Embraer Progresses On AEW Aircraft, KC-390

[buglerbilly]

May 3, 2010

By Robert Wall

MUNICH — The first fuselage has been joined for India’s airborne early warning aircraft, according to Embraer.

The fuselage join took place in March for the first of three EMB-145s to be fitted with the Indian-designed radar, the Brazilian aircraft maker says in reporting its first-quarter results, adding that the program “is moving ahead as planned.”

What’s more, Embraer also reports its KC-390 tanker/transport development is holding to schedule. A full-size mockup of the cargo compartment to be used for ground tests with real payloads should be finished soon. Preliminary design activities are continuing, and supplier decisions are being made—including an engine choice. First flight is due in 2012.

Overall, Embraer reports that “the defense market shows a scenario that is favorable for growth, with a series of campaigns underway in terms of transportation for officials and authorities; training and light attack; intelligence, surveillance and reconnaissance systems; aircraft modernization; military transportation; and systems and services.” Defense sales in the first quarter came in at $189 million, up from $67.8 million for the first three months of last year.

Several military upgrade programs also have started to gather pace during the first three months of the year. “The test campaigns of the first prototype of the AMX, for the A-1M modernization program, started at the beginning of the year, and in January 2010 Embraer received the first A-4 fighter, at Gaviao Peixoto, from the Brazilian navy for its modernization project,” Embraer says.

In January, Panama took delivery of a Legacy 600 business jet for government use, and the Ecuadorian air force received an initial batch of four Super Tucano trainer/light-attack aircraft. Ecuador is buying 24 of the aircraft.

[buglerbilly]

Embraer: Answering a Strong Interest with a Strong Portfolio


“The KC-390 sets a new standard in medium-lift military transport.”

Interview with Acir Padilha, VP Marketing and Sales, Embraer Defense Systems

07:25 GMT, May 4, 2010 defpro.com

Having been a strong partner of the Brazilian Air Force since its beginning, Embraer Defense Systems, has managed to gain a significant market position in the entire South American defence market and has successfully entered international markets around the world. Embraer Defense Systems created a flexible portfolio to meet today’s requirements, in particular, in the fields of light attack, intelligence and surveillance, air-transportation, and training. Nicolas von Kospoth of defpro.com spoke to Acir Padilha,* Vice-President, Marketing and Sales at Embraer Defense Systems, on the company’s current activities and outlook in the military aircraft market.


defpro.com: Mr Padilha, first, could you please give our readers a short overview of Embraer Defense Systems? How high is the share of the military segment within Embraer in terms of turnover and revenues?

Acir Padilha: Embraer’s very first product was for the defence market - the landmark Bandeirante turboprop for the Brazilian Air Force.

Nowadays, Embraer Defense Systems has six different business segments: ISR systems (Airborne Early Warning and Control – AEW&C, Multi Intel and Maritime Patrol, based on the proven ERJ 145 platform); Light Attack and Training, based on the A-29 Super Tucano; Aircraft Modernization, focused on the Brazilian Air Force and Navy needs; Authorities Transportation; Military Transportation, with the KC-390; and Systems and Services, with customised C4ISR, Datalink and other systems solutions.

We represented 9 per cent of the company revenue in 2009.


defpro.com: Last year Embraer celebrated 40 years of aircraft manufacturing. Since 1969 the company has become one of the largest aircraft manufacturers in the world, also due to its strong military sales. How would you explain the success, in particular, of the military aircraft of Embraer?

Padilha: From the very beginning, Embraer has maintained unaltered its original commitment to its main partner, the Brazilian Air Force (FAB). One of the main objectives of the strategic partnership with the FAB was to acquire the technological maturity that allowed the company to take on the broad range of military aviation sectors.

We have developed our products based upon the very demanding Brazilian Air Force requirements, introducing new technology whenever it creates value in delivering higher reliability, and safety, as well as lowering acquisition prices and reducing direct operating costs.

As a result, Embraer products provide excellent performance and high mission accomplishment, while being economical to acquire and cost-effective to operate and maintain. Equally important, the company provides outstanding after-market support and services to customers around the world.


defpro.com: Do you consider the financial and economic crises as a problem or, rather, as an opportunity to enter new markets with your competitive products?

Padilha: Although we have to face these demanding times, like all aircraft manufacturers, without exception, we have also shown our strength in the defence market, and we see a strong interest from the market for our products.


defpro.com: How do you assess the future of turboprop aircraft in the military and how can Embraer Defense Systems continue to play an important role with its technological solutions in the military aerospace market?

Padilha: More important than the engine technology, turboprop or jet, we must focus on the customer’s final needs. With that in mind, we may offer a turboprop based solution – the A-29 Super Tucano for example – or a jet powered solution such as the ISR family based on the ERJ 145 aircraft.


defpro.com: Border patrol and counter insurgency (COIN) operations have become increasingly important on all continents. How can Embraer Defense Systems meet the increasing current and future requirements in these particular mission scenarios?

Padilha: We have two families of products to meet these customer needs: the ISR and the Super Tucano.
A full line of Intelligence, Surveillance and Reconnaissance (ISR) products based upon the ERJ 145 platform, for airborne early warning and control (AEW&C), multi-intel and maritime patrol, has shown excellent sales and operational success in the highly competitive international defence market.

And for COIN, precision, survivability, and persistence are the key factors that make the Super Tucano the best light-attack platform and the only multi-mission aircraft on the market, with proven operational results. Developed according to the Brazilian Air Force’s stringent requirements to surpass the challenges of the Amazon region, the Super Tucano was designed from the beginning for all weather and day-and-night multiple missions such as light attack, close air support, armed ISR and counterinsurgency, as well as advanced training.

Armed with a weapons system that incorporates state-of-the-art technology, and qualified for operating with last-generation weapons such as smart bombs, missiles, designator pods, and EO/IR sensors such as FLIR, the Super Tucano delivers outstanding precision along with the highest weapons load in its class, even for non-guided weapons.


defpro.com: In light of the FIDAE 2010 show that took place in Chile in April, could you tell us how the delivery of a total of 12 ordered Super Tucanos to Chile is proceeding? What is the further timeline of the Chilean programme?

Padilha: We delivered four Super Tucano aircraft to this customer in December 2009. And the other deliveries are underway, according to the contractual schedule. The last eight aircraft will be delivered to the customer this year.


defpro.com: Based on its successful predecessor, the Super Tucano has become a Latin American success story. What are the next key milestones for the Super Tucano and which further markets are you looking at with this product?

Padilha: Our key milestones are the deliveries according to the contracts for our current customers – Brazilian, Chilean, Dominican Republic and Ecuadorian Air Forces. However, we do not comment about ongoing programmes.


defpro.com: The issue of future transport aircraft is currently a hot topic in Europe. You are planning to enter this market, dominated by the US and Russia, with the Embraer KC-390. What is the current status of this development programme and of the negotiations with potential buyers?

Padilha: Currently, the KC-390 is in the Initial Development Phase, and we do not disclose ongoing sales campaigns.


defpro.com: Which will be the determining factors for potential customers to choose the KC-390 over comparable aircraft such as the C-130J, C-295 or the A400M? What are the potential export markets for the KC-390?

Padilha: The EMBRAER KC-390 sets a new standard in medium-lift military transport. With a twin turbofan engine and outstanding operational productivity, the KC-390 will have the lowest total life cycle cost and the highest availability in its class.

Capable of being refuelled in flight and also quickly configured as a tanker, the KC-390 uses state-of-the-art avionics, with dual HUD and a full-featured mission system including an accurate computed air release point (CARP). It will feature a complete self-protection system and will be fully NVG compatible.

The KC-390 will present an extraordinary field performance and be capable of operating from short and semi-prepared runaways. A full fly-by-wire flight control system with optimised functions will assure best mission performance and safe flying with reduced crew workloads.


defpro.com: According to a Forecast International assessment, the Latin American defence markets are expected to remain strong between 2010 and 2014 as many countries in this region need to replace ageing equipment. What is your outlook on this market and where do you see future opportunities?

Padilha: We have a strong position in the Latin American market due to our products’ past and current performance and our portfolio of products match some of these replacement needs. Therefore, we see strong opportunities for the Super Tucano, our ISR products and the KC-390.


defpro.com: How do you position yourself in the international ISR market against competitors such as Boeing, Northrop Grumman and Saab? Do you see further opportunities to maintain a strong position in this particular market?

Padilha: Embraer ISR Systems integrated into the EMB 145 platform – a platform that has more than 1,100 aircraft flying worldwide and more than 15 million accumulated flight hours – are the most flexible, reliable and affordable solutions to accomplish modern ISR – Intelligence, Surveillance and Reconnaissance missions.

This perfect blend of effectiveness and economics meet the current and future operational and logistic requirements of defence forces throughout the world.

These products are performing very well for the current operators – Brazilian, Mexican and Hellenic Air Forces –we also have an ongoing programme with the Indian Government, and we’ve seen a strong market interest for these aircraft.


defpro.com: Do you see new aircraft developments coming your way at Embraer or will the company focus on its current range of products in the military segment? What are the key defence sectors which Embraer plans to focus on during the next five to ten years?

Padilha: We have, nowadays, a very strong portfolio of products that is growing, with the inclusion of new executive jets that can be used by governments to transport authorities. The Super Tucano and the ISR platform are mature products and they will continue to be in the market in the upcoming years. Currently, the company still works with modernising the FAB (F-5 and AMX) and Navy (AF-1) aircraft, and these programmes will also run for some time.

We have just launched a new programme in tactical transportation (KC-390), and we see a growing demand for C4ISR and systems solutions. These are the sectors where we’ll be involved in future years.

defpro.com: Thank you very much, Mr Padilha.

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* Acir Padilha serves as the Vice-President, Marketing and Sales and has worldwide responsibility for sales related to Defense Market. He began his career with Embraer in 1989 as an Environmental System Engineer following as a Manager of Environmental System. In 2004, he was promoted to General Manager of Embraer’s Botucatu Unit. In 2006, he returned to São José dos Campos as Vice-President, Customer Support – Commercial Airline. In 2009, Acir Padilha started at Defense market as Vice-President, Marketing and Sales. He has responsibilities for all sales campaigns’ strategies and results.