Embraer is bringing interior development and modification for its full line of corporate jets in-house. That’s the word from Ernest Edwards, president of Embraer Executive Jets. The company previously contracted with BMW Designworks USA for the interior cabin design on its Phenom and Legacy jets. Embraer’s new customer center and its under-construction engineering and technical center, both at its Melbourne, Fla. campus, will be the epicenter of the new effort.
While Embraer’s third-quarter numbers, released yesterday, showed “its best gross margin in several years,” the company’s 13 executive jet deliveries were the same as in the first quarter and seven below the second quarter. Deliveries in the third quarter–11 light jets and two large jets–were also five below those logged in the third quarter last year. Embraer expects deliveries in the fourth quarter to show a substantial jump, typical of industry as a whole in the final period of the year.
Embraer delivered 40 aircraft in the third quarter, including 27 airliners and 13 business jets (11 light and two large jets), the Brazilian aircraft manufacturer announced yesterday. The company has shipped 129 aircraft in the first nine months–83 E-jet airliners and 46 business jets (40 light and six large jets)–which equates to 10 more airliners, but three fewer business jets, than it delivered in the same period last year.
Embraer displayed the midsize Legacy 500 prototype for the first time with a painted finish on Friday to a group of aviation journalists visiting the manufacturer’s headquarters in São José dos Campos, Brazil. Legacy 500 S/N 001, the first of four planned flight-test aircraft, is currently being prepared to fly before year-end.
The Russian market has continued to be a key factor in the recovery that Czech Republic-based ABS Jets has seen in the business aviation sector over the past 12 months. Russians own several of the 13 aircraft that the company has under management contracts, with their insurance companies and banks eager to have these assets in the hands of operators based in the European Union.
JPMorgan downgraded Embraer yesterday from overweight to neutral, in large part due to concerns about Embraer’s airliner business. However, the investment firm noted that “continued weakness” in flight operations and other indicators “are leading us to dial back our business jet delivery forecast,” but it still predicts healthy growth in this segment.
Embraer started Phenom 300 production at its Melbourne, Fla. facility this week, the Brazilian manufacturer announced today. Phenom 100s have been assembled at the Florida plant since early last year, with 14 of the U.S.-built light jets delivered to U.S., Canadian and Mexican customers to date.
The Embraer Phenom 100 light jet recently received type certificate validation by the Civil Aviation Administration of China (CAAC), the Brazilian aircraft manufacturer announced today. “Embraer has been strengthening its market position in China’s executive aviation market over the past few years,” said Embraer China president Guan Dongyuan. “The CAAC’s certificate for the Phenom 100 is great news for Embraer and prospective customers. With the approval, the company can deliver copies of the eight-seat jets to Chinese customers.
Air China and GA Telesis have agreed to establish an Asia-based integrated spare parts supplier in China. After almost a year of planning, the companies have respective top management approvals to move forward with the formation of GA Telesis China (GATC), a joint venture based in China. The enterprise claims it will be the first aircraft part-out business and integrated full-scale redistribution stock list based in China covering the entire Asian market.
For the past two years, the business aviation industry has pondered when the oft-mentioned bottom of the trough in aircraft deliveries might actually be reached. In a recent JetNet iQ survey, half of the respondents believe deliveries have already hit bottom, while more than 25 percent see the industry as showing some upward momentum at last.