Embraer

The Brazilian Company of Aeronautics SA (Embraer) is a manufacturer of aircraft from small and medium businesses, for use in regional aviation, executive and agriculture, and military fighters, aircraft and remote sensing to carry authorities. It is the third largest manufacturer of airplanes in the world, leaving behind Boeing and Airbus, and one of the largest exporting companies in Brazil, in terms of absolute value since 1999 and now also the manufacturer of executive jets with more applications in the pipeline. Its headquarters is located in the city of Sao Jose dos Campos, interior of São Paulo state and has several other units, including one in China, Harbin Embraer.
Embraer was born as an initiative of the Brazilian government within a strategic project to implement the aviation industry in the country, in a context of policies for replacement of imports. It was founded in the year 1969, and its first president was the engineer Ozires Silva, who had led the development of Bandeirante plane. Initially, most of its establishment plan formed by the Technological Institute of Aeronautics (ITA) of the Aerospace Technical Center (CTA). In a way, Embraer was born within the CTA. In 1980, there was a merger with Neiva Aeronautic Industry, which became its subsidiary company. During the 70s and 80s, Embraer won important national and international projection with the Bandeirante aircraft, Xingu and Brasilia. Currently the company is in the ascendancy, with many sales contracts, and expanding not only in physical space but also in number of employees, counting today around 20,000 employees, of which approximately twelve ten hundred are direct-eight thousand indirect
When starting a partnership with Italy in 1981, it was possible to draw up the hunt for air-land attack AMX, considered a major technological breakthrough for the development of new projects. In 1986, Ozires Silva leaves the chairmanship of the company to assume Petrobras. In 1988, has begun the development of a bilateral plane, which was designed and built by Embraer as both the military avionics Factory (AMF) of Argentina. The aircraft had the designation of CBA-123, CBA is the acronym for Cooperation Brazil-Argentina. In 1990 the first prototype flew, but because of costliness and political and economic crisis of the season, production was discontinued. An curious about the project, is that the engines were placed on the rear of the fuselage with the propellers facing backward. The end of the 80s was marked by a major financial crisis that shook the economies of Brazil and reached full in the Embraer, which almost went bust. In 1992, Ozires Silva was invited to return to the presidency of the company and lead the process of privatization. In 1994, at the time of President Itamar Franco, the company was auctioned and then go through a long restructuring process, and present new projects that make a giant of industry. Embraer, before being privatized, even among companies with greater market value and today is valued at U.S. $ 17 billion [1], and appear as the third largest manufacturer of jets in the world [2]. Today the company is one of the major blue chips traded on the Bovespa, and distributes dividends to minority shareholders and employees. [3] The new controllers equity have become the pension funds Previ and Sistel (20% each), the Cia Bozano, Simonsen (20%), and a group of investors with smaller shareholdings (20% of total), formed by Dassault, EADS, Thales and Snecma Group. Since privatization, the company was chaired by engineer Mauricio Botelho, who in 2007 was succeeded by Frederico Curado
Mauricio Botelho was responsible for restructuring the company, especially in the financial field. The launch of the project's ERJ-145 family, commercial jets with capacity of up to 50 passengers, was a success of the market, already hit the mark of 1,000 aircraft sold in 2006. The next step was new investments to create the line of EMBRAER 170/190 aircraft, a bet on the market for planes of 70 to 120 seats, originally classified as E-Jets.Estes are a success with 878 firm orders and 915 intentions of purchase . However, they were once associated with a new niche market, occupied by the major aerospace companies (Major) and low-cost and low-fare (low-cost, low-fare). In this segment, its biggest competitor today is the Canadian company Bombardier with models of up to 90 seats. She is not as well positioned in the market because its products are extended versions of the aircraft of 50 passengers, making them less spacious. In 2000, the company launched shares on stock exchanges in New York and Sao Paulo. Because of subsidies adopted by a Canadian company, the Brazilian government came with a request for repair in the World Trade Organization. The dispute lasted several years, and both sides were ordered to adopt new ways of financing accepted internationally for the sale, manufacture and development of their aircraft. In 2002, a joint venture with China Aviation Industry Corporation II (AVIC II) established the Harbin Embraer Aircraft Industry Co. Ltd. (HEAI), allowing the construction and sale of ERJ-145 aircraft for the market in China. In 2004, was created an association with the company's line of defense Lockheed Martin to supply aircraft for remote sensing based on the ERJ-145 aircraft for the Navy and the United States of America. However, this project was suspended due to the American army have canceled the program in January 2006. In 2005, a consortium led by Embraer was declared the winner in the privatization of OGMA - Aerospace Industry of Portugal S / A, defeating the Italian-American consortium composed of companies Alenia Aeronautica and Lockheed Martin [4]. In the same year, the company launched an offensive to expand its business market share of corporate aircraft, this only with the Legacy, which is the platform ERJ-135 jet. To this end, initiated an internal restructuring in that area, organized by its vice president for executive aviation Luis Carlos Affonso. In May, Embraer announced the design of the Embraer Light Jet and Very Light Jet. Along with models in real size, their official names were disclosed during the National Business Aviation Association (NBAA) in Orlando, USA, in November, as Phenom 300 and Phenom 100, respectively. In January 2006, was announced by Venezuelan president Hugo Chávez, the U.S. veto the sale of Super Tucano training aircraft to his country for alleged transfer of technology from North American origin, present in the avionics of aircraft. For the same reason, it was announced veto the sale to the Irã. In April 2008 it was announced the development of aircraft intermediaries between the Phenom 300 and Legacy 600, Embraer named Mid Light Jet and Embraer Mid Size Jet, who were baptized in Legacy 500 and Legacy 450, with entry into operation scheduled for 2012 and 2013, respectively. The Legacy 450 will reach 4260 kilometers (2,300 miles) and the Legacy 500 of 5,560 (3,000 nautical miles). The intention is that in a period of ten years, the executive jets represent 20% of total sales.
On January 20, 2006, Embraer announced a corporate restructuring plan, whereby the decision making power will be sprayed between all shareholders, because all holders of shares of the company in stock exchange of Sao Paulo will have the right to vote. Moreover, the scheme in which pension funds Previ and Sistel and Cia Bozano control 60% of the shares, since its privatization, will be undone. Mauricio Botelho will continue as president of the Board of Directors of the company until 2009. On February 14, 2007, the company sold its EADS stake to 2.12% of Embraer by 124 million euros