jimntx
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https://www.cnn.com/2020/04/25/business/boeing-embraer-termination/index.html
Embraer to sue. (no kidding!)
Embraer to sue. (no kidding!)
Boeing Terminates $4.2 Billion deal with Embraer
- Thread starter jimntx
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NewHampshire Black Bears
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- Aug 20, 2002
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Jim.
I kinda' doubt that Boeing would do this, if they really thought they'd lose a court fight. I mean they've got Enough trouble !
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Well, even though Boeing has made an official statement that they are withdrawing from the deal, I'm sure you know best. However, your comment doesn't make sense because nothing was said about losing a court fight. I just said that Embraer was expected to sue. My guess is that Boeing has always had an exit clause in its contract with Embraer.
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eolesen
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- Jul 23, 2003
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I’m sure Boeing has great lawyers who know how to structure a deal in a way that they’re always protected....
The story is Embraer had conditions they had to satisfy, and they didn’t make sufficient progress. I’m guessing that given the outlook for the next couple years plus the Max fallout, Boeing didn’t have the same appetite to complete this deal that they had 18 months ago, and rather than give Embraer some slack on the remaining thresholds, they chose to hold to the letter of the contract.
Reminds me of the 1991 deal for Delta to save Pan Am. “The world has changed.”
The story is Embraer had conditions they had to satisfy, and they didn’t make sufficient progress. I’m guessing that given the outlook for the next couple years plus the Max fallout, Boeing didn’t have the same appetite to complete this deal that they had 18 months ago, and rather than give Embraer some slack on the remaining thresholds, they chose to hold to the letter of the contract.
Reminds me of the 1991 deal for Delta to save Pan Am. “The world has changed.”
