Embraer confirmed the sale of ten EMBRAER 190s to CDB Leasing Co., Ltd. (CLC), of China, today. The jets will be operated by China Southern, the country’s largest airline, and the third in the world. The aircraft will be used to develop new markets, and the first delivery is expected for the second half of 2011.
“Embraer is delighted to complete the first operation under the Memorandum of Understanding signed with CDB Leasing, in 2009, for the purchase and leasing of E-Jets. This deal reaffirms their strong recognition and confidence in our products, as well as in the prospects for China’s regional aviation growth,” said Paulo César de Souza e Silva, Embraer Executive Vice President, Airline Market. “We are proud to welcome China Southern as the newest E-Jet operator and another prominent airline on our customer roster. We are certain that the EMBRAER 190 will be an important tool to support the company’s market development strategy.”
“We are very pleased to make this significant deal with Embraer, and are honored to cooperate with China Southern, again. This transaction is an important measure to support the airline’s aviation market expansion in Xinjiang and the economic development of the Xinjiang region. The deal will facilitate the strategic partnership between CLC and Embraer,” said Vice President Wu Rongyang, CDB Leasing Co., Ltd.
“China Southern enjoys the good partnership with Embraer and is full of confidence in its products. The EMBRAER 190 is a successful type of aircraft with proven economics and performance, and it is well received by the market. These aircraft will be operated in Xinjiang to boost the economic development of the region. The partnership between China Southern and Embraer will certainly be further consolidated,” said Xu Jiebo, Vice President of China Southern Airlines Co., Ltd.
The deal is within the framework of a Memorandum of Understanding signed by Embraer and CLC, in December 2009, which aims to create financing opportunities for selling Embraer aircraft to the Chinese and international markets. CLC is a major financial leasing company held by the China Development Bank, and one of the most important international aviation financing institutions.
China Southern has been an operator of Embraer’s ERJ 145, since 2004, with a fleet of six jets providing regional aviation services. In 2009, the company was awarded by Embraer for its successful operation of this aircraft model, in terms of pilot training, market development and maintenance improvement.
The EMBRAER 190 went into operation in the Chinese market in 2008. Today, 80 aircraft produced by Embraer are in service in China, including the 70- to 122-seat E-Jets, the 37- to 50-seat ERJ 145 regional jet family, and the Legacy 600 executive jet. With this new order, 29 EMBRAER 190s will be delivered to China in the coming years.
The EMBRAER 190 is the third of four members of Embraer’s E-Jets family. Its cabin may be configured in one or two classes, seating 98 to 114 passengers in a comfortable four-abreast (2x2) configuration with no middle seat. The jet can fly up to 2,400 nautical miles (4,450 kilometers) nonstop. At the present time, more than 700 E-Jets are operated, worldwide, and have accumulated over 5 million flight hours.
About CDB Leasing Co., Ltd.
CDB Leasing Co., Ltd. (CLC) is a major non-banking financial institution controlled by the China Development Bank. It has registered capital of 8 billion RMB, and has approximately 60 billion RMB in total assets. The company owns the largest fleet in China and, so far, it has delivered 73 aircraft to airlines.
About China Southern Airlines Co., Ltd
China Southern Airlines Co., Ltd., one of the top three state-owned airlines in China, has 14 branches and five holding subsidiaries, as well as 53 international offices located in major metropolitan markets around the world. It operates the largest and most technologically advanced fleet, as well as the most extensive domestic network in China. Currently, the company operates 400 modern aircraft, including six Embraer ERJ 145s. In 1997, China Southern debuted on both the New York and Hong Kong Stock Exchanges, and in 2003 it was listed in Shanghai. In November 2007, the company officially joined SkyTeam, becoming the first domestic airline in the country with a global alliance.
About the EMBRAER 170/190 E-Jets family
The EMBRAER 170/190 family of E-Jets consists of four commercial jets with 70 to 122 seats, featuring advanced engineering design, efficient performance, outstanding operating economics, low emission levels and a spacious cabin without middle seats.
The E-Jets have a maximum cruising speed of Mach 0.82, can fly at 41,000 feet (12,497 meters) and have ranges of up to 2,400 nautical miles (4,448 kilometers). The high degree of commonality among the four aircraft – EMBRAER 170, EMBRAER 175, EMBRAER 190 and EMBRAER 195 – results in exceptional savings for carriers, in terms of crew training and costs of spare parts and maintenance. Another key feature of the E-Jets is the state-of-the-art, fly-by-wire technology, which increases operating safety, while reducing pilot workload and fuel consumption.
The double-bubble fuselage design provides superior comfort and includes two main passenger entrances and two service doors, thus minimizing aircraft turn-around time. The E-Jets offer much more space for passengers, in a single or dual-class layout, than other aircraft with similar seating capacities. For more details, visit EmbraerCommercialJets.com/.
The E-Jets have achieved outstanding success, with nearly 900 firm orders logged and over 700 jets in operation, worldwide. They have accumulated 5 million flight hours and transported more than 200 million passengers. This proven family is helping airlines to right size low load factor narrowbody routes, to replace older, inefficient aircraft, and to develop new markets with lower operating costs, greater efficiency, and outstanding passenger comfort. To better understand the benefits of these aircraft, when substituting older jets, visit eforefficiency.com/.
About Embraer S.A.
Embraer S.A. (NYSE: ERJ; BM&FBOVESPA: EMBR3) is the world’s largest manufacturer of commercial jets up to 120 seats, and one of Brazil’s leading exporters. Embraer’s headquarters are located in São José dos Campos, São Paulo, and it has offices, industrial operations and customer service facilities in Brazil, China, France, Portugal, Singapore, and the United States. Founded in 1969, the Company designs, develops, manufactures and sells aircraft for the commercial aviation, executive aviation, and defense segments. The Company also provides after sales support and services to customers worldwide. On September 30, 2010, Embraer had a workforce of 17,009 employees – not counting the employees of its partly owned subsidiaries – and its firm order backlog totaled US$ 15.3 billion.
This document may contain projections, statements and estimates regarding circumstances or events yet to take place. Those projections and estimates are based largely on current expectations, forecasts on future events and financial tendencies that affect Embraer’s businesses. Those estimates are subject to risks, uncertainties and suppositions that include, among others: general economic, political and trade conditions in Brazil and in those markets where Embraer does business; expectations on industry trends; the Company’s investment plans; its capacity to develop and deliver products on the dates previously agreed upon, and existing and future governmental regulations. The words “believe”, “may”, “is able”, “will be able”, “intend”, “continue”, “anticipate”, “expect” and other similar terms are supposed to identify potentialities. Embraer does not feel compelled to publish updates nor to revise any estimates due to new information, future events or any other facts. In view of the inherent risks and uncertainties, such estimates, events and circumstances may not take place. The actual results can therefore differ substantially from those previously published as Embraer expectations.
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