- Corporate Address
- Avenida Brigadeiro Faria Lima 2170
Sao Jose Dos Campos, SP 12227-901
Phone: 55 12 3927 4404
Fax: 55 12 3922 6000
Embraer - Empresa Brasileira de Aeronáutica SA - is based in São José dos Campos, Brazil, and was founded in 1969 as a government aerospace initiative and then privatised on 07-Dec-1994. On 31-Mar-2006 the majority of Embraer shareholders approved Embraer’s capital restructuring proposal, which consists of a simplified capital structure composed of one type of shares (common shares).
The Company focuses its activities on three business areas and markets:
- Commercial Aviation;
- Executive Aviation;
- Defense Systems.
1,908 total articles
91 total articles
VietJet Air is pursuing further domestic expansion as demand for travel within Vietnam continues to grow rapidly. VietJet secured a 40% share of Vietnam’s domestic market in Jul-2015 and should soon be able to capture a 50% share.
VietJet is launching services on 1-Oct-2015 to Pleiku, which will become its sixteenth domestic destination, and is now looking at using regional jets to open up new secondary domestic destinations which cannot be accessed by its fast-growing fleet of A320 family aircraft. VietJet is keen to test out a new regional strategy by wet-leasing an Embraer E195, which would be used to launch services by the end of 2015 to the Vietnamese resort island of Con Dao.
International expansion has been relatively modest and is much more risky than domestic expansion. VietJet is launching services in Oct-2015 to Yangon, its fifth scheduled international destination, but is wisely focusing most international expansion on charters, particularly to China. VietJet also has been very slow at expanding its affiliate in Thailand, where competition is more intense and market conditions are less favourable.
Although Alaska Airlines continued to post negative passenger unit revenue growth in 2Q2015, it is narrowing the gap with the US industry average. Seattle is one of the markets where industry capacity has been growing over the past two years as Delta Air Lines has made an aggressive push from the airport.
Alaska has responded by taking steps to preserve its market share in Seattle, and concludes that its position at its largest hub for YE2015 remains unchanged from YE2012. The airline has sustained its share by fortifying Seattle with additional frequencies in some markets, and new route additions.
The airline is facing some pockets of capacity pressure in addition to its planned 10% increase in supply during 2015. As it looks to 2016, it seems that Alaska has refined its outlook, and is examining growth targets below its 2015 expansion.
The three large US global airlines are continuing their quest to shed inefficient 50-seat jets in favour of larger gauge aircraft, a trend sweeping the US industry with nearly every major airline undertaking some form of seat densification on existing aircraft or taking delivery of jets configured with a higher number of seats.
United and Delta are opting to replace their 50-seat jets with a mix of new and used aircraft, and American appears to be adding new jets to replace its 50-seat aircraft. Based on current fleet projections American is moving more slowly in culling its 50-seat regional jets while Delta has been the most vocal and aggressive in shedding the smaller aircraft.
Even with the big push to shrink the 50-seat jet fleet, some US majors are extending contracts with their regional partners covering a small number of those aircraft. Perhaps in a few markets lower fuel prices improve the economics of the jets; but overall airlines are marching ahead to rid themselves of aircraft that were a mainstay in regional operations a decade ago.
Thailand’s regional market is poised for rapid growth as Kan Air expands its newly acquired ATR 72 fleet. Kan Air is using the 66-seat turboprop to expand at its Chiang Mai base, launch several routes from U-Tapao airport near Pattaya and potentially serve a new airport it is constructing on the resort island of Koh Phagnan.
Thailand’s two largest LCCs, Nok Air and Thai AirAsia, are also expanding their regional operations. Nok is adding two turboprops to its fleet in 2015 while Thai AirAsia is using its expanding fleet of A320s to launch services to secondary destinations which traditionally have only been served with turboprops.
The regional expansion in Thailand is driven by potential opportunities in underserved markets as well as the overcapacity that is now plaguing domestic trunk routes. But there is a risk the regional market could also quickly become oversupplied, particularly if China’s Hainan Group follows through on plans to launch a new joint venture regional carrier in Thailand.
Pressures from depreciating currency and general macroeconomic weakness that LATAM Airlines Group faced throughout 2014 show no signs of abating in 2015 as the economies in some of its largest markets remain on shaky ground.
But despite those challenges, LATAM does see some opportunities to strengthen its network in 2015, reflected in its unchanged capacity forecast of 2% to 4% expansion with flat growth in the Brazilian domestic market. Even with its sustained capacity discipline in Brazil, LATAM is making a new push from Brasilia in 2015 to leverage smaller regional markets that could help improve its overall performance in Brazil’s domestic market.
LATAM also plans to grow its long-haul international capacity as some North American and European airlines have slowed capacity growth, which is a positive development for LATAM as it continues working to mitigate some of the weakness within South America.
Pressure from having to pull capacity from Venezuela and overall economic weakness in many regions within Latin America pressured Copa Airlines’ financial results for 2014; but the airline still delivered a respectable 19.8% operating margin for the year and posted a decrease in unit costs.
Many of the elements that dragged down Copa’s financial results in CY2014 remain intact – continued pressure on yields by moving a significant amount of capacity from Venezuela and weakened economies in Latin America. The airline has not made any adjustments to its projected 7% capacity growth for CY2015, but its expansion of supply is at a lower rate than 2014, and most of the growth stems from network changes Copa undertook in CY2014.
Although Copa’s yield and unit revenue challenges will persist in the near future, overall the company remains in good financial shape to withstand the macroeconomic pressures weakening its results.