In its 2010 results, released on Friday, Embraer reports net sales for its executive aviation division of $1.1 billion and delivery of 144 aircraft, compared with 115 business jet deliveries in 2009. The Brazilian aircraft maker’s year-end results show recovered stability, with business jets expected to repeat their 20-percent contribution to this year’s overall revenue, which is expected to rise 5 percent.
Régional Compagnie Aérienne Européenne
Embraer announced the signature of a new contract with Brazil’s Trip Airlines last month for the sale of four E190s. The firm order, valued at $172 million based on list prices, brings to 24 the number of E-Jets ordered by Trip, either from Embraer directly or through leasing companies. Embraer noted that it had included one of the four E190s sold to Trip in its fourth-quarter 2010 sales totals as an order from an undisclosed customer.
Multiple deadlines have passed since Embraer early last year said its Chinese joint venture would cease to exist if it couldn’t reach an agreement with its partners to build E-Jets in Harbin. Today, Harbin Embraer Aircraft remains open, but with enough work to last it until this quarter at the latest. In fact, its backlog consists of just one more ERJ 145, expected to go to Tianjin Airlines some time this spring.
Brazilian discount carrier GOL has signed a code-share deal with Passaredo Airlines, a regional airline that currently operates 103 flights to 20 destinations in Brazil. As a result, GOL will add the cities of Marilia, Ribeirao Preto, São Jose de Rio Preto, Barreiras, Vitoria da Conquista and Ji-Parana to its network. Based in Ribeirao Preto, Passaredo began operations in 1995.
Embraer announced that the European Union has formally approved the company’s proposed $64.7 million manufacturing complex in Évora, Portugal. The company broke ground in July 2009. “This announcement is faithful to Embraer’s practices where all regional development projects have to be formally and properly approved.
Brazil’s Embraer and China’s AVIC International Leasing Co., signed a memorandum of understanding today at the China International Aviation & Aerospace Exhibition in Zhuhai, China, outlining the terms of a new agreement designed to create financing opportunities for selling Embraer aircraft in the Chinese and international markets.
Beijing-based Embraer China Aircraft Technical Services, which was inaugurated in July, has been named an Embraer-authorized service center and will support Tianjin Airlines. It is the first airline in China to be so designated. Under the terms of the agreement the Chinese company will carry out line and heavy maintenance for the ERJ-145 and E190 in accordance with China Civil Aviation Regulation Part 145.
Although deliveries of smaller regional jets have dropped dramatically in the past few years, Forecast International expects growing numbers of jets to be delivered from 2010 through 2019. In its recent study, “The Market for Regional Transport Aircraft,” Newtown, Conn.-based Forecast International projects production of 4,016 regional turboprops and jets valued at $123 billion during the coming decade.
Brazil’s Embraer remains in negotiations with Chinese authorities over the prospect of building E-Jets at the Harbin-Embraer plant in Harbin, China, a company spokesperson told AIN today. The spokesperson contradicted a Dow Jones report published today indicating that Embraer will close the factory in Harbin in March, following delivery of the last 50-seat ERJ-145 on backlog.
Korean Air Lines is considering expanding its service on existing routes to China and Japan with 70- to 120-seat regional jets in two years. “We may inject the planes into routes operated by our budget carrier unit Jin Air as well,” said KAL chairman Cho Yang-Ho. KAL does not currently operate any regional jets; its smallest aircraft are 737-800s operated by its low-cost Jin Air division.