Embraer Executive Jets introduced the world to the Lineage and Phenom range of aircrafts. But with the economy in such a precarious state, launching an even newer line is a bold manoeuver. Luis Carlos Affonso, Embraer’s executive vice-president, Executive
Jets, explains how his company intends to use their unique assets to push through the crisis and launch the Legacy 450 and 500.
What makes Embraer private jets different from your contemporaries?
Every jet in our portfolio – from the Phenom 100 to the Lineage 1000 – is positioned at the top of its category, offering passengers the most spacious cabins and baggage compartments among competitors. Each jet carries Embraer’s heritage of high utilisation and high dispatch reliability. The design of each aircraft is modern and revolutionary, using the latest technologies, delivering premium comfort and outstanding performance at lower operational costs than previous generations of business aircraft.
How do you think the global economic downturn will affect sales?
Sales have already been affected, beginning with the US market in the middle of the year, followed since then by other world regions. We don’t reveal sales figures, but our backlog has grown from $600 million in 2005 to over $4 billion at the end of 2007. We will close out this year with around $7 billion in firm orders. Our deliveries have been increasing steadily since 2005 at rates of 50% a year, but we now expect deliveries across the industry to slow down in 2009 and 2010.
How many repeat customers do you have?
We have Legacy 600 customers that have acquired the Lineage 1000 and Phenom 100 customers that have also placed orders for the Phenom 300 to upgrade to in the future. Some Legacy 600 customers have also placed orders for the Phenom 100 for more personal travel to regional destinations. Some fleet operators have ordered several jets of each model from our portfolio.
I heard you are working with Priestman Goode on interiors for the Lineage 1000. How did you come to work with them?
We sought Priestman Goode for their reputation and award-winning expertise in the design of interior spaces that meet the demanding requirements of the luxury market. They have designed the variety of interior layouts such as lounge areas, a full-service galley, workspaces and meeting areas. In cooperation with our design team, Priestman Goode defined the style of the furniture, the collection of materials and finishing details.
What other designers are you working with?
For the Phenom 100 and Phenom 300 as well as the Legacy 450 and Legacy 500, we have worked with BMW DesignWorks USA.
Why did you decide to create the Lineage 1000? How many are on order?
Based on extensive market research and customer interaction, we identified the demand for a large cabin aircraft with a range of about 4,000 nm. With the platform of the EMBRAER 190 commercial jet, we saw the opportunity to design the Lineage 1000, for which we now have over 20 firm orders.
Who are you marketing very light jets at?
The Phenom 100 is the ideal jet for individuals who want to fly friends, family or business partners to a regional destination for a few hours at a time because of its very spacious cabin, private rear lavatory and single pilot operation capability.
What new Embraer projects are you working on?
In Geneva, at the European Business Aviation Conference and Exhibition last May, we launched the Legacy 450 and the Legacy 500, two clean sheet design jets into the midlight and midsize categories, with flat floor full stand-up height cabins, state-of-the-art avionics and fly-by-wire technology for even smoother flights. The Legacy 500 and Legacy 450 are scheduled to enter service in 2012 and 2013, respectively.
Further information
Embraer Executive Jets
Website: www.embraerexecutivejets.com
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