Embraer Makes Provision For Republic Bankruptcy | Aviation International News

Embraer Makes Provision For Republic Bankruptcy

Executives see no delivery disruptions, however, saying that United Express carriers could take E175s intended for Republic Airways.

Republic Airways has told Embraer that it plans to take delivery of the remaining 24 Embraer E175s still in backlog. (Photo: Flickr: Creative Commons (BY) by cliff1066™)

By Gregory Polek • Senior Editor

March 3, 2016

Embraer recorded a $101 million provision in its fourth quarter results related to the February 25 bankruptcy of Indianapolis-based Republic Airways, resulting in a fourth quarter profit that fell short of analysts’ estimates. Embraer’s commercial aviation business produced a 10.4 percent operating margin for the quarter, compared with a 13.4 percent margin excluding the Republic bankruptcy provision.

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