Embraer delivers 28 commercial and 20 executive jets in 2Q18

July 23, 2018

During the second quarter of 2018 (2Q18), Embraer (NYSE: ERJ; BM&FBOVESPA: EMBR3) delivered 28 jets to the commercial aviation market and 20 business jets, being 15 light jets and 5 large jets. On June 30, Embraer's firm order backlog totaled USD 17.4 billion.

See the details below:

Deliveries by Segment2Q18 2018
Commercial Aviation28 42
EMBRAER 170 (E170) 1 1
EMBRAER 175 (E175) 20 31
EMBRAER 190 (E190) 2 5
EMBRAER 195 (E195) 2 2
EMBRAER 190-E2 (E190-E2) 3 3
Executive Aviation20 31
Phenom 100 3 6
Phenom 300 12 17
Light Jets15 23
Legacy 650 1 1
Legacy 450 4 6
Legacy 500 - 1
Large Jets 5 8
TOTAL 48 73

In 2Q18, Embraer celebrated a major milestone when Norway's Widerøe took delivery of the first production E190-E2 in early April in a ceremony at Embraer's facility in São José dos Campos, Brazil. Scandinavia's largest regional airline started its scheduled passenger service with the aircraft a few weeks later.

Regarding the commercial aviation market, Air Costa's order for 50 E-Jets E2 is no longer considered in Embraer's backlog as of the end of 2Q18. This backlog adjustment has no impact on the E2's production or delivery schedule for 2018 or for 2019.

Embraer signed a firm order with American Airlines Inc. for 15 E175 jets with a 76-seat configuration. The contract has a value of USD 705 million, based on current list prices, and deliveries will take place in 2019 between March and November. Embraer and Mauritania Airlines announced during the Farnborough Airshow 2018 a firm order for two E175 jets with a 76-seat configuration. The contract, valued at USD 93.8 million, based on current list prices, was signed in June and therefore included in the 2Q18 backlog. Deliveries will take place in 2019.

During the Farnborough Airshow, Embraer also announced firm orders for 25 E175 jets to United Airlines and for 10 E195-E2 jets to Kuwait's Wataniya Airways to be included in the 3Q18 backlog. The other announcements this week in the airshow, including Republic Airways, are expected to be incorporated in the Embraer's backlog by the end of 2018.

In the business jets segment, the Company unveiled during the 18th European Business Aviation Convention and Exhibition (EBACE) in Geneva, Switzerland, a new purchase agreement with Air Hamburg for four more Legacy 650E business jets. With this additional order, the Germany-based business charter operator will expand its Embraer flagship fleet to 17 aircraft. Air Hamburg is the world's largest operator of the Legacy 600/650 aircraft models. The second quarter also marked the beginning of new Phenom 300E deliveries.

Embraer Services & Support and Belavia, Belarusian Airlines, the leading carrier of Belarus, signed an agreement for the support of Belavia's fleet of Embraer E-Jets. The deal will streamline Belavia's fleet support and improve aircraft availability. The Service & Support area also announced that CommutAir, a United Express carrier, selected Embraer Aircraft Maintenance Services (EAMS) in Nashville, Tennessee as the exclusive heavy maintenance provider for the company's fleet of up to 61 ERJ-145 aircraft. The Sorocaba Service Center, in the state of São Paulo, received certification during 2Q18 from the National Civil Aviation Agency (ANAC) and the European Aviation Safety Agency (EASA) to carry out maintenance of the E190-E2 jet, approving the unit to support Brazilian and European customers.

Backlog - Commercial Aviation (June 30, 2018)

Aircraft TypeFirm Orders Options Deliveries Firm Order Backlog
E170191 5 191 -
E175622 165 531 91
E190587 44 551 36
E195172 1 166 6
175-E2100 100 - 100
190-E250 72 3 47
195-E280 65 - 80
Total1.802 452 1.442 360

Note: Deliveries and firm order backlog include orders for the Defense segment placed by State-run airlines (Satena and TAME).