) launched its operation base in Bangladesh, with the official
unveiling of two Embraer jets - ERJ 145 by a Bangladesh based
airline, NovoAir. This airline provides aviation services for
both cargo transportation and leisure travel.
ERJ 145 is a regional jet with a capacity of 50 passengers.
The jets will fly only domestic routes, including Dhaka and
Chittagong in the first year of operation. Second year onwards
the network will be broadened to include certain regional and
The jet was initially launched by Embraer in the year 1996, as
a part of the ERJ 145 Regional Jet family. The motive of the
launch was to address the growing demand among regional airlines
for medium-range, jet-powered aircraft that offered more speed,
comfort and capacity than a turboprop.
Embraer faces a stiff competition from other industry players.
Recently, in early December 2012, the company lost an important
contract from Delta Airlines for forty 50-seater ERJ 145 jets
along with an option of 30 more jets in the future, to one of the
rivals, Bombardier Inc. This was seen as a major blow to the
company's future performance, leading to a downward revision of
estimates by many firms.
Subsequent to the introduction of ERJ 145 in Bangladesh, the
products from Embraer will now be used by 85 airlines in 51
countries around the world.
The stock bears a Zacks Rank #3 (Strong Sell). The company's
Lockheed Martin Corporation
Northrop Grumman Corporation
) also have a Zacks Rank #3 (Hold).
BOEING CO (BA): Free Stock Analysis Report
EMBRAER AIR-ADR (ERJ): Free Stock Analysis
LOCKHEED MARTIN (LMT): Free Stock Analysis
NORTHROP GRUMMN (NOC): Free Stock Analysis
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