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US Trouble Slows Down Brazil’s Embraer

Embraer, the Brazilian Airplane Manufacturer Company, reduced its forecast of aeroplane deliveries from 160 to 145 in 2004, and from 170 to 145 in 2005.

According to a statement issued by the company yesterday, the reduction in the estimates is due to the suspension in deliveries to the North American company US Airways, which asked for a creditor’s agreement last month.

Another reason for the reductions presented by Embraer was the cancellation in the order American Eagle had made for 18 ERJ 145 jets, which would be delivered between July 2005 and February 2006.

According to the company, US Airways had ordered, in total, 85 jets of the Embraer 170 model, 22 of which were delivered until September.

“Deliveries have been temporarily suspended until the situation with the airline is clarified,” said the statement.

The company highlighted, however, that during the same period the suspensions were made, Air Canada signed a contract for the purchase of 45 units of the Embraer 190 model, recently launched by the company.

During the third trimester of the year, Embraer delivered 40 air shuttles, 38 of which were commercial aeroplanes and 2 executive jets.

During the year, the company delivered 106 air shuttles, where 100 were commercial planes, 5 executive planes and 1 EMB 145, to transport officials.


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