EBACE Show News - May 21, 2008 - (Page 36)

EBACE 2008 Embraer Is Investing $100 Million in Support Embraer is in the final stages of a $100 million, two-year plan to have global customer support ready for the entry into service of its Phenom 100 later this year and the Phenom 300 in 2009. “Our business plan is to have 45 service centers by the end of this year. We are nearly there,” says Embraer evp for executive jets Luís Carlos Affonso. The investment underscores Embraer’s ambitions to be a major player in the business aviation market. It has set a 10-year goal of capturing 15% of the super-midsized market with the Legacy 600, 30% of the VLJ and light jet market with the Phenom 100 and 300, and 20% of the ultra-large category with its Lineage 1000 derivative of the E-190 regional airliner. The Brazilian manufacturer expects the mid-light and mid-size segments of the business jet market will account for 2,780 new aircraft valued at $38 billion over the next decade. Affonso said Embraer is targeting a 20 to 30 % share of those two market segments. A 30% share of those two segments would amount to more than $12 billion over the next decade. training of flight crews in a partnership with CAE); the more the aircraft fly, the more work—and business—flows into Embraer’s service centers. “The investment shows we are serious,” said Affonso, “as (customer support) won’t make any money for the first few years.” The $100-million investment is funding three new Embraer-owned service centers in the U.S. and one in Europe, spare parts inventories and field and technical support. Construction of the U.S. centers is under way at Williams Gateway Airport in Mesa, Arizona, HartfordBradley Airport in Connecticut, and Ft. Lauderdale, Florida. In March Embraer’s company-owned Executive Jets Center at ParisLe Bourget opened with EASA Part 145 Approval. More Authorized Service Centers will be added soon, bringing Embraer’s dedicated worldwide Legacy and Phenom support network to seven company-owned centers and 38 authorized third party shops. Recent additions include ABS Jets in the Czech Republic, and Hawker Pacific in Singapore. —John Morris Luís Carlos Affonso is executing Embraer’s business aviation strategy. “This is not a marginal initiative for us at Embraer,” says Affonso. Embraer needs large numbers of aircraft in service to realize its business strategy of becoming a leading support and services provider in the executive aviation market. The investment in customer support underscores the importance it places on developing that segment into a significant business. The Phenom models will play a key role. Affonso notes that of the 700-plus firm orders to date (of which the majority are for the smaller Phenom 100), over half have been ordered by fleet operators. Embraer designed the Phenoms with rugged features for high utilization in quasi-airline service, and it expects the fleet aircraft to fly 2,000 hours a year, four times as much as an average business jet. This plays right into Embraer’s strategy of signing them up for its Executive Care pay-by-the-hour maintenance plans and integrated support (that could include digital transmission of aircraft health and Motorbike champion Mick Doohan has taken delivery of this AgustaWestland Grand helicopter. The Sky’s the Limit—For Mick Doohan Mick Doohan holds a number of world motorcycle marks. Motorbike World Champion Mick Doohan recently took delivery of an AgustaWestland Grand helicopter at the company’s Vergiate, Italy plant. Australian Doohan was crowned MotoGP champ five timers, and won 54 Grands Prix between 1989-99. He set a number of motorcycling world records. “Mick was the fastest rider on the racetrack for many years, and we are delighted he has chosen the fastest light twin helicopter (which) symbolizes a winning lifestyle and world-beating performance,” AgustaWestland commercial business unit svp Renzo Lunardi said as he handed over the Grand’s keys, 36 May 21, 2008 www.aviationweek.com/shownews http://www.aviationweek.com/shownews

Table of Contents Feed for the Digital Edition of EBACE Show News - May 21, 2008

A318 Elite is on a Roll A Circle Around London P&WC Deliveries Triple Avanti Sees Sales Shift RUAG Eyes Needy Cabins Global Gets Even NICEr Embraer Beefs Up Support Honeywell ‘Virtual VFR’ Signature Europe Grows Gestair Seeks to Double Aero-Dienst Turns 50 Gama Doubles in Size All is Not Woe with Oil Ocean Sky is Aggressive

EBACE Show News - May 21, 2008

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