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Embraer and United Airlines Sign Contract for up to 39 E175’s

Paris, France, June 17, 2019 – Embraer announced today, at the 53rd International Paris Air Show, that it has signed a contract with United Airlines for up to 39 E175’s. The order comprises 20 firm aircraft and 19 options in a 70-seat configuration. The order has a value of USD 1.9 billion, based on Embraer’s current list prices, with all options being exercised. The firm order will be included on Embraer’s 2019 second-quarter backlog. Deliveries are expected to begin in the second quarter of 2020. These aircraft will replace older 70-seat aircraft currently operated by United’s regional partners.

“With this contract, we have the opportunity to continue serving United’s fleet with our class-leading E175 platform,” said Charlie Hillis, Vice President, Sales & Marketing, North America, Embraer Commercial Aviation. “Embraer’s dedication to finding solutions that meet our customer’s needs is the primary reason we continue to outperform in this market segment.”

“The E175, operated by our regional partners, has proven to be an important part of our fleet as we continue to grow our mainline airline and provide an enhanced customer experience,” said Gerry Laderman, Chief Financial Officer of United Airlines. “As we focus on providing our customers the utmost comfort and convenience, we will rely on aircraft like the E175 to help us achieve our goal of delivering the best experience in the sky.”

Including this new contract, Embraer has sold more than 585 E175s to airlines in North America since January 2013, earning more than 80% of all orders in this 70-76-seat jet segment.

Embraer is the world’s leading manufacturer of commercial aircraft up to 150 seats with more than 100 customers from all over the world. For the E-Jets program alone, Embraer has logged more than 1,800 orders and 1,500 aircraft have been delivered. Today, E-Jets are flying in the fleet of 75 customers in 50 countries. The versatile 70 to 150-seat family is flying with low-cost airlines as well as with regional and mainline carriers.

Follow us on Twitter: @Embraer

About Embraer

A global aerospace company headquartered in Brazil, Embraer celebrates its 50th anniversary with businesses in Commercial and Executive aviation, Defense & Security and Agricultural Aviation. The company designs, develops, manufactures and markets aircraft and systems, providing Services & Support to customers after-sales.

Embraer KC-390 Going To The Paris Air Show

São Paulo, Brazil, June 11, 2019 – Embraer will take to the 53rd edition of Paris Air Show International, in France, the first KC-390 multi-mission airlift configured to operate with the Brazilian Air Force (FAB). The aircraft, number 004, will be in the static area from June 17 to 23 at the Le Bourget airport. Also the KC-390 will perform flight demonstrations on the first two days of the show. In agreement with the FAB, the airplane will return to Brazil right after the air show when it begins the acceptance and delivery process.

“The assembly of the first aircraft to be delivered to the FAB marks a major change in Embraer’s dynamics in this market,” said Jackson Schneider, President and CEO of Embraer Defense & Security. “The KC-390 is a multi-mission aircraft that has attracted great interest internationally and the Paris Air Show is the perfect occasion to showcase the aircraft in the configuration that will be operated by the FAB, proving its superior flexibility, performance and productivity.”

“The expectation for its entry into service is huge, considering the aircraft is a milestone in military aviation, where its innovativeness will bring improvements in the execution of multiple missions, contributing greatly to the fulfillment of FAB’s mission to control, defend and integrate our nation”, concluded Lieutenant-Brigadier Antonio Carlos Moretti Bermudez, Brazilian Air Force Commander.

The KC-390 program has already reached important milestones, such as Brazil’s Civil Aviation Agency’s (ANAC) Type Certificate and the production of the first series aircraft that performed its first flight in October 2018. To date, the flight test campaign has surpassed 2,200 flight hours.

Embraer’s KC-390 is a tactical transport aircraft, designed to set new standards in its class while delivering the lowest life-cycle cost on the market. It can carry out various missions, such as transport and launching of loads and troops, in-flight refueling, search and rescue and firefighting.

Follow us on Twitter: @Embraer

About Embraer

A global aerospace company headquartered in Brazil, Embraer celebrates its 50th anniversary with businesses in Commercial and Executive aviation, Defense & Security and Agricultural Aviation. The company designs, develops, manufactures and markets aircraft and systems, providing Services & Support to customers after-sales.

GOL Announces Flights to Cabo Frio

SAO PAULO, June 12, 2019 /PRNewswire/ — GOL Linhas Aéreas Inteligentes S.A. (“GOL” or “Company”), (NYSE: GOL and B3: GOLL4), Brazil’s premier domestic airline, announces the expansion of its flight operations to the city of Cabo Frio in the state of Rio de Janeiro. The new flights will begin in December 2019 from Guarulhos Airport in São Paulo. GOL will fly this new route with its Boeing 737-700 Next Generation aircraft, which carry up to 138 passengers, and will be the largest capacity aircraft to operate in the Cabo Frio airport.

“As GOL is the airline that popularized air transportation in Brazil, we are always looking for new opportunities to offer convenient and comfortable flights to destinations desired by our Customers. We will be the first airline to offer direct flights from São Paulo to Rio’s Lake Region, with high demand from tourists who travel to enjoy the areas’ beautiful beaches”, says Eduardo Bernardes, Vice President of Sales and Marketing.

The launch will increase GOL’s destinations served to 77, with 62 in Brazil. Cabo Frio is the ninth regional destination announced by the Company this year. GOL’s new flights to the cities of Cascavel, Passo Fundo, Vitóriada Conquista, Sinop, Franca, Barretos, Araçatuba, Dourados and Cabo Frio are part of the Company’s plans to increase flights in the state of São Paulo, an initiative important for developing and incentivizing air travel in Brazil.

Investor Relations
ri@voegol.com.br
www.voegol.com.br/ir
+55 (11) 2128-4700

About GOL Linhas Aéreas Inteligentes S.A.

GOL serves more than 33 million passengers annually. With Brazil’s largest network, GOL offers customers more than 750 daily flights to 77 destinations in Brazil and in South America, the Caribbean and the United States.

Qantas Expects Final Proposals for Sydney-London Jet

  • Airline could place an order for A350 or 777X by year end
  • 21-hour flight would be the world’s longest
  • Qantas plans economy class section, including stretching zone (Adds details on aircraft configuration)

SEOUL, June 3 (Reuters) – Qantas Airways Ltd has asked Airbus SE and Boeing Co to present their “best and final offer” for planes capable of flying 21-hours non-stop from Sydney to London by August, the airline’s chief executive said on Monday.

“Hopefully by the end of the year … we will come to a conclusion one way or another,” Qantas CEO Alan Joyce told reporters on the sidelines of an airline industry conference in Seoul. “If the business case works we will put in an order.”

Qantas is aiming for the planes to be delivered from late 2022, with the first Sydney-London flights likely in 2023, he said. The route would be the world’s longest commercial flight and Qantas is examining A350 and 777X models.

The airline is in talks with pilots about changing a labour contract to increase productivity to help support the business case for an order, Joyce said.

Qantas plans to have four service classes on the airplane, including first, business, premium economy and economy, with a zone for economy and premium economy-class passengers to stretch and hydrate, he said.

Singapore Airlines Ltd has only business class and premium economy on the world’s current longest route, from Singapore to New York.

Joyce said Qantas’ success in selling around 90% of economy-class seats on its Perth-London flights showed there was demand for economy class on the even longer Sydney-London route.

“There still will be a large economy,” he said.

Qantas also planned other routes with the new jets such as Melbourne-London, Sydney-New York and possibly flights from the east coast of Australia to other cities in Europe, the U.S. east coast and Brazil, he said.

(Reporting by Jamie Freed; Editing by Stephen Coates)

Air New Zealand Picks Boeing for Wide-body Jet Order

PARIS (Reuters) – Air New Zealand Ltd has decided to buy wide-body planes from Boeing Co, people with direct knowledge of the matter said, ending an 18 month battle between the U.S. aircraft maker and European rival Airbus SE.

The carrier has been considering replacing eight Boeing 777-200ER aircraft in a deal worth over $2 billion at list prices, though carriers typically receive steep discounts. Air New Zealand already uses Boeing wide-bodies exclusively on long-haul flights, and Airbus single-aisle jets on shorter routes.

The final choices under consideration were the Boeing 787 and Airbus A350, Air New Zealand Chief Financial Officer Jeff McDowall said in a video interview with the New Zealand Herald published on Saturday.

“They are both fantastic aircraft,” McDowall said. “Both produce a fantastic customer experience compared to the existing aircraft but also a lower cost and lower carbon emissions… We expect to make a decision soon, in the next month.”

Air New Zealand already operates 13 787-9 jets and has one more on order. The airline did not respond to a Reuters’ request for comment. It will hold an annual investor briefing on May 27.

Boeing and Airbus declined to comment. The people with direct knowledge of the matter declined to be identified ahead of a public announcement.

Air New Zealand’s chief executive, Christopher Luxon, last year told Reuters the larger Boeing 777X was also under consideration, and that the airline planned to use the new jets to begin longer routes such as Auckland to New York and Brazil.

In March, CFO McDowall in an analyst briefing said the airline would need fewer replacement jets in 2023 than initially anticipated due to changes in its flight network.

Air New Zealand began a two-year cost reduction program in March and deferred aircraft capital expenditure of about NZ$750 million ($490.1 million) as part of a business review.

A month earlier, it slashed domestic fares by as much as 50% in a shake-up of its pricing structure in response to a slackening travel market.

(Reporting by Tim Hepher in Paris; Additional reporting by Praveen Menon in WELLINGTON; Editing by Stephen Coates and Christopher Cushing)

FILE PHOTO: An Air New Zealand Airbus A320-200 plane takes off from Kingsford Smith International Airport in Sydney, Australia, February 22, 2018. REUTERS/Daniel Munoz/File Photo

Azul Receives First Airbus A330neo in the Americas

The first A330neo of the Americas has been delivered to Azul Linhas Aéreas on lease from Avolon, becoming the first airline from the Americas to fly the A330-900. The aircraft is the first of 15 A330neo ordered by Avolon.

The A330neo, Airbus’ new generation A330 aircraft, will be used by the airline to expand its international route network between Brazil and Europe and the United States. Fitted with a three-class cabin layout accommodating 34 business class, 96 economy Xtra, and 168 economy class seats, the A330neo offers passengers greater comfort along with the newest and the most advanced in-flight experience while the airline will benefit from the aircraft’s unrivalled operating economics.

“We are very proud to be the first A330neo operator in the Americas. This new aircraft will play a key role in the expansion of our international markets supporting our strategy of having a modern and fuel-efficient fleet”, celebrates John Rodgerson, Azul’s CEO.

“With its many new features and an Airspace cabin, the A330neo can only add to Azul’s many travel awards said Christian Scherer, Airbus Chief Commercial Officer. “Innovation packed, superior passenger comfort and 25% fuel efficiency all rolled in to one – that’s the A330neo.”

The A330neo is the true new-generation aircraft building on the most popular wide body A330’s features and leveraging on A350 XWB technology. Powered by the latest Rolls-Royce Trent 7000 engines, the A330neo provides an unprecedented level of efficiency – with 25% lower fuel burn per seat than previous generation competitors. Equipped with the Airbus Airspace cabin, the A330neo offers a unique passenger experience with more personal space and the latest generation in-flight entertainment system and connectivity.

Founded in 2008, Azul is a Brazilian carrier that serves 108 destinations across South America, the United States and Portugal.

Airbus has sold 1,200 aircraft, has a backlog of nearly 600 and nearly 700 in operation throughout Latin America and the Caribbean, representing a 56 percent market share of the in-service fleet. Since 1994, Airbus has secured nearly 70 percent of net orders in the region.

@Azulinhasaereas  @Airbus #A330neo  @avolon_aero

Azul Says Rivals Blocked Carrier From Profitable Route

SAO PAULO, May 9 (Reuters) – Brazilian airline Azul SA’s chief executive said on Thursday that its two larger competitors had barred the carrier from providing a competing air shuttle service on the highly profitable Sao Paulo to Rio de Janeiro route.

“Essentially what they did was they had a shutdown plan to keep us out,” CEO John Rodgerson told Reuters in an interview, referring to competitors Gol Linhas Aereas Inteligentes and LATAM Airlines Group.

The comments come weeks after Azul engineered a plan to break into the Sao Paulo-Rio de Janeiro route, by far the most transited in South America, but it fell apart after Gol and LATAM intervened.

The three airlines have been disputing the airport rights set to be left behind by their struggling competitor Avianca Brasil, which was scheduled to auction the routes this week as part of a bankruptcy process.

Azul, Brazil’s No. 3 airline, initially reached a deal with Avianca Brasil, but a few weeks later Gol and LATAM reached a different deal with Avianca Brasil’s key creditors, which was ultimately approved and sidelined Azul.

Both plans hinged on a successful Avianca Brasil bankruptcy auction, but the event was recently suspended indefinitely, meaning that even Gol and LATAM may not be able to get the airport rights they had agreed to buy.

“I don’t think they ever had the intention of closing on the deal,” Rodgerson said of Gol and LATAM’s agreement with Avianca Brasil.

Gol and LATAM have previously denied any anti-competitive stance.

Brazil’s antitrust regulator CADE said in April that it was concerned about a potential takeover by Brazil’s two major airlines, and that it preferred to see Azul or a new airline take over Avianca Brasil’s airport rights.

The rift also led Azul to leave Brazil’s airline industry group, known as ABEAR, late last month.

“I think the way they acted was inappropriate and not in the best interest of the industry,” Rodgerson said. “I don’t think we share the same values.”

Rodgerson gave the interview as part of Azul’s first quarter results announcement, in which higher operational costs weighed significantly, sending profits down 20% to 137.7 million reais ($35.06 million), despite significantly higher revenue compared to the same period last year.

While revenue grew 16% to 2.5 billion reais, personnel costs surged 37% amid continued expansion at the company, as well as the expiration of a payroll tax incentive.

“It’s kind of the new norm,” Rodgerson said.

Fuel costs also increased significantly, while other undisclosed costs jumped 34% to 224 million reais in the period.

Azul and its Brazilian competitors have faced higher costs in recent quarters due to the continued depreciation of the local currency, the real. While passengers buy their tickets in reais, many of the airline’s expenses, such as fuel, are denominated in the stronger U.S. dollar.

($1 = 3.9393 reais)

(Reporting by Marcelo Rochabrun; editing by Bernadette Baum and Bill Trott)

Brazil Airline Azul’s Profits Drop 20% on Higher Expenses

SAO PAULO, May 9 (Reuters) – Higher operational costs weighed on Brazil’s No. 3 airline, Azul SA, sending profits in the first quarter down 20% to 137.7 million reais ($35.06 million), despite significantly higher revenue compared to the same period last year.

While revenue grew 16% to 2.5 billion reais, personnel costs surged 37% amid continued expansion at the company.

Fuel costs also increased significantly, while other undisclosed costs jumped 34% to 224 million reais in the period.

Azul and its Brazilian competitors have faced higher costs in recent quarters due to the continued depreciation of the local currency, the real. While passengers buy their tickets in reais, many of the airline’s expenses, such as fuel, are denominated in the stronger U.S. dollar.

Earlier this year, Azul signed a tentative deal that ultimately fell through to take over a set of coveted domestic routes that were to be auctioned off by its rival Avianca Brasil, which is going through a bankruptcy protection process.

The routes were then set to go to its two larger competitors, Gol Linhas Aereas Inteligentes and LATAM Airlines Group, dealing a blow to Azul as it had hoped to break into the lucrative Sao Paulo-Rio de Janeiro route.

That route is currently dominated by Gol and LATAM and is considered to be among the most profitable in the country.

At the last minute, a judge indefinitely suspended Avianca’s auction which was due earlier this week.

($1 = 3.9273 reais) (Reporting by Marcelo Rochabrun; Editing by Bernadette Baum)

Embraer Delivers 11 Commercial and 11 Executive Jets in 1Q19

São José dos Campos, SP, Brazil, May 3rd, 2019 – Embraer (NYSE: ERJ; B3: EMBR3;) delivered a total of 22 jets in the first quarter of 2019 (1Q19), of which 11 were commercial aircraft and 11 were executive jets (8 light and 3 large). As of March 31st, the firm order backlog totaled USD 16.0 billion.

In the first quarter, Embraer delivered the first E175 jet to Mauritania Airlines, the first of this model to the African continent. The airline signed a firm order for two E175 jets in 2018. The contract has a value of USD 93.8 million at current list prices.

Embraer also signed, in April, a firm order for 10 E195-E2 jets with Nigeria’s largest airline, Air Peace, which will become the first E-Jets E2 operator in Africa. The contract includes purchase rights for a further 20 E195-E2. With all purchase rights being exercised, the contract has a value of USD 2.12 billion based on current list prices. This order will be included in Embraer’s 2Q19 backlog.

The world’s best-selling light jet for the seventh consecutive year, the Phenom 300 reached the mark of the 500th aircraft delivered, becoming the only business jet model to reach this milestone in the last 10 years. The aircraft is in operation in more than 30 countries and has accumulated more than 780,000 flight hours. This milestone followed the announcement of the first Phenom 300E and Praetor 600 business jet sales to Brazilian customers.

Embraer Defense & Security and its partner Sierra Nevada Corporation (SNC) announced in February a contract for 12 A-29 Super Tucano light attack aircraft to the Nigerian Air Force. This sale was already included in Embraer’s 4Q18 backlog.

In the period, the Brazilian Navy also announced that the Águas Azuis Consortium, formed by thyssenkrupp Marine Systems, Embraer Defense & Security and Atech, was selected for the construction of four defense ships in the Tamandaré Corvettes Class Program (CCT) as preferred bidder.

In the Services & Support segment, Embraer and WDL Aviation GmbH, a German charter business which is part of the Zeitfracht logistics group, signed an agreement for a Flight Hour Pool Program to support the airline’s recently leased fleet of four used E190s. Air Astana, a flag carrier of Kazakhstan, also signed a multiyear agreement for a Flight Hour Pool Program to support the component needs for the airline’s new E2 fleet, Embraer’s second generation of the E-Jets family of commercial aircraft.

Follow us on Twitter: @Embraer

About Embraer

A global aerospace company headquartered in Brazil, Embraer celebrates its 50th anniversary with businesses in Commercial and Executive aviation, Defense & Security and Agricultural Aviation. The company designs, develops, manufactures and markets aircraft and systems, providing Services & Support to customer after-sales.

Since it was founded in 1969, Embraer has delivered more than 8,000 aircraft. On average, about every 10 seconds an aircraft manufactured by Embraer takes off somewhere in the world, transporting over 145 million passengers a year.

Embraer is the leading manufacturer of commercial jets up to 150 seats and the main exporter of high value-added goods in Brazil. The company maintains industrial units, offices, service and parts distribution centers, among other activities, across the Americas, Africa, Asia and Europe.

ExpressJet Takes Delivery of First New Embraer E175 Aircraft

ATLANTA, May 1, 2019 /PRNewswire/ — ExpressJet Airlines, a United Express carrier, this week took delivery of its first of 25 new Embraer E175 aircraft in a handover ceremony at the Embraer factory and delivery center in São José dos Campos, Brazil.

“The delivery of our first E175 represents a significant milestone in ExpressJet’s growth as an exclusive United Express carrier,” said Chairman and CEO Subodh Karnik. “I want to express my gratitude to our partners at Embraer and United Airlines as well as to the ExpressJet employees who have worked tirelessly over the past six months to make this day a reality.”

ExpressJet will take delivery of new E175’s through the remainder of 2019. Houston’s George Bush Intercontinental Airport (IAH) will serve as the airline’s first E175 base, with a second base location to be announced soon.

To support its E175 fleet growth, ExpressJet is hiring more than 600 new pilots in 2019. Pilots who sign on with ExpressJet can expect a quick selection process, an immediate class date, and to bid for flying within three months. Pilots interested in signing on with ExpressJet should apply at expressjet.com/pilots or airlineapps.com.

About ExpressJet Airlines
ExpressJet Airlines operates as United Express, on behalf of United Airlines (UAL), to serve more than 100 airports across the United States, Canada and Mexico, with over 3,300 weekly flights from bases in Chicago, Cleveland, Houston and Newark. ExpressJet’s fleet includes more than 110 Embraer ERJ145 and Bombardier CRJ200 aircraft, with 25 new Embraer E175’s being added in 2019. ExpressJet pilots enjoy top-tier pay and quality of life and a career path to United Airlines. ExpressJet is a subsidiary of ManaAir, LLC. For further information, contact 404-856-1199, corpcomm@expressjet.com.

Corporate Communications
Atlanta, Georgia
404-856-1199
corpcomm@expressjet.com

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