EMBRAER S.A.: NOTICE TO THE MARKET

Embraer S.A. has announced that the Brazilian Federal Government intends to suppress one aircraft related to contracts established in 2014.

Rhea-AI Summary

Embraer S.A. has announced that the Brazilian Federal Government intends to suppress one aircraft related to contracts established in 2014. The company, which trades under NYSE: ERJ, plans to evaluate the implications of this decision on the economic balance of the contracts and its overall business performance. The assessment will consider potential effects on financial results stemming from the aircraft suppression. The executive team, led by CFO Antonio Carlos Garcia, will ensure that all relevant terms are scrutinized accordingly.

Positive

• None.

Negative

• Possible negative impact on contract fulfillment due to government decision.
• Uncertainty regarding financial implications from the aircraft suppression.

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News Market Reaction – ERJ

In the trading session that priced this news, ERJ declined 0.47%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

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SÃO JOSÉ DOS CAMPOS, Brazil, Aug. 9, 2022 /PRNewswire/ -- Embraer S.A. (B3: EMBR3, NYSE: ERJ) ("Company") informs its shareholders and the market that it became aware of the Brazilian Federal Government's decision to suppress one aircraft in the context of Contracts 002/DCTA-COPAC/2014 and 10/DCTA-COPAC/2014, entered into in 2014 among the Brazilian Federal Government, Embraer and one of its subsidiaries ("Contracts").

The Company will assess the suitability of the aforesaid decision. If suitable, the Company will assess the applicable terms to ensure the Contracts economic and financial balance as well as the effects of the aircraft suppression, if it is to occur, in its business and results.

Antonio Carlos Garcia
Executive Vice-President and CFO

 

 

View original content:https://www.prnewswire.com/news-releases/embraer-sa-notice-to-the-market-301602515.html

SOURCE Embraer S.A.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What decision did the Brazilian Federal Government make regarding Embraer (ERJ) on August 9, 2022?

The Brazilian Federal Government decided to suppress one aircraft related to contracts signed in 2014 with Embraer.

How will Embraer assess the impact of the government's decision on its contracts?

Embraer will evaluate the suitability of the government's decision and analyze the economic and financial balance of the contracts.

Who is the Executive Vice-President and CFO of Embraer?

The Executive Vice-President and CFO of Embraer is Antonio Carlos Garcia.

What is the significance of the aircraft suppression for Embraer shareholders?

The aircraft suppression may have implications for contract fulfillment and financial results, potentially affecting shareholder value.