Boeing’s SECOND Bad Breakup! Why the Embraer Partnership Failed.

Personally, I think Embraer is better off not joining Boeing.

As a retired engineer who has worked for Embraer for 26 years both as an engineer and as a pilot, I have to confess that the deal breakup left a terribly bad impression among Embraer employees and associates of Boeing's business ethics. The wording Boeing used to justify the break up was created by some lawyer. There was no frankness and there is no detailing of the reasons. On the other hand it was clear to everyone that Boeing had no cash and had to carry out urgent cost-cutting measures to satisfy shareholders. The problem is exactly that: shareholders want immediate financial results. They do not care about the long term scenarios. In a nutshell: Boeing will continue to struggle for engineering capacity, will not be able to add new customers by selling smaller aircraft and quite possibly Embraer will sustain its business, and may even become a competitor to Boeing further down the road.

Good on Embraer for not tainting its image with corrupt companies.

Learning about boeing's more recent business decisions reminds my of my standard response to people's contention that CEOs deserve their astronomical pay: "I could run their company into the ground for half that rate of pay."

Porter Airlines (based out of Toronto) launched their E195 E2 service this week to rave reviews. This is I think the first E195 E2 order and operation in North America. Porter now has 6 E195 E2s in service with orders for 44 more.

As a 4 year regional pilot for the Ejet family, I will always fly Embraer. Such wonderfully put together aircraft.

I was very happy to hear that the deal fell through. I despise Boeing and love Embraer. A Boeing takeover would inevitably lead to Embraer being infected with the Boeing disease of greed, lying, corner cutting and complete incompetence.

TBH it's good that this deal didn't work out. Too much consolidation would be bad for the industry. There needs to be competition in the marketplace for it to work effectively.

KLM is a regular partner of Embrear. Whenever a regional jet is flying over my head, I can be pretty sure it is an Embraer. Their safetyrecord seems to be impeccable. Ever since I got interested in aviation, I haven't read about a single incident with one of their aircraft.

I am Brazilian and I am very thankful this deal did not take place. Boeing would destroy Embraer, get all the good practices and then kill the the brand, I saw this many times in Brazil; Ford bought a Brazilian car maker in the northeast of Brazil, Troller, a jeep like off road vehicle that was very popular and praised by off-roaders, Ford only bought the company to continue receiving fiscal incentives from government for automakers installed in the poor northeast states, this fiscal tax reductions would benefit mainly the Ford Camacari plant in Bahia, northeast of Brazil, as this plant would not receive any more benefits after 2013 (the plant started in 2001). Ford abandoned Brazil and kill the brand Troller, it did not want to sell to a Brazilian big group (Troller would be a direct competitor to the ford Bronco, imported to Brazil from Mexico). It is better Embrear continues alone or have an HONEST share with the big ones.

I almost completely forgot about that. On another note, I love flying on the E190. JetBlue uses them a lot for flights from Boston to other east coast destinations, and I once saw the Profit Hunter E190 E2 when I lived in Hartford and had a beautiful apartment with a clear view of the approach path into Bradley Airport (BDL-Windsor Locks, CT)

I think the reason this deal fell through is a different attitude to the meaning of the word "partnership " between ridiculously highly "confident" and paid Boeing top managers and other potential partners. To Brazilians Embraer is a mainstay of national pride and the government would have never allowed it to loose sovereignty. I very much hope though that Embraer finds a way and does no fall into a deeper trap seeking for a partnership in the far east.

I appreciate your sophisticated recordings these days... but I truly miss your sofa and dogs!

Shortly after the Boeing/McD merger I knew someone in parts acquisition at Boeing. She had loved her job. She now hated it. Why? Because now that there was less competition in the aerospace parts industry, the new Boeing intended to squeeze its suppliers. She was tasked with contacting them with a dictate that said in essence: "This is to notify you that we have been paying you $100 for this part. In the future we will only pay you $80." There's been a lot of discussion about how the merger destroyed Boeing's safety first culture. More needs to be said about how that merger also made Boeing mean. The way it exited its planned joint agreement with Embraer illustrates that all too well, as does how cruelly Boeing has dealt with the victims of the two 737MAX crashes.

I can never understand why companies like Quantumscape that produces absolutely nothing of tangible value other than hype has a higher valuation than companies like Embraer.

This was great ,Petter. My son worked on several Embraer aircraft types when he got out of school. Now I know what they looked like. He's now working on 737's, 777's and 787's as an Avionics Tech with American.

My son flys a Embraer 175. Always stating all the redundant safety features and advanced safety features compared to other airline companies.

Boeing has worked very hard to make the company unfriendly to engineering staff. It's funny that now they have a problem with running low on engineering capability. I work with people who worked at Boeing in the 90s, and who subcontracted to Boeing more recently, they describe Boeing as being hollowed out.

Embraer, I love these as a passenger, oh so much more foot room.

Didn't realize that Embraer was Brazilian, neat.