CHICAGO and SÃO PAULO,
Jan. 27, 2020 /PRNewswire/ -- Boeing
[NYSE: BA] and Embraer [B3: EMBR3, NYSE: ERJ] welcome the
unconditional approval of their strategic partnership by the
Administrative Council for Economic Defense (CADE)'s
General-Superintendence (SG) in Brazil. The decision will become final within
the next 15 days unless a review is requested by CADE
Commissioners. The partnership has now received unconditional
clearance from every regulatory jurisdiction with the exception of
the European Commission, which continues to assess the deal.
"This latest clearance is yet another endorsement of our
partnership, which will bring greater competition to the regional
jet marketplace, better value for our customers and opportunities
for our employees," said Marc Allen,
Boeing's president of Embraer Partnership & Group
Operations.
"Brazil's approval of the deal
is a clear demonstration of the pro-competitive nature of our
partnership," said Francisco Gomes
Neto, president and CEO of Embraer. "It will not only
benefit our customers, but also allow the growth of Embraer and the
Brazilian aeronautical industry as a whole."
Unconditional clearance has now been granted in Brazil, United
States, China, Japan, South
Africa, Montenegro,
Colombia, and Kenya.
Boeing and Embraer have been in discussion with the European
Commission since late 2018, and continue to engage with the
Commission as it proceeds through its assessment of the
transaction.
"We have been productively engaged with the Commission to
demonstrate the pro-competitive nature of our planned partnership,
and we look forward to a positive outcome," Boeing's Allen said.
"Given the positive endorsement we've seen from customers across
Europe and the unconditional
clearance we've received from every other regulator who has
considered the transaction, we look forward to securing final
approval for the transaction as soon as possible."
The planned strategic partnership between Embraer and Boeing
comprises two joint ventures: one joint venture made up of the
commercial aircraft and services operations of Embraer (Boeing
Brasil – Commercial) in which Boeing will own 80 percent and
Embraer will hold 20 percent; and another joint venture to promote
and develop markets for the multi-mission medium airlift C-390
Millennium (Boeing Embraer – Defense) in which Embraer will own a
51 percent stake and Boeing will own the remaining 49 percent.
Forward-Looking Information Is Subject to Risk and
Uncertainty
Certain statements in this release may be "forward-looking"
within the meaning of the Private Securities Litigation Reform Act
of 1995, including statements regarding the proposed terms of the
transaction, the ability of the parties to satisfy the conditions
to executing or closing the transaction and the timing thereof, and
the benefits and synergies of the proposed transaction, as well as
any other statement that does not directly relate to any historical
or current fact. Forward-looking statements are based on current
assumptions about future events that may not prove to be accurate.
These statements are not guarantees and are subject to risks,
uncertainties and changes in circumstances that are difficult to
predict. Many factors could cause actual results to differ
materially from these forward-looking statements. As a result,
these statements speak only as of the date they are made and
neither party undertakes an obligation to update or revise any
forward-looking statement, except as required by law. Specific
factors that could cause actual results to differ materially from
these forward-looking statements include the effect of global
economic conditions, the ability of the parties to reach final
agreement on a transaction, consummate such a transaction and
realize anticipated synergies, and other important factors
disclosed previously and from time to time in the filings of The
Boeing Company and/or Embraer with the Securities and Exchange
Commission.
Contact
Allison Bone
Boeing Communications
allison.bone@boeing.com
+1 312-544-2002
Valtecio Alencar
Global Corporate Communications
Embraer
Valtecio.alencar@embraer.com.br
+55 11-3040-6891
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SOURCE Boeing