Embraer is in receipt of Boeing’s notice of termination of the Master Transaction Agreement (MTA) with Embraer. Embraer believes strongly that Boeing has wrongfully terminated the MTA, that it has manufactured false claims as a pretext to seek to avoid its commitments to close the transaction and pay Embraer the $4.2 billion purchase price.
“We believe Boeing has engaged in a systematic pattern of delay and repeated violations of the MTA, because of its unwillingness to complete the transaction in light of its own financial condition and 737 MAX and other business and reputational problems,” a press release from the company says. Embraer says it believes it is in full compliance with its obligations under the MTA and that it has satisfied all conditions required to be accomplished by the April 24, 2020 deadline.
“Embraer will pursue all remedies against Boeing for the damages incurred by Embraer as a result of Boeing’s wrongful termination and violation of the MTA,” the Embraer company statement says.