Aviation Daily, February 16, 2016.

Colorful Guizhou Airlines (GIZ) signed a long-term agreement for its Flight Hour Pool Program with Embraer (EMB), providing a comprehensive components repair package for its E190 fleet. This is the 1st contract that (EMB) has signed for the program in China for commercial aviation.

(GIZ) also reached a 10-year OnPointSM solution agreement with (GE) Aviation (GEC) for the Maintenance Repair & Overhaul (MRO) of the (CF34-10E) engine fleet powering its 7 E190 aircraft. The agreement is valued at >$56 million over the life of the agreement.

"As a start-up airline operating mainly regional lines in the beginning, we need strong and reliable support from the manufacturer," said Zhai Yan, Chairman of the Guizhou Industrial Investment (Group) Company, Ltd, and Chairman of Colorful Guizhou Airlines. "The pool program offers us a comprehensive materials and services package with a predictable cost, which allows our limited human resources to concentrate on daily operations, which is critical for us at this stage."

Established in June 2015, Colorful Guizhou Airlines (GIZ) is the 1st local airline in the Guizhou province, and also the 1st customer of Embraer's E190 in this province. (GIZ) inked an order for up to 17 E190 (7 firm orders and 10 optional) with (EMB), of which 2 were delivered and entered operation in December 2015.

"This agreement shows Colorful Guizhou (GIZ)'s trust and confidence in (EMB)'s customer services and support," said Johann Bordais VP Services & Support, Embraer Commercial Aviation. "We have been striving to deliver the best services at the most reasonable rate, and the pool program is among the best-valued products we have developed to reward our customers. This program will help (GIZ) rein in spare parts and services costs while maintaining a profitable and cost-effective operation."

Siu Ying Yeung, Chief Operating Officer (COO) Embraer China, said that this partnership is a good start for the Embraer China (CS&S) team, indicating that Chinese customers are beginning to realize the advantages of this service. "The pool concept is very popular in Western countries, currently supporting >50 airlines worldwide, and I'm sure that will achieve the same success in China, where we are broadening the base of the (CAAC) component repair capabilities," Siu said.

(EMB)'s Flight Hour Pool Program is designed to minimize an airline's up-front investment in high-value repairable inventories and resources, while taking advantage of (EMB)'s technical expertise and its vast component service provider network. The results are significant savings on repair and inventory carrying costs as well as reduction in required warehouse space, virtually eliminating the need for resources required for repair management, and ultimately, guaranteed performance levels.

News Item A-5: Air Costa ((IATA) Code: LB, based at Vijayawada) (CST) is set to place a repeat of its 2014 order with (EMB) (São José dos Campos) the Brazilian aircraft manufacturer's Chief Commercial Officer (CCO) John Slattery has told "Bloomberg" news.

In February 2014, (CST) placed an order for 50 E-Jets E2s with an additional 50 purchase rights. Broken down, the order includes 25 E190-E2s and 25 E195-E2s. The purchase rights are for an additional 25 E190-E2s and 25 E195-E2s bringing the overall order to 100 aircraft, if all options are exercised.

Air Costa (CST) currently operates 2 E190s and 1 E170. Based out of Vijayawada, (CST) currently serves cities in southern India such as Bangalore International, Chennai, and Hyderabad International as well as key secondary cities in the North and Northwest of the country. Having recently been given regulatory approval to expand its operations throughout India, Air Costa (CST) now plans to link more under served markets with more additional metropolitan areas, as well as other secondary and tertiary business centers.

News Item A-6: "Embraer (EMB) Rolls Out its E190-E2 Aircraft" by
(ATW) Mark Nensel, February 25, 2016.

Embraer (EMB) has rolled out its 1st next-generation E-Jet, an E190-E2, at its factory in São José dos Campos, Brazil. The E190-E2’s 1st flight is slated for the 2nd half of 2016 with 1st deliveries expected to take place in 2018. The E2s are exclusively powered by Pratt & Whitney (PRW) (PW1900G) geared turbofan engines.

Before a crowd of several thousand (EMB) employees and invited guests,following flyovers from aircraft from (EMB)’s 3 aviation divisions: Commercial Jets, Executive Jets, and Defense Systems, and a welcome greeting from (EMB) President & (CEO) Commercial Aviation, Paulo Cesar Silva, the doors of hangar F-300 slowly opened to reveal the 1st assembled prototype of the (E190-E2) jet, which gradually rolled out onto the tarmac, before stopping its nose several meters away from the gathered crowd.

“The rollout held today [February 25] marks the completion of the assembly of the 1st E190-E2 and paves the way for the start of the tests that will lead to 1st flight,” (EMB) Senior VP Operations & (COO) Commercial Aviation Luis Carlos Alfonso said.

4 prototypes of the E190-E2 will be created for the aircraft’s certification process. Assembly of the 2nd prototype is underway; it recently had its wing junction completed, Affonso said.

“With the world premiere of our 2nd-generation E-Jets [and] as a result of this event, the market’s interest in the E2 will grow even further,” Silva said. To date, the E2 program has 640 commitments, comprising 267 firm orders and 373 options and purchase rights.

The E2 program was launched in June 2013; Embraer (EMB) has invested $1.7 billion in the E2 family of aircraft. 2 additional E2 aircraft will be developed and introduced over the next several years. (EMB) will assemble 2 prototypes for its E195-E2 campaign, with entry into service (EIS) expected in 2019, and 3 prototypes will be built for Embraer’s E175-E2 campaign, with (EIS) slated for 2020.

See video: http://atwonline.com/aircraft-engines/atw-video-embraer-e190-e2-cabin-interior?NL=ATW-04&Issue=ATW-04_20160229

March 2016: News Item A-1: Embraer (EMB) $81 Million Net Result Reflects Loss from Republic Bankruptcy, March 03, 2016.

Brazilian manufacturer (EMB) reported net income of $80.8 million for 2015, down -76.8% from (EMB)’s +$347.7 million net profit in 2014.

News Item A-2: Embraer (EMB) has forecasted that Latin American airlines will take delivery of 720 new jets with between 70 and 130 seats over the next 20 years.

(EMB) said the number of 70 to 130 jets going to Latin America will comprise 11% of worldwide demand for such aircraft during the forecast period. The 70 to 130 seat jet fleet currently stands at 310 units in Latin America, but will grow to 740 by 2036.

“Despite the region’s current headwinds, which stem mainly from political and economic instability, prospects for mid and long-term growth remain positive in the coming years,” (EMB) stated. “An economic turnaround is expected, addressing macroeconomic imbalances and restoring business confidence. This recovery will result in more equitable income distribution and deeper regional integration, which will boost demand for air travel.”

(EMB) projected that air travel demand will grow around +6% annually in Latin America over the next 20 years. “The growth of the region’s middle class will also create new customers for the airlines, since many people have yet to take their 1st flight, rendering Latin America ripe for air transport,” (EMB) said. “Comparing the region with a mature air travel market like the USA, reveals enormous potential for growth: Latin America has 0.4 airline passengers per capita, a figure that is one sixth of the USA.”

News Item A-3: "You've Come a Long Way, Baby!" by (ATW) Kathryn Young in her Time Capsule, March 4, 2016.

The roll out of the Embraer 120 Brasilia took place in early 1983 at the company's São José dos Campos, Brazil, factory. 1st flight took place in July that year. The turboprop commuter aircraft was powered by Pratt & Whitney (PW 118) engines and seating capacity was 24Y - 30Y. The 1st Brasilia entered service with Atlantic Southeast Airlines in 1985.

There were 354 Brasilias built in formal production from 1983 - 2001.

On February 25, 2016, Embraer (EMB) rolled out its 1st next-generation E-Jet, an E190-E2 at its Brazil factory. The E190-E2’s 1st flight is slated for the 2nd half of 2016 with deliveries expected to begin in 2018. This narrow body jet aircraft will seat up to 114Y.

(EMB) has secured 267 firm orders since the E2 program was launched at the 2013 Paris Air Show. The program will also include the E195-E2, set to enter service in 2019, and the E175-E2, set to enter service in 2020.

The E2s will be exclusively powered by Pratt & Whitney (PW1900G) geared turbofan engines.

April 2016: News Item A-1: (KLM) Royal Dutch Airlines has launched a series of around 80 biofuel flights from Oslo to Amsterdam using an Embraer E190.

The remaining flights will be operated over a period of 5 to 6 weeks, (KLM) said. They will depart from Oslo Airport (Avinor), the 1st airport to supply biofuel directly from its hydrant system in January this year. Oslo Airport has begun supplying Air BP Biojet via its regular fuel hydrant system, for launch customers (KLM), the Lufthansa Group, and (SAS) Scandinavian Airlines.

In addition to biofuel supplied from the hydrant system, biofuel will also be delivered by separate fuel trucks for a series of (KLM) Cityhopper (AUK) flights to measure the efficiency of biofuel compared with kerosene during the (EMB) flights.

“Embraer (EMB) has been directly involved in several initiatives and partnerships for research and development of biofuels for aviation, but these flights with (KLM) are a flagship, as they represent the 1st initiative (EMB) developed with aviation biofuels on regular flights. [These tests] will bring the commercialization of alternative energy sources for air travel 1 step closer,” (EMB) President Europe Jorge Ramos said.

(KLM) previously conducted similar tests in cooperation with Airbus (EDS) and Boeing (TBC).

The biofuel for this series of flights is produced from 100% Roundtable on Sustainable Biomaterials (RSB) certified camelina oil, and in full compliance with the European Union (EU) "RED" standard. The biofuel is produced within the Initiative Towards SustAinable Kerosene for Aviation (ITAKA) project and supplied by Air BP and biofuel supplier, SkyNRG.

(ITAKA) is an (EU)-funded consortium, made up of aerospace and fuel companies including Airbus (EDS) and (EMB), which aims to produce and distribute sustainable aviation biofuel in Europe.

“For the coming years, the price gap between sustainable and fossil jet fuel remains the biggest challenge to create a stable market for sustainable jet fuel. Therefore engagement of all stakeholders, including governments, industry and end customers, is crucial,” (CEO) SkyNRG, Maarten van Dijk said.

News Item A-2: "Embraer Delivered 21 Commercial Aircraft in (1Q)"
by (ATW) Mark Nensel, April 15, 2016.

Embraer (EMB) delivered 21 commercial aviation aircraft in the 1st-quarter of 2016, a +5% increase over the year-ago quarter.

19 of the delivered aircraft were E175 models, including 6 to American Airlines (AAL), 4 each to USA regional carriers Republic Airlines and Mesa Airlines, 3 to USA regional carrier SkyWest Airlines, 1 to (KLM) Royal Dutch Airlines’ regional subsidiary, (KLM) Cityhopper (AUH) and 1 to Suzuyo & Company, the parent of Japanese domestic carrier Fuji Dream Airlines (FDA). Additionally, China’s Hainan Airlines (HNA) took delivery of 2 E195s.

(EMB) did not report any new orders for the 1st quarter, yet on April 12, Alaska Airlines (ASA)’ Portland, Oregon-based regional subsidiary Horizon Air placed a firm order for 30 E175s, plus options for an additional 33 E175 aircraft. If all options in the order are eventually exercised, the total value of the transaction will be $2.8 billion at current list prices. The order is the largest order ever placed by Horizon Air.

As of March 31, (EMB)’s firm order backlog totaled $21.9 billion in aircraft, down -$600 million from the 2015 close-out. Embraer (EMB)’s backlog has a queue of 492 aircraft, comprising 150 E175s, 100 E175-E2s, 90 E195-E2s, 77 E190-E2s, 55 E190s, 17 E195s and 3 E170s.

May 2016: News Item A-1: Embraer (EMB) Commercial Aviation President & (CEO), Paulo Cesar Silva has alleged that Bombardier (BMB) won an order from Delta Air Lines (DAL) for the CSeries based on improper government subsidies.

(EMB) “very aggressively” offered the E190 to (DAL), Silva told (ATW) in an interview at the Regional Airline Association (RAA) convention in Charlotte, North Carolina. But (DAL) instead chose the CS100, placing an April 28 order for 75 firm aircraft plus 50 options, in what Bombardier (BMB) characterized as an “industry-accepting” order for the CSeries.

“Of course, we win and lose deals in the market,” Silva said. “My remarks and my complaint are given [because of] the way we lost this campaign.”

The Quebec provincial government has invested $1 billion in the CSeries program and Montreal-based Bombardier (BMB) has additionally been in negotiations with the Canadian Federal Government about a potential investment in the narrow body airliner program, reportedly also for $1 billion. The CSeries is slated to enter service with Swiss International Air Lines (CSR) in July, but multiple delays have driven up the cost of the program. In its 1st-quarter financial report, (BMB) said it expects to record approximately $500 million in charges in the 2nd quarter related to closing CSeries orders from (DAL), Air Canada (ACN) and airBaltic (BAU).

“Any kind of a subsidy brings a distortion to the market,” Silva said. “In this case, what we are seeing is the government of Canada injecting $2 billion to $1 billion from Quebec (and another billion from the federal government) to help the CSeries program. According to our experience in this campaign with (DAL), clearly what was offered there was only possible because of the huge support coming from the government. And just after the announcement of the deal, if you look at the [quarterly earnings] report of Bombardier (BMB), there is a write-off of $500 million. They called that an onerous provision and linked it to the (ACN) and (DAL) transactions. So we are very keen to compete on products (quality of products, efficiency, being on time, being on budget) however, it’s tough to compete against a government.”

(BMB) spokesperson Marianella de la Barrera said, “It’s very clear why (DAL) chose the aircraft. It’s the better technology. (DAL) has been very clear publicly about why they chose the aircraft.”

Silva said he “could not guarantee” that the CS100s sold to (DAL) were done so below cost, but he believes it is “more likely that’s the case.” He added, “The Canadian taxpayer is providing money to Bombardier (BMB) to have (BMB) offering aircraft in the market at below cost.”

Silva said (EMB) is considering its legal options: “We are looking at the alternatives that we have in order to act against this. Could be the World Trade Organization (WTO), for instance.”

The (DAL) CSeries order was a double blow for Embraer (EMB). Not only did (DAL) choose the CS100 over the E190, but (DAL) also said it would no longer add 20 used E190s it had planned to operate in its mainline fleet.

“I think the [E190] is viable in the [USA] mainline [airline market] on a level playing field basis,” Silva said. “Again, I insist on that point. If we have a product that’s being offered at below cost and somebody else is paying the bill, who is not the manufacturer, then we can have some doubts about the sustainability of this process.”

News Item A-2: Embraer (EMB) Commercial Aviation has predicted Africa will take delivery of 240 new jets in the 70- to 130-seat segment over the next 20 years. The 70- to 130-seat jet fleet in service is estimated to grow from the current 120 units to 260 by 2034. The forecast was released during the Marrakech Air Show in Morocco.

“Africans are turning progressively to air travel. As in Asia, economic expansion, a growing urban middle class, continued market liberalization and regional integration will be the main drivers of air transport demand,” Embraer Commercial Aviation VP Latin America, Africa, & Portugal Simon Newitt said. “With right-sized aircraft, such as the E-Jets family, African carriers would be able to offer a better combination of capacity and frequency in core as well as low to mid-density markets.”

News Item A-3: See video on Embraer (EMB) E175:

News Item A-4: "Wheels Up for Embraer (EMB) E2."

(EMB)’s new E190-E2 regional jet took off for the 1st time on May 23. The aircraft is set to enter service in 2018 and can be configured with up to 106 seats. It is part of (EMB)’s updated E-Jets line, and will be followed by the E195-E2, scheduled to enter service in 2019, and the E175-E2 a year later.

By February 2016, the E2 program had recorded 267 firm orders. The program was launched in 2013.

June 2016: News Item A-1: Embraer (EMB) (CEO), Frederico Fleury Curado will step down from his position next month, and will be succeeded by Embraer Commercial Aviation President & (CEO), Paulo Cesar Silva.

(EMB) said Curado will stay with (EMB) through the end of the year to assist in a transition process. “After more than >32 years at (EMB), 22 of which as an officer, I have completed a cycle in my career,” Curado said. “I will now concentrate on other professional and personal activities. With Paulo, (EMB) will be in good hands.”

Silva has been an (EMB) senior executive since 1997 and has led the company’s commercial division for the last six years. He has spearheaded the development of (EMB)’s next-generation family of E-Jets, the E2. The first E2 prototype, an E190-E2, achieved first flight last month.

In a past interview, Silva described the thinking behind (EMB)’s decision to launch the E2 program in 2013, which (EMB) has characterized as a “re-engining-plus.” The E2 has a new engine, a new wing, a redesigned interior and upgraded avionics, but remains based on the E-Jet platform that has been an enormous seller.

“We had a look at the E-Jet as a program and we concluded that the E-Jet is a relatively new program. It’s still a state-of-the art aircraft,” Silva said. “So we said, ‘Why change the E-Jet now?’ Then the conclusion was that, given the new engines [providing] a lot of fuel savings, there was a need to reposition the E-Jet.”

News Item A-2: John Slattery will become President & (CEO) of Embraer (EMB) Commercial Aviation in July, moving up from his Chief Commercial Officer (CCO) role.

He replaces Paulo Cesar Silva, who is succeeding Frederico Fleury Curado as Embraer (EMB)’s overall (CEO). Slattery has been the Brazilian manufacturer’s top commercial aircraft salesperson since becoming (CCO) in 2012, aggressively promoting both current- and next-generation E-Jets.

Slattery joined Embraer Commercial Aviation as VP Customer Finance & Asset Management in March 2011.

News Item A-3: Embraer (EMB) has cut metal for its first E175-E2 prototype at its Evora plant in Portugal, producing a wing stud for the 3rd and smallest member of its 2nd generation E-Jet family.

News Item A-4: (MTU) Maintenance Lease Services is enhancing its existing services through a cooperation with Embraer Aviation International (SAS). A new service was created and foresees the provision of spare lease engines and lease engine support services to Embraer (EMB)’s E-jet operators in Europe, the Middle East and Africa.

According to the agreement, (MTU) Maintenance Lease Services will act as Embraer (EMB)’s recognized supplier of (CF34-10E) lease engines and lease support services.

July 2016: News Item A-1: The values of most regional jets (except the 50Y seats) are performing as expected though as the flight test of the Embraer (EMB) E2 continues, then there is concern that the number of E-Jets on the market will continue to climb.

The age profile of the E-Jets, with the oldest being some 12 years of age, is inevitably likely to stimulate greater availability. This is due to a number of factors. The move away from the E170s has been self evident for some time as illustrated by the lack of inclusion in the E2 line-up. Republic is to hand back some E170s. The disposal of a number of E190s by Virgin (VAA) has to be seen in the context of the announcement that Nordic Aviation is to acquire 19 E190s from Delta (DAL). The overall picture in the next few years is that the E170 and E190 are coming onto the used market in numbers. This is not unexpected and values will fall in line with existing forecasts.

News Item A-2: (EMB)’s 2nd E190-E2 prototype flew for the 1st time on July 8, joining the 1st test aircraft which made its debut at the Farnborough Airshow.

September 2016: Colorful Guizhou Airlines (GIZ) has signed an agreement with Embraer (EMB) for up to 5 E190s, comprising 2 firm orders and 3 purchase rights. The contract has an estimated list price value of $249 million, if all purchase rights are exercised. The 2 aircraft will be delivered in 2017.

In June 2015, (GIZ) placed an order at the Paris Air Show for 7 firm E190s, 4 of which have already been delivered.

(GIZ) Chairman Zhai Yan said, “As a newly established and the 1st locally owned airline in Guizhou province, Colorful Guizhou Airlines (GIZ) needs mature aircraft and services to guarantee our steady operation. We hope that the E190 fleet can help us build a sky passageway inside and beyond Guizhou province, and eventually contribute to improving the connectivity of China’s Southwest Region.”

Established in June 2015, (GIZ) completed its maiden flight 216 days after its founding. Positioned as a low-cost carrier (LCC) regional and trunk carrier, (GIZ) has already opened 9 routes, including Guiyang - Zhuhai, Guiyang - Tianjin, and Guiyang - Nanjing, transporting >140,000 passengers over the past 8 months.

News Item A-2: Embraer (EMB) will soon begin manufacturing business and commercial aircraft seats at its facility in Titusville, Florida, including 1st class seats for the E-Jet E2 family.

(EMB) inaugurated its new 50,000 sq ft manufacturing facility, Embraer Aero Seating Technologies, with a ribbon cutting on September 19. (EMB) announced the project in June 2015 at the Paris Air Show.

“Having spent nearly 50 years designing and developing aircraft
for various markets, Embraer (EMB) recognizes the distinct importance of the aircraft seat, the ultimate customer touch point,” (CEO) Paulo
Cesar de Souza e Silva said. “That’s why we made the strategic
decision to bring this expertise in house.”

October 2016: News Item A-1: (EMB) delivered 54 aircraft (29 E-Jets and 25 Executive Jets) in (3Q) 2016 vs 51 (21 E-Jets and 30 Executive Jets) in (3Q) 2015; it now has firm backlog of 479 E-Jets, including 272 E2-Jets.

News Item A-2: "Embraer: Chinese Startup Rule Creates Opportunities"
by (ATW) Victoria Moores victoria.moores@penton.com, (ATW) Plus, October 21, 2016.

Embraer Commercial Aviation (CEO) John Slattery believes a new rule, which initially limits Chinese startup airlines to smaller aircraft, could create opportunities for the Embraer E190.

Speaking on the sidelines of the European Regions Airline Association General Assembly in Madrid, Slattery said the Civil Aviation Administration of China (CAAC) issued a rule during the G20 meeting in early September that took immediate effect. This regulation restricts the size and number of aircraft that new air operator’s certificate (AOC) holders can operate.

“The restrictions prevent us from selling new Embraer E195s and restrict Bombardier (BMB) from selling the CSeries [to Chinese startups], but our E190 is absolutely in the sweet spot of the policy. We’ve got very good penetration of the Chinese market with the E190 (it’s a recognized asset with very good support) so we’re hopeful that China will deliver a significant amount of activity for new and pre-owned aircraft,” Slattery said.

He added that there are currently around a dozen Chinese airline business plans that might result in an (AOC) application. “I’d be hopeful that we can capture at least half of those as (EMB) customers,” he said. “We do think there will be a particular surge of activity in the Chinese market in the coming months.”

Over the 2016 - 2035 period, (EMB) is forecasting demand for 6,400 deliveries worldwide in the 70- to 130-seat segment, with 26% of that total (or 1,690 aircraft) destined for the Asia-Pacific region.

News Item A-3: (EMB) received type certification from Russia for its E170 and E175, joining the E190 and E195 (E195 operated by Saratov Airlines (SOV).

News Item A-4: (EMB) forecasts demand in Europe/(CIS) for 1,540 new 70-to-130-seat jet airliners worth US$80 billion over the next 20 years.

News Item A-5: (EMB) is preparing to add the 4th and final test aircraft to its E190-E2 program, which has now accumulated 241 flight hours. “We are ahead of schedule, on specification and on budget. The program is going well,” Embraer Commercial Aviation VP Europe & Middle East Arjan Meijer said at the European Regions Airline Association General Assembly in Madrid.

The E190-E2 flew for the 1st time on May 23, months ahead of schedule, and was joined by a 2nd prototype on July 8. The 3rd aircraft took to the skies on August 27. Number 4 is quite progressed and will soon be added to the flight test program. It will be fitted with a full interior. Embraer (EMB) has previously stated the 4th aircraft would fly by early 2017.

The E190-E2 remains on track to enter service in the 1st half of 2018. The next variant to go airborne will be the E195-E2, which is scheduled to fly in the 2nd half of 2017. The final family member, the E175-E2, is scheduled to enter service in 2020.

Embraer (EMB) has accumulated 270 firm orders for the E2 and is aiming to exceed >300 this year.

November 2016: Air Europa (ARE) and Danish regional aircraft lessor Nordic Aviation Capital (NAC) have completed a sale and leaseback on 7 Embraer (EMB) E195s. “The aircraft will be operated by Air Europa (ARE)’s sister company, Aeronova,” (NAC) said.

SkyTeam (STM) member Air Europa (ARE) is part of the Globalia tourism group and carries 9 million passengers annually.

(NAC) has undergone rapid expansion and made several acquisitions since it underwent a change of ownership in summer 2015.

In January, (NAC) announced the acquisition of Air Lease Corporation’s (ALE) fleet of 25 ATRs. In March it detailed plans to buy USA-based Jetscape Aviation Group and in April announced the purchase of Irish Embraer lessor Aldus Aviation. This was followed by an agreement in June to buy 19 Embraer E190s from USA-based Delta Air Lines (ALE) and a further 25 E-Jets from (ALE).

(NAC) was already a market leader in turboprop leasing and the acquisitions gave it a hold in the regional jet market, particularly in Embraer (EMB) leasing.

December 2016: News Item A-1: Embraer (EMB) delivered its 1,300th E-jet to Tianjin Airlines (GCR) bringing its E-jet fleet to 45 aircraft, the largest in Asia.

News Item A-2: Embraer (emb) is deferring entry-into-service (EIS) of the E175-E2, the 3rd member of its new-generation E2 airliner family, by a year to 2021, citing ongoing uncertainty over the settlement of scope-clause agreements at mainline carriers in the USA, the chief market for the variant.

News Item A-3: Embraer will launch a new business unit concentrating on services and customer support in the 1st half of 2017, the Brazilian manufacturer said on December 20. The business unit will be led by Johann Bordais, Embraer Commercial Aviation Director of Services & Support.

(EMB) said the as-yet-unnamed unit will “develop solutions in support of current and new products and services [and will manage] associated processes and resources.” Each of (EMB)’s product business units (Commercial Aviation, Business Aviation, and Defense & Security) will retain their respective Sales & Technical Support daily customer interface structure.

Prior to the announcement, (EMB) President & (CEO) Paulo Cesar Silva said last week that the company is looking to have “better penetration on the services side. I believe there are much more opportunities to explore in support services in terms of [generating] revenue [for Embraer (EMB)],” Silva said.

(EMB) now generates 15% of its total revenue from services. Silva said the company wants this to rise to 20% in 3 years and 25% in the next 10 years.

Silva noted that while (EMB) manufacturers the landing gear for the E-Jet E2, “we are not involved in the repair of landing gear, so this is something that we can do,” he said. He also noted (EMB) is interested in doing more support work on aircraft interiors. “A little bit here and little bit there [and we can add to the] value chain of the aircraft,” Silva said.

“We are in a long-cycle business that is naturally demanding on services, favoring long-term relationships with customers,” Johann Bordais said. “For Embraer (EMB), it represents an opportunity to obtain greater operational efficiency and recurring revenues.”

News Item A-4: Embraer (EMB) is in discussions with the Brazilian government about the possibility of challenging the Québec provincial government’s $1 billion investment in Bombardier (BMB)’s CSeries program through the World Trade Organization (WTO), according to Embraer (CEO) Paulo Cesar Silva.

Speaking to (ATW) and "Aviation Week" editors, Silva reiterated his objection to the government investment in the CSeries program, in which Québec now has a 49% stake. Silva believes the government investment played a role in Delta Air Lines (DAL) choosing the CSeries over an Embraer (EMB) aircraft when placing a firm order for 75 CS100s earlier this year. “I continue to be very unhappy with this,” Silva said. “We are very worried about the situation because this is causing a huge disruption in the market. We are competing no longer with Bombardier (BMB), we are competing with the Canadian government that is now manufacturing aircraft through the CSeries program. It is very unfair.”

He added that Brazil-based Embraer (EMB) is “talking very seriously with our government about moving to a different level of conversation, a more disruptive conversation between Brazil and Canada. Of course, it’s not up to Embraer (EMB). It’s up to Brazil and our government to do it at the (WTO). We are definitely talking with our government, and they are worried about it.”

But Silva conceded that the (WTO) “is not efficient at all” as a forum for settling aircraft subsidy disputes, citing the ongoing back-and-forth at the (WTO) between the USA and the (EU) over alleged Airbus (EDS) and Boeing (TBC) subsidies. “So, as an aircraft manufacturer, I would like to have [a global] industry agreement [on subsidies],” he said. “Maybe after this Airbus - Boeing dispute, [there can be] an industry agreement.”

A universal agreement on aircraft subsidy rules “is a possibility,” Silva said, adding, “As an industry, I think it’s something we should look at.” Speaking to "Aviation Week" in July at the Farnborough Airshow, Québec Premier Philippe Couillard defended investing $1 billion for a 49% stake in the CSeries program. “There is not a cent of subsidy in this government intervention,” he said. “It’s equity and warrants, similar to what any other investor would have done. I know the competitors will not be very happy, but I challenge anyone to find anything [that would indicate this is not a] typical commercial investment.”

Global political and economic uncertainties are creating a difficult environment for those in the air transport business and their customers, the Head of Embraer believes.

News Item A-5: "Embraer (EMB) Closed the Legacy 650 Assembly Facility in China."

Embraer (EMB) and Avic subsidiaries Harbin Aviation Industry and Harbin Hafei Aviation Industry "phased out" their Chinese joint-venture company Harbin Embraer Aircraft Industry (HEAI) after 13 years of manufacturing and delivering commercial and executive jets in China, the companies announced in early June. The Harbin plant's last aircraft (a Legacy 650) was delivered in March.&#8232;

Embraer ERJ-145 regional airliners and, later, Legacy 650 business jets were assembled in Harbin, using sub-assemblies shipped from Embraer (EMB)'s facilities in Brazil. 40 ERJ-145s were assembled in China from 2004 to 2010, and 5 Legacy 650s were built there from 2012 through last year. "Embraer (EMB) remains fully committed to and will continue to serve the Chinese commercial and executive aircraft markets," (EMB) said. "Embraer has enjoyed an excellent relationship with its Chinese joint venture partners over the last decade and looks forward to other opportunities [for] collaboration, to contribute to the continuous development of civil aviation in China."

News Item A-6: Embraer Commercial Aviation has named Arjan Meijer Chief Commercial Officer (CCO).

Meijer becomes the Brazilian manufacturer’s top commercial aircraft salesperson. He will report directly to Embraer Commercial Aviation President & (CEO) John Slattery, who previously held the Chief Commercial Officer (CCO) position. Slattery was promoted to his current post in July, when Paulo Cesar Silva moved from leading Embaer (EMB)’s commercial unit to become the company’s overall (CEO).

Meijer joined Embraer (EMB) in April 2016 as VP Commercial Aviation, Europe and the Middle East. Previously, he was Managing Director of (KLM)’s UK Engineering operation.

January 2017: Newsd Item A-1: Embraer (EMB) delivered 108 commercial aircraft in 2016, up +6.9% over 101 commercial aircraft delivered in 2015.

(EMB) delivered 90 E175s in 2016, +8 more than it delivered in 2015. E190 deliveries in 2016 totaled 11, +3 more than 2015, and E195 deliveries for the year totaled 7, 1 fewer than 2015. It delivered no E170s in 2016, whereas it delivered 2 E170s in 2015.

Embraer (EMB) noted that it delivered its 1,300th E-Jet in the 2016 4th quarter to China’s Tianjin Airlines (GCR).

News Item A-2: Scandinavian regional airline Widerøe has been named as the previously undisclosed customer for 3 firm Embraer E190-E2s in a deal valued at $873 million at list prices if purchase rights on a further 12 E2 family aircraft are firmed. Announcing the order January 16, Embraer (EMB) said the 3 firm aircraft were included in its 2016 4th quarter backlog, taking the E2 program to 275 firm orders, or 690 aircraft including letters of intent, options and purchase.

February 2017: Norwegian regional airline Widerøe will become the 1st airline to operate the Embraer E190-E2, when it receives its initial aircraft in the 1st half of 2018.

In an announcement released February 14, Embraer (EMB) confirmed that Widerøe, the largest regional airline in Scandinavia, will be the 1st operator for the new E2 family of aircraft.

“The market is keen to know the identity of the E190-E2 launch operator,” Embraer Commercial Aviation President & (CEO) John Slattery said. “Widerøe are proven pioneers in their field who have achieved major success and still remain hugely ambitious, similar in many ways to the path taken by Embraer (EMB).”

Widerøe has 3 114-seat E190-E2s on firm order and purchase rights on a further 12 E2 family aircraft, with a list value of $873 million if the deal is fully exercised.

“Knowing the hard work Embraer is doing in the certification campaign, especially in terms of maturity, we have every confidence in a smooth entry into service (EIS). The E190-E2 will be a big leap in Widerøe’s history, and our planning for the 1st deliveries is now well underway,” Widerøe (CEO) Stein Nilsen said.

The E190-E2 is the 1st member of the E-Jets E2 family, which has accumulated 690 commitments to date (275 firm orders, plus 415 letters of intent, options and purchase rights). “The E2 program remains on target with technical specification guidance, on time and on budget. Our team remains focused on a successful delivery to Widerøe in the 1st half of next year,” Slattery said.

Widerøe carries close to 3 million passengers annually and flies to 46 domestic and international destinations.

March 2017: News Item A-1: Embraer (EMB) earned net income of +$167.8 million in 2016, more than doubling a net profit of +$80.8 million in 2015, as (EMB) delivered +7 more commercial aircraft in 2016 versus 2015.

(EMB) said commercial aircraft deliveries, which totaled 108 in 2016, will dip to between 97 and 102 in 2017, more in line with 2015’s 101.

Embraer (EMB)’s 2016 revenue rose +5.1% year-over-year to $6.2 billion. Expenses increased +4.1% to $5 billion and operating income was $1.2 billion, up +9.1% over an operating profit of +$1.1 billion in 2015.

(EMB) is providing guidance for 2017 revenue of $5.7 billion - $6.1 billion.

(EMB) ended 2016 with a commercial aircraft firm order backlog valued at $13.8 billion.

News Item A-2: Azul Brazilian Airlines (AZL) will be the 1st carrier to operate the Embraer E195-E2 in service, the Brazilian manufacturer said. (AZL), which placed the launch order for the E195-E2 at the 2014 Farnborough Airshow, will take delivery of its 1st of the type in the 1st half of 2019. (AZL) has 30 E195-E2s on firm order, plus purchase rights for +20 more.

(AZL) is not a surprise selection to be the launch operator of the E195-E2, which it will configure with 130Y seats in a single-class layout. “Azul (AZL) played a key role in the E195-E2 development, actively participating in the design specification of the aircraft,” Embraer Commercial Aviation President & (CEO) John Slattery said.

(AZL) today operates 73 current-generation E-Jets in its fleet. The E190-E2 will be the 1st E2 variant to enter service in 2018 with launch operator Norwegian regional airline Widerøe. The 1st E195-E2 prototype rolled out March 7 at Embraer (EMB)’s headquarters in São José dos Campos, Brazil.

News Item A-3: Embraer(EMB) flew its 1st E195-E2 (20005, PR-ZIG) prototype at its Sao Jose dos Campos facility on March 29. The initial prototype will carry out aerodynamic and performance tests, while the 2nd airframe will be used to validate maintenance tasks and the interior. Both aircraft should be flying by the end of the year.
The E195-E2 is expectred to enter service in the 1st half of 2019.

In other E2 related news, the 4th E190-E2 proyotype (200004, PR-ZGQ) made its maiden flight on March 17. The 1st production E190-E2 will be delivery to launch operator Wideroe during the 1st half of next year.

April 2017: News Item A-1: Embraer (EMB) delivered 18 commercial aviation aircraft in the 1st-quarter of 2017, down from 21 deliveries in the year-ago quarter.

16 of the delivered aircraft were E175s, including 7 to USA regional carrier SkyWest Airlines, 5 to American Airlines (AAL), 3 to (KLM) Royal Dutch Airlines' regional subsidiary (KLM) Cityhopper (AUH) and one to Alaska Airlines (ASA)'s regional carrier Horizon Air.

(EMB)'s other 2 1st-quarter deliveries were E195 received by China's Hainan Airlines (HNA).

Embraer (EMB) did not report any new orders for the quarter, but notably 5 E175s attributed to an undisclosed customer since (EMB)'s 2016 3rd quarter are now classified as SkyWest orders in (EMB)'s (1Q) 2017 E175 order tally. SkyWest's firm order backlog with (EMB) presently stands at 11 E175s and 100 E175-E2s.

As of March 31, (EMB)'s firm order backlog totaled $19.2 billion in aircraft, down -US$400 million from the 2016 year-end. (EMB)'s backlog has a queue of 432 aircraft comprising 100 E175-E2s, 90 E195-E2s, 88 E175s, 85 E190-E2s, 56 E190s, 10 E195s and 3 E170s.

Norwegian regional carrier Widerøe will be the launch operator of the E190-E2 aircraft, the 1st of Embraer's E2 series to enter passenger service. Widerøe expects to take delivery of its 1st of 3 E190-E2s in the 1st half of 2018. Wideroe has purchase rights on a further 12 E2 family aircraft.

Azul Brazilian Airlines (AZL) will be the launch operator for Embraer's E195-E2, the largest of the E2 series. (AZL) has a firm order for 30 of the model, plus purchase rights for 20 additional aircraft. The 1st E195-E2 rolled out in early March and took its 1st flight on March 29, >3 months ahead of schedule. (AZL) plans to take delivery of its 1st E195-E2 in the 1st half of 2019.

News Item A-2: Embraer (EMB) celebrates 20 years of the ERJ-145 jet operations. The 1st commercial flight occurred on April 6th, 1997 with Continental Express, USA. Since then, 1,200 airplanes based on the ERJ-145 have been delivered.

June 2017: Embraer (EMB) announced firm orders and commitments for 38 of its E-Jet family aircraft from 6 customers at the Paris Air Show June 20, valued at over $2.2 billion at current list prices.

August 2017: News Item A-1: Embraer (EMB) believes the E175-E2 will be a “global” aircraft and is not dependent on the USA market, where the aircraft’s noncompliance with pilot (FC) labor contract scope clauses continues to be an issue. (EMB) has delayed the service entry of the E175-E2, the smallest and 3rd member of its E2 E-Jet family, to 2021 because of concerns that the scope clauses in USA major airlines’ pilot (FC) labor contracts regarding maximum takeoff weight (MTOW) will not be changed.

News Item A-2: UK lessor Falko Regional Aircraft, which focuses on the regional aircraft sector, has added 4 Embraer (EMB) E190 regional jets to its portfolio, the company said August 21.

The aircraft have been acquired from Irish aircraft investment management company (FPG) Amentum and are currently on lease to Dutch carrier (KLM) Cityhopper (AUK).

“This deal is significant as it again illustrates the continuing development and growth of Falko as a key player in the regional aircraft market,” the company’s Executive VP Corporate Finance Mark Hughes said. “This further expands our E-Jet portfolio to 28 aircraft.”

October 2017: Embraer (EMB) is viewing 2018 as a “transition year” in which commercial aircraft deliveries and production will dip as the E190-E2 achieves entry-into-service (EIS) and (EMB), the Brazilian manufacturer contends with the “learning curve” of a new aircraft rolling off the assembly line.

November 2017: Embraer (EMB) and Austral Líneas Aéreas (ALA), Aerolíneas Argentina’s domestic airline, have extended their Flight Hour Pool Program agreement until 2021 to continue providing repairable component support for (ALA)’s fleet of 26 E190 jet aircraft.

December 2017: News Item A-1: Embraer (EMB) delivered to American Airlines (AAL) its 1,400th E-Jet, an E175, which will be operated by its wholly owned subsidiary Envoy Air.

News Item A-2: Belavia Belarusian Airlines (BLV) has ordered another Embraer E195 jet, scheduled for delivery in 2018. The firm order has a list price value of $53.5 million.

Following (BLV)’s firm order for 2 E-Jets (1 E175 and 1 E195) announced at the Paris Air Show in June, the new contract will bring (BLV)’s Embraer fleet to 7 aircraft (4 E195s and 3 E175s) when deliveries are completed in 2018.

According to (BLV), the Belarus flag carrier and national airline, the acquisition is an essential part of (BLV)’s fleet renewal initiative. Configured in a dual class, the E195 will replace (BLV)’s existing Boeing 737-500.

“Our Embraer fleet is allowing us to open up new destinations such as Brussels, but also to increase the number of flights on our existing routes (our customers demand the flexibility that more frequencies provide, not just a greater choice of destinations,” (BLV) Director General Anatoly Gusarov said. “The Embraer (EMB) aircraft are delivering high dispatch rates and compelling economics that also allow us to address seasonal fluctuations) plus our customers really enjoy the high levels of comfort the aircraft provides.”

News Item A-3: The No 1 and No 3 makers of large commercial airplanes, Boeing (TBC) and Embraer (EMB), are in talks to formally align, although the Brazilian government appears to be the main hurdle, the companies and financial analysts said on December 21. The basis of any combination remains “under discussion,” the companies said in a joint statement, and it would have to be approved by the Brazilian government and regulators, the 2 companies’ boards and Embraer (EMB)’s shareholders.

(EMB) is viewing 2018 as a “transition year” in which commercial aircraft deliveries and production will dip as the E190-E2 achieves entry-into-service (EIS) and (EMB) contends with the “learning curve” of a new aircraft rolling off the assembly line. The outlook was presented to investors as (EMB) released results for the 2017 3rd quarter, for which (EMB) posted a net profit of +$111.3 million, reversing a -$32.5 million net loss in 3rd quarter 2016.

January 2018: News Item A-1: Boeing (TBC) remains in “active” and “productive” discussions with Embraer (EMB) and the Brazilian government over a potential alignment of the 2 airplane manufacturers, the (CEO) of Boeing said January 31. “We’re working through the details of potential options going forward and doing that in a very diligent way,” Boeing Chairman, President & (CEO) Dennis Muilenburg told reporters and financial analysts during a teleconference on 2017 results.

News Item A-2: Embraer (EMB)’s newest generation of E-jets, powered by Pratt & Whitney (PRW)’s Geared Turbofan (GTF) engine, will enter into service on schedule this April. Launch customer Widerøe, the largest regional airline in Scandinavia, will take delivery of the 1st E2-190. The E2 family promises to deliver +15% better fuel efficiency through streamlined and lighter airframe design combined with the most fuel-efficient, latest-technology engine architecture (the Pratt & Whitney Geared Turbofan engine).

Built on (EMB)’s highly successful 1st generation E-jet program, the E2 program completely redesigned the wing, and introduces new pylons, landing gear, horizontal stabilizers, cabin, cabin air system, air cycle machine, bleed air system, and a new fly-by-wire system, beating the original performance targets for the aircraft. The (PRW) Geared Turbofan engine was selected as the exclusive powerplant for the E2 family. “This aircraft is the culmination of (EMB)’s long expertise in continuously improving performance through innovation,” said Embraer Commercial Aviation (CEO) John Slattery. “Combined with the power of the (PRW) Geared Turbofan engine, this is the future of commercial aviation, and we look forward to celebrating the launch of our E2 program with Widerøe this April.”

The E2’s entry into service marks the 3rd platform for (PRW)’s Geared Turbofan (GTF), an option on the Airbus (EDS) A320neo family and sole-sourced for Bombardier (BMB)’s C Series. The GTF offers better fuel burn, lower emissions, and a smaller noise footprint. In addition to the innovative gear design, which allows the fan and turbine to spin at their optimal speeds, the engine contains a suite of new state of the art technologies including lightweight composites for the fan module airfoils and cases, the highest efficiency low-pressure turbine currently fielded, and advanced thermal barrier coatings, powder metal disk alloys and turbine airfoil cooling technologies for the high pressure turbine.

“The (PRW) family is excited to join Embraer (EMB) in the launch of their E2 program,” said Pratt & Whitney (PRW) Commercial Engine President, Chris Calio. “This is a significant milestone for both companies, and we are honored to power and support Widerøe’s new fleet with our (GTF) engines."

(PRW) has 8,000 (GTF) orders with >80 customers world wide and will double its 2017 production of 350 engines in 2018.

February 2018: The Embraer E190-E2, the 1st aircraft in the Brazilian manufacturer’s E-Jet E2 program, has received its type certificate from Brazilian regulator (ANAC), the (FAA) and the European Aviation Safety Agency (EASA), clearing the way for 1st delivery to Norwegian regional airline Widerøe.

Embraer (EMB) noted the E190-E2’s certification comes just 4 years and 8 months after the E2 program was launched at the 2013 Paris Air Show. (EMB) had originally set a conservative mid-2018 target for certification.

(EMB) (CEO) Paulo Cesar Silva noted the E190-E2 was certified “on schedule and on budget” and that a number of development targets, including fuel burn, noise and maintenance costs, “came in better than originally specified.”

The E190-E2 is powered by Pratt & Whitney (PRW) (PW1900) geared turbofan (GTF) engines and features a new wing and landing gear compared to the E190-E1. The E190-E2 is +17.3% more fuel efficient than the E190-E1, according to Embraer, which bests the 16% fuel burn improvement originally projected.

The flight test fleet, which included 4 aircraft, completed 2,000 flight hours. “Flight test results also confirmed the E190-E2 to be better than its original specification in takeoff performance,” Embraer stated. “The aircraft’s range from airports with hot-and-high conditions, such as Denver and Mexico City, increases by 600 nm compared to current-generation aircraft. Its range from airports with short runways, such as London City, also increases by >1,000 nm allowing the aircraft to reach destinations like Moscow and cities in the north of Africa [from London City].”

Embraer Commercial Aviation (CEO) John Slattery predicted certification would lead to “an acceleration of commercial discussions with operators around the globe” regarding E2 family aircraft, which will also include the E195-E2 and the E190-E2. The E195-E2 is expected to enter service in 2019 with Azul Brazilian Airlines (AZL).

Widerøe, which is scheduled to take delivery of the E190-E2 in April, will configure the aircraft with 114Y seats in a single-class configuration.

Silva did concede recently that the E190-E2 flight test campaign was not completely uneventful. “We had a lot of issues, but we managed to tackle them properly throughout the development,” he said. “We had to slightly change the position of the flaps and the way the openings on the leading edge were designed to improve performance. So we had a lot of fine-tuning.”

April 2018: News Item A-1: "Embraer Transitions with (1Q) 2018 delivery slowdown" by (ATW) Mark Nensel (mark.nensel@informa.com), April 16, 2018.

Embraer (EMB) delivered 14 commercial aircraft in the 1st quarter of 2018, down -22.2% from a year ago, and slowing from the 23 aircraft the Brazilian manufacturer delivered in (4Q) 2017. No new orders for commercial aircraft were placed during the quarter.

The result appears to fulfill (EMB) (CFO) Jose Antonio Filippo’s assertion last October that “2018 will not be a typical year,” but instead a transition period in which commercial aircraft deliveries and production will ebb as the manufacturer moves toward production of its new generation E2 models.

At the time, Filippo said Embraer expects to deliver between 85-95 commercial aircraft in 2018, compared to the 101 the company delivered in 2017. Embraer projects 10% of the commercial aircraft it produces in 2018 will be E2s.

Embraer touted the triple certification of the E190-E2 (by Brazil’s Civil Aviation Agency (ANAC), the (FAA) and (EASA) as its main commercial aircraft achievement for the quarter.

Subsequently, (EMB) delivered its 1st E190-E2 to Norwegian launch customer Widerøe on April 4. Widerøe’s E190-E2 is configured with 114Y seats in a single-class layout; the regional carrier is contracted for up to 15 E2 aircraft including 3 firm E190-E2s and purchase rights for an additional 12. Widerøe plans to begin flying its new aircraft on domestic routes beginning April 24.

As of March 31, (EMB)’s firm order backlog comprised 421 commercial aircraft, with 5 E195s, 43 E190s, 92 E175s and 1 E170 still to be built and delivered.

(EMB)’s E2 family aircraft, on which it bases its future commercial aircraft sales and production, has firm orders in backlog for 106 E195-E2s, 74 E190-E2s and 100 E175-E2s. Major customers for E2s include India’s Air Costa (with 25 E190-E2s and 25 E195-E2s ordered), Irish lessor AerCap (DEA) (22 E190-E2s and 28 E195-E2s), USA lessor Aircastle (CST) (12 E190-E2s and 13 E195-E2s) and Azul Brazilian Airlines (AZL) (30 E195-E2s).

The E195-E2’s entry into service (EIS) is scheduled for 2019 with launch customer Azul. The E175-E2’s (EIS) was postponed to 2121 because of concerns that the scope clauses in USA major airlines’ pilot (FC) labor contracts regarding maximum takeoff weight (MTOW) will not be changed (the E175-E2’s (MTOW) is >12,000 lbs over the 86,000 lbs scope clause-limit restricting which jets regional airlines under contract with the USA majors can fly).

All 100 orders-to-date, plus options for an additional 100, for the E175-E2 are from USA regional carrier SkyWest. The next opportunity to change scope limits will be in January 2019 when United Airlines (UAL) pilot (FC)’s contract is up for renegotiation. The contract at American Airlines (AAL) expires in January 2020.

Embraer Commercial Aviation President & (CEO) John Slattery said last August that “historically” the E175-E1 has been thought of as a North American aircraft. Slattery predicted at the time that “you’ll see [E175-E1] orders right around the world there are applications in SE Asia particularly.”

During the quarter, (KLM) Royal Dutch Airlines’ regional subsidiary (KLM) Cityhopper took delivery of 4 E175s as well as the final 3 E190s of its 26-aircraft order of the model. 1 E175 remains to be delivered to complete (KLM) Cityhopper’s 17 orders of the model.

Additional deliveries during the quarter included 5 E175s for SkyWest, 1 E175 each for Alaska Airlines (ASA) regional carrier Horizon Air and Suzuyo & Company, the parent of Japanese domestic carrier Fuji Dream Airlines (FDA), plus the penultimate E190 delivery (out of 14 ordered) for Japan Airlines’ subsidiary J-AIR.

(EMB)’s 1st-quarter 2018 financial results will be released April 27.

News Item A-2: Embraer (EMB) elected Nelson Krahenbuhl Salgado as interim Executive VP Finance & Investor Relations, succeeding José Antonio de Almeida Filippo, who resigned effective April 17. Nelson will also accumulate his current institutional relations duties.

July 2018: News Item A-1: Embraer (EMB) has so far at the Farnborough air show unveiled deals covering up to 300 aircraft worth a combined $15 billion.

The deals span both the E-Jet E1 and E2 families of aircraft.

After disclosing a United Airlines (UAL) order for 25 Embraer E175s, (EMB) announced letters of intent for orders from Azul (21 E195-E2s) and Republic Airways Holdings (100 E175s with an additional 100 purchase rights), along with Wataniya Airways' firm order for 10 E195-E2s plus 10 purchase rights.

In addition, existing (EMB) operators agreed to add more aircraft to their order books. Switzerland's Helvetic Airways has signed a letter of intent to take 12 E190-E2s plus 12 purchase rights, intended to renew its fleet, said (CEO) Tobias Pogorevc. Helvetic operates 7 Embraer E190-E1s and 5 Fokker 100s.

Mauritania Airlines has ordered 2 Embraer E175s, while Danish lessor Nordic Aviation Capital (NAC) will take another 3 E190s.

Separately, an undisclosed customer from Spain has signed a letter of intent covering 5 E195-E2s: 3 firm orders plus 2 options.

"It is hard to argue that Embraer (EMB) has no momentum when you have these sales numbers behind us," said (EMB)'s John Slattery, President & (CEO). "Today is about (EMB) reaffirming its leadership in the space for up to 150 seats."

News Item A-2: See video of an E190 PP-XMA "EMPRESS OF LONDON CITY" landing very low at Mayo Beach, St Maarten. How low can you get???

August 2018: As part of their international route expansion using Embraer (EMB)’s E190-E2 next-generation aircraft, Widerøe opened a route from Bergen to Hamburg on August 21. Widerøe is the launch customer of the Embraer E2 with 3 of the airplanes in operation in addition to their fleet of >40 Dash 8 aircraft in all variants.

September 2018: Embraer (EMB) Commercial Aviation appointed Ron Baur as Senior VP Global Leasing & Strategy.

October 2018: See video of 1st flight of E190-E2 (PR-ZEY):

November 2018: Aircastle (CSL), citing program slippage and not soft customer demand, will not take 3 Embraer E-Jet E2s as scheduled in 2019, the lessor’s top executive confirmed. “We had 3 deliveries in the 4th quarter of 2019. Those have all been pushed out,” (CSL) (CEO) Mike Inglese said. “[We are] pushing those forward as the program slips a bit.” The Connecticut-based lessor has committed to 25 E-Jet E2s: 15 E190-E2s and 10 E195-E2s.

December 2018: News Item A-1: "Boeing to pay $4.2 billion for Embraer Commercial Business" by Michael Bruno, Aviation Week, (michael.bruno@aviationweek.com), December 17, 2018.

Boeing (TBC) and Embraer (EMB) have hammered out terms of their proposed commercial business merger, including a Brazil-based management that reports to Boeing Chairman, CEO & President Dennis Muilenburg, as well as for a joint venture (JV) to make and sell the medium-lift KC-390 military transport airplane.

(TBC) would own 80% of the commercial (JV) after paying $4.2 billion (up from an initial $3.8 billion, Boeing outlined in July, when the deal was formally unveiled. That stems from a revised enterprise value of the whole commercial (JV) of $5.26 billion now from $4.75 billion before.

(EMB) owners would receive proceeds net of separation costs of around $3 billion. Any potential reduction in costs will be shared by both companies equally.

According to a December 17 announcement about deal terms, the (CEO) and President will be based in Brazil, the companies said. The announcement did not stipulate what nationality or whether the officeholders were separate. “(EMB) will retain consent rights for certain strategic decisions, such as transfer of operations from Brazil,” they added.

The combination should lead to an “improved competitive position,” and Boeing’s marketing and procurement resources will help “accelerate E2 Ramp.”

The transaction remains subject to approval by the Brazilian government, after which (EMB) and (TBC) said they intend to execute definitive transaction documents. Closing will then be subject to shareholder and regulatory approvals and customary closing conditions.
Analysts said they still expect closing in 2019.

The deal is expected to be neutral to Boeing’s earnings per share in 2020 and accretive, or additive, thereafter. The companies said they are targeting annual pretax cost savings of roughly -$150 million total by the 3rd year of operations.

(EMB) further said long-term agreements spanning research and development, supply chain, intellectual property and other issues are expected to generate annual cost savings of at least $50 million for it. (TBC) and (EMB) further agreed to terms of another (JV) to promote and develop new markets for the multi-mission KC-390 military airlifter. Under that proposed partnership, (EMB) will own 51%, with (TBC) owning the rest. Both companies “to collectively make cash and asset contributions” into the (JV), said an accompanying (EMB) presentation.

That transaction also is subject to approval by the Brazilian government, as well as ratification by the (EMB) board and its further authorization to execute the definitive transaction documents. Once achieved, the partnership will then be subject to shareholder and regulatory approvals, as well as other customary closing conditions. The companies expect it to close in 2019.

(EMB) said it expects to have a net cash position of $2.6 billion after deal closing, a “portion” of which will go to shareholders. All existing bonds will migrate to the commercial (JV).

News Item A-2: (Airways) magazine, December 2018, described how Kazakh flag carrier, Air Astana (AKZ) has taken delivery of the 1st of 5 Embraer E190-E2 aircraft, featuring an impressive Snow Leopard livery. The design follows Embraer (EMB)'s lead of painting predator animals on the nose of some of its E2 test airplanes. The 5 E190-E2s are coming in to replace older (AKZ) E1 generation planes, which joined (AKZ) in 2011. In addition, the airline boasts a fleet of 34 planes, of which 9 are A320ceo/neos, 7 A321ceo/A321neos, 5 757-200s, and 3 767-300ERs.

The 1st of 11 brand-new A320neos joined (AKZ) in November 2016, all in a lease from Air Lease Corporation (ALE). Even though Embraer came up with the idea to paint predators on the nose of its E2 airplanes by calling it a “Profit Hunter,” (AKZ)’s motive is slightly different. (AKZ) notes that the livery aims to draw attention to the threat of extinction of the wild cat—native to the mountain ranges in southern Kazakhstan.

“With the untypical snow leopard livery, (AKZ) is striving to bring global attention to what is an endangered species, raising awareness of environmental issues.”

The new aircraft flew all the way from Sao Jose dos Campos in Brazil, to Nursultan Nazarbayev International Airport in Astana, with stops in Recife, Faro, and Aktobe (an 8,740-mile delivery flight).

The Embraer (EMB) E190-E2 jet with a shark livery completed its 5-month global demonstration tour. With a kickoff at the Farnborough Air Show in the UK, in July of this year, the E190-E2 jet tour visited 39 countries, presenting the airplane to 120 airlines in 68 cities. The E190-E2 jet traveled >125,000 nm/231,000 km, the equivalent of nearly 6 laps around the Earth, in >350 hrs of demonstration flights.

Just recently, in mid-November, an (AKZ) E190 was forced to perform an emergency landing after its crew (FC) partially lost control of the aircraft. Reportedly, flight KC1388 had to divert to Beja Airport in Portugal, after departing Lisbon, due to a complete loss of instruments, which caused its pilots (FC) to losing partial control of the aircraft. The plane had been in maintenance at Alverca Airport in Portugal since October 2, receiving a "C" Check.

News Item A-3: Embraer (EMB) Dublin-based lessor Avolon has contracted to sell a portfolio of 49 regional jet aircraft to Falko. The aircraft are currently on lease to 9 airlines and the transaction is expected to close in early 2019. The 49 aircraft, valued >$1 billion, are currently on lease to 9 airlines around the world.

(EMB) delivered its 1,500th E-Jet, an E175, to Seattle-based Horizon Air, a wholly owned subsidiary of the Alaska Air (ASA) Group. Horizon Air’s E175 is configured with 12F seats in first class, 12PY in premium class and 52Y in the main cabin. By the end of the year, Horizon will have a fleet of 26 E175s with 4 more jets scheduled for delivery in 2019.

News Item A-4: Embraer finalized an order with Brazil’s Azul (AZL) for 21 E195-E2 jets, previously announced at the Farnborough Airshow, in July. The deal has a list price value of $1.4 billion.

News Item A-5: Republic Airways finalises US$4.7 billion order with Embraer.

Embraer (EMB) and Republic Airways have signed a contract for a firm order of 100 E175 jets. The agreement was announced as a letter of intent at the Farnborough Airshow earlier this year.

The firm order has a value of US$4.69 billion, based on current list prices, and will be included in (EMB)’s 2018 4th-quarter backlog.
Deliveries will start in 2020.

The contract also includes purchase rights for an additional 100 E175s, with conversion rights to the E175-E2, bringing the total potential order up to 200 E-Jets. With all purchase rights being exercised, the deal has a list price of US$9.38 billion.

“What a great way to finish this very hectic year for us at (EMB),” said John Slattery, president, (EMB) Commercial Aviation. “As we promised in Farnborough, we are now closing a very important contract with Republic for these additional E175’s, continuously growing our long-standing partnership.”

Republic Airways and (EMB) established their partnership in 1999 when 1 of its former subsidiaries, Chautauqua Airlines, took delivery of its 1st ERJ 145 in the livery of US Airways Express.

Today, Republic Airline operates a fleet of nearly 190 Embraer E170/E175 aircraft and provides fixed-fee flights operated under its major airline partner brands of American Eagle, Delta Connection and United Express.

“This order represents another significant advance in our long-standing partnership with (EMB), and it positions Republic to compete for the >300 regional aircraft we anticipate being up for bid during the next 5 years as existing flying agreements expire with our global code share partners,” said Bryan Bedford, Republic President.

January 2019: "Brazil Government Reviews Terms of Boeing - Embraer Deal" by (ATW) Staff, January 7, 2019.

Brazil’s new Administration said it supports the proposed Boeing - Embraer tie-up, but is signaling that the tentative terms may have to change before the government gives its required blessing.

National Security Advisor Augusto Heleno told reporters on January 7 that government officials continue to review the deal, in part to ensure it is “the best possible for the country,” Reuters reported.

The remarks come on the heels of Brazil President Jair Bolsonaro’s January 4 comments that expressed concern over a provision that could see Boeing (TBC) own 100% of Embraer (EMB)’s commercial operations.

The tentative deal’s structure would see (TBC) own 80% of a joint venture (JV) that includes (EMB)’s commercial aircraft production business. The agreement includes a provision that would allow (EMB) to sell the remaining 20% to (TBC) in the future.

(TBC) and (EMB) appear to have taken steps to help ease concerns that the $4.2 billion deal is too favorable for the USA company. For instance, the venture’s management will be based in Brazil and will be led by a President & (CEO) who will report to Boeing (CEO) Dennis Muilenburg.

Approval of the (JV) is not expected until mid-2019 at the earliest.


Click below for photos:
EMB-E-Jet E2 Family.jpg
EMB-E-Jet Tech Specs.jpg
EMB-E170 - 2009-03
EMB-E170 - CPA - 2012-07
EMB-E175 - 2012-12
EMB-E175 - 2016-04.jpg
EMB-E175 - AAL 2013-01
EMB-E175 - AIR LITUANICA-2014-04
EMB-E175LR - 2011-11
EMB-E190 - 2011-11
EMB-E190 - 2012-02
EMB-E190 - 2012-08
EMB-E190 - 2012-10
EMB-E190 - 2013-10 - VCV
EMB-E190 - GXP - 2014-01
EMB-E190 - LZB - 2012-03
EMB-E190 - UKA-2012-08
EMB-E190 RAK - 2011-11
EMB-E190-100 AZERBAIJAN - 2014-08
EMB-E190-E2 - 2016-04.jpg
EMB-E190-E2 - 2018-02.jpg
EMB-E190-E2 - Roll Out.jpg
EMB-E190-E2 - Wideroe - 2017-01.jpg
EMB-E190-E2 2018-01.jpg
EMB-E190-E2 2018-08.jpg
EMB-E190-E2 at Farnborough 2016-07.jpg
EMB-E190-E2 Profit Hunter 2018-09.jpg
EMB-E190-E2 Profit Hunter 2018-10.jpg
EMB-E190-E2 Profit Shark 2018-09.jpg
EMB-E190AR - 2013-08
EMB-E190LR - 2012-03
EMB-E190LR - 2016-01.jpg
EMB-E195 - 2011-11
EMB-E195 - 2012-02
EMB-E195 - 2016-11.jpg
EMB-E195-200AR - 2011-11
EMB-E195-E2 - 2013-08
EMB-E195LR - DLH - 2011-11
EMB-E2 FAMILY-2014-02
EMB-ERJ 145LR - 2013-07
EMB-ERJ-120FC - 2011-11
EMB-ERJ-145 - 2012-06
EMB-ERJ-145LR - 2011-11
EMB-KC-390 - 2012-06
EMB-KC-390 2018-08.jpg
EMB-LEGACY 500 - 2013-05
EMB-Legacy 500 - Jackie Chan-2016-02-A.jpg
EMB-Legacy 500 - Jackie Chan-2016-02-B.jpg
EMB-LEGACY 600 - 2013-05
EMB-LEGACY 600 EXEC JET - 2012-10
EMB-LEGACY 650 - 2012-11
EMB-LEGACY 650 EXEC JET - 2012-03
EMB-LINEAGE 1000 EXEC JET- 2013-05
EMB-PHENOM 300 - 2015-03.jpg

January 2019:









EMBRAER E190 - - SEE PHOTO - - "EMB-190 - 2011-11," 110 PASSENGERS.

EMBRAER E195 - - SEE PHOTO - - "E195LR - DLH - 2011-11," 122 PASSENGERS.











The Phenom 300 performs among the top light jets, with a high speed cruise of 453 knots and a six-occupant range of 1,971 nautical miles (3,650 km) with (NBAA) (IFR) reserves. This range allows nonstop flights from Miami to Telluride, or Los Angeles to Orlando. With the best climb and field performance in its class, the Phenom 300 costs less to operate and maintain than its peers. The airplane is capable of flying at 45,000 feet/13,716 meters, powered by 2 Pratt & Whitney Canada (PWC) (PW535E) engines with 3,200 pounds of thrust each.

The Phenom 300 offers a spacious cabin, designed in partnership with (BMW) Designworks USA, and the largest baggage compartment in its category. The largest windows in the class deliver abundant natural lighting in the cabin as well as in the aft private lavatory. The comfort of the seats, with recline and full movement capability, is enhanced by the best pressurization among light jets (6,600 ft maximum cabin altitude). The Phenom 300 features distinct temperature zones for pilots (FC) and passengers, a wardrobe and refreshment center, voice and data communications options, and an entertainment system.

The pilot (FC)-friendly cockpit enables single-pilot (FC) operation and offers the advanced Prodigy Touch Flight Deck. The features it carries from a class above include single-point refueling, externally serviced lavatory, and an air stair.

In just five years of operation, the Phenom 300 fleet has reached the 250 airplane mark, having accrued a 57% market share in the light jet category. The airplane is in operation in >20 countries and has accumulated close to 200,000 flight hours.

The Phenom 300 is one of the fastest light jets, having recently established a National Aeronautic Association (NAA) cross-country speed record in the USA, from Bellingham, Washington, to Albany, New York.



Click below for photos:
EMB-1-Paulo Cesar Silva - 2016-05.jpg
EMB-1-Paulo Cesar Silva-2016-03.jpg
EMB-2-Johann Bordais 2018-01.jpg
EMB-2-John Slattery - 2016-03.jpg
EMB-2-John Slattery - 2016-07.jpg
EMB-3-Arjan Meijer - 2016-12.jpg
EMB-6-Frank Stevens 2018-08.jpg



Paulo Cesar Silva has been an (EMB) senior executive since 1997 and has led the company’s Commercial division for the last 6 years. He has spearheaded the development of (EMB)’s next-generation family of E-Jets, the E2. The 1st E2 prototype, an E190-E2, achieved its 1st flight in June 2016.

John became President & (CEO) of Embraer (EMB) Commercial Aviation, moving up from his Chief Commercial Officer (CCO) role.

He replaced Paulo Cesar Silva, who succeeded Frederico Fleury Curado as Embraer (EMB)’s overall (CEO). John has been the Brazilian manufacturer’s top commercial aircraft salesperson since becoming (CCO) in 2012, aggressively promoting both current- and next-generation E-Jets. He joined Embraer Commercial Aviation as VP Customer Finance & Asset Management in March 2011.



Johann was put in charge of a new group established at the beginning of 2017 that integrates the capabilities of Embraer’s Commercial Aviation, Executive Aviation and Defense divisions under a single organization.

The business unit’s portfolio of services supports some 2,400 aircraft around the world by providing Customer Relationship Management, Technical & Maintenance Support, Materials, Flight Operations, Flight Operations Engineering & Support, Technical Services & Training, and Business Solutions Development & Analytics.

Johann served as (EMB)’s VP Services & Support in Brazil from July 2013 to December 2016 with a team of 1,200 staff. He also oversaw the Customer Care Center in São José dos Campos and the global network of (EMB) Authorized Aircraft Service Centers. For 3 years, he led the transformation of (EMB) after-sales activities by globalizing solutions and guaranteeing customer satisfaction through innovation and integrated Crew Resource Management (CRM).




Nelson succeeded Jose Antonio de Almeida Filippo, who resigned effective 2018-04.





Arjan became Embraer (EMB)’s top commercial aircraft salesperson. He will report directly to Embraer Commercial Aviation President & (CEO) John Slattery, who previously held the Chief Commercial Officer (CCO) position. Arjan joined Embraer (EMB) in April2016. Previously, he was Managing Director of (KLM)’s UK Engineering operation (AUK).



Frank Stevens is VP of Global (MRO) Centers for Embraer. He oversees the network of owned and authorized service centers and (MRO)’s global for all business sectors of Embraer (EMB); Commercial, Executive and Defense. He is also tasked with the administration and collection of warranty matters for the Embraer Executive fleet.

Frank's position resides within the Services & Support pillar at (EMB) where the organizations provides aftermarket services and support for all (EMB) aircraft throughout the globe.

With >26 years’ experience in aviation to include roles, he provides a well-rounded industry view to support the (EMB) diverse customer base. Prior years of service include time with Regional airlines, Major USA airlines, International cargo carriers, and private sector business. He has held roles in the Maintenance & Engineering organizations; at all levels and roles, to include mechanic (MT) through executive management. Frank’s strategy for the future development of (EMB) is based on the advancement of technology to drive efficiency in the safe and reliable maintenance of aircraft and components. He believes that the future of (MRO) resides in the reduction of process through the advancement of computer aided resources and augmented reality.











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