Embraer SA will sell 30 regional jets valued at about $840 million to United Continental Holdings Inc. as the world’s largest airline uses a new pilot contract allowing commuter partners to fly bigger aircraft.
Embraer SA, Brazil’s biggest planemaker, is betting the E-jet will win a greater share of the shrinking regional market because airlines prefer revamped versions of current aircraft to risking delays and malfunctions in new models such as Bombardier Inc.’s CSeries.
The unmanned aircraft soaring above Brazil’s Paraiba valley looks like a toy plane. In fact, it is the newest means of monitoring drug and arms traffickers, and the latest result of a military buildup that is attracting companies from Boeing Co. to Odebrecht to Thales SA.
Empresa Brasileira de Aeronautica SA , the world’s fourth-largest planemaker, reported second-quarter profit fell almost 79 percent and boosted its year sales forecast on rising orders and the aviation sector’s improvement.
Embraer SA’s surprise loss of a $1.85 billion regional-jet order from Delta Air Lines Inc. signals the planemaker needs to sweeten incentives such as buyback guarantees and maintenance deals to fend off Bombardier Inc.