Embraer E-Jet Production To Drop by 15- to 20 Percent

By: Gregory Polek

January 13, 2009
Air Transport and Cargo, Aerospace Industry

Brazil’s Embraer expects to reduce production of its E-Jet line of airliners by between 15- and 20 percent this year as it prepares to manage a backlog that saw its first decline in two and a half years during last year’s fourth quarter. Embraer airline market executive vice president Mauro Kern told AIN this week that a planned ramp-up of Phenom business jet production would offset much of the slowdown on the commercial side, however, and that the company expected to move some employees now working on E-Jet production to the business jet line.

“We are working very hard to minimize the effect of this crisis on our manpower,” he said in response to a question about possible layoffs this year. “We see nothing significant at this point, but we’ll have to see how things develop over the year.

Meanwhile, Embraer will almost certainly see a further contraction of its overall backlog this year, added Kern. During last year’s fourth quarter the value of Embraer’s backlog shrunk to $20.9 billion from $21.6 billion at the end of the third quarter.

Last year the company set a new delivery record for itself by shipping 204 jets, 35 more than it delivered in 2007. Of those, E-Jet airliners accounted for 157, including a single executive-configured Embraer 175.

A 15- to 20-percent production drop would amount to between 126 and 133 E-Jets delivered in 2009. At the end of the year its firm order backlog for the four E-Jet variants totaled 386.

Back

Dassault Results Reveal NetJets Delays, Cancellations November 19, 2009 Disclosing its financial results for the first three quarters of the year, Dassault on November 12 indicated that the backlog for Falcon... [more]
Yemenia opts for A320s to plug its A350 gap November 17, 2009 Airbus and Yemenia Airlines yesterday morning signed a memorandum of understanding covering 10 Airbus A320s, the first of which the official... [more]
Etihad kicks off next phase of strategic investments November 17, 2009 Abu Dhabi’s Etihad Airways plans to spend $750 million on its workforce, fleet, in-flight service and planning and resourcing systems to support... [more]
DAE selects CFM engines for its A320s November 17, 2009 Dubai Aerospace Enterprise (DAE) has selected CFM International CFM56-5B engines to power 20 Airbus A320 family aircraft it has on order, in a... [more]
News Clips from Dubai 2009 November 17, 2009 Jet Aviation Joins JSSI’s Network of Mx ProvidersJet Aviation of Basel, Switzerland, has signed a service agreement with Jet Support Services,... [more]