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Airplane maker Embraer working to clear $13.6B order backlog

By Renzo Pipoli
Embraer said Friday it delivered nearly 40 jets during the third quarter. Photo courtesy Embraer
Embraer said Friday it delivered nearly 40 jets during the third quarter. Photo courtesy Embraer

Oct. 19 (UPI) -- The world's third-largest commercial airplane manufacturer said Friday it delivered 15 commercial and 24 business aircraft during the third quarter, which left it with a $13.6 billion order backlog.

The company said it removed 134 jets from the backlog during the quarter, most for an order from Skywest for 100 E174-E2s.

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Skywest remains committed to an order for E175-E2s, but there is "timing uncertainty" linked to permission in the U.S. market to allow that heavier plane to be flown by regional airlines, it said.

The other 34 jets now off the backlog are related to cancellations, Embraer added -- including Jet Blue's decision to cancel two dozen E190s.

Embraer said in its outlook it expects global demand for 10,550 new aircraft over the next two decades.

"Market growth will drive 65 percent of this demand, while the remaining 35 percent of the projected demand will be to replace aging aircraft," the plane maker, one of the largest manufacturers in Latin America, said.

Embraer recently received an order from Swiss carrier Helvetic Airways for a dozen jets in a deal that includes purchase rights for another dozen. United Airlines also made an order for 25 jets, the first of which will begin arriving next year. The company is also working to finalize an accord with Republic Airways for 100.

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Additionally, the company said it's negotiated new deals for parts and maintenance in other areas of the world.

Embraer did not provide any new information Friday about a joint venture announced this year with U.S. plane manufacturer Boeing.

Embraer is the world's third-largest civil aircraft maker, behind Boeing and Airbus.

Embraer also makes military aircraft, including the A-29 Super Tucano.

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