Firm Order Backlog Rises To $16 Billion
Embraer showed some fairly strong results for the first quarter
of 2011 (1Q11), delivering 20 jets to the commercial aviation
market and eight to executive aviation. On March 31, 2011, the firm
order backlog totaled $16 billion, an increase of $400 million over
December 31, 2010.
The first three months of the year were marked by important
Embraer sales to the commercial aviation market. In January,
Dniproavia, from Ukraine, purchased ten Embraer 190 jets. In March,
three customers made new E-Jets acquisitions: Brazil's TRIP chose
four Embraer 190s, one of which was already included in the backlog
of 4Q10 as an "undisclosed" customer; Italy's Alitalia took 15
Embraer 175s and five more Embraer 190s; and The Netherlands' KLM
confirmed five options for the Embraer 190, announced in early
April. In all, Embraer closed out the first quarter of the year
with the sale of 44 new E-Jets.
Embrear E190
The second quarter began with the announcement of two new orders
from China, indicating that the market continues its recovery in
2011. The orders by CBD Leasing and Hebei Airlines will be added to
the backlog, as soon as all contractual provisos have been
satisfied.
Furthermore, in March, the family of E-Jets operators welcomed
Oman Air, from the Sultanate of Oman. On March 31, 2011.
Legacy 650
In the executive aviation segment, the Legacy 650 jet was
certified in the United States, in February. That same month,
Embraer began operations at the new industrial plant in Melbourne,
Florida, in the United States, which will deliver Phenom jets to
the North American market.
Embraer Defense and Security, which is the corporate unit
established in December 2010, announced the purchase of 64.7% of
the capital of the radar division of OrbiSat, in March. The R$ 28.5
million deal is an important strategic step for both companies and
will strengthen the development and manufacture of monitoring and
aerial defense systems on the international level. In 1Q11, Embraer
Defense and Security also signed a contract with the Brazilian Air
Force (Forca Aerea Brasileira – FAB) for the structural
upgrading, and repair and substitution of equipment of 43 AMX
fighter jets, thus complementing the modernization agreement signed
in 2003, and presented the first EMB 145 AEW&C platform to the
Indian government, which ordered three units to be used on
surveillance missions.