EMBRAER-LED CONSORTIUM BUYS MAJORITY STAKE IN OGMA

The consortium formed by Embraer and the European Aeronautic Defense and Space Company (EADS) was declared the winner in the privatization of OGMA - Indústria de Aeronáutica de Portugal S.A. (OGMA).
The announcement today was made by OGMA’s parent company Empresa Portuguesa de Defesa (Empordef). The Embraer/EADS consortium will take a 65 percent stake in OGMA from the Portuguese government for €11.4 million.
For this purpose, Embraer and EADS created the AIRHOLDING, SGPS, S.A., controlled by Embraer with a total stake of 99 percent and EADS’ participation at 1 percent. The participation of EADS in this company can reach in the future a maximum of 30 percent.
Conclusion of this acquisition is subject to final approval from the relevant national antitrust authorities, which is expected to occur within 60 days With the announcement, Embraer expands its presence in Europe with a brand recognized as a global leader in a variety of aerospace operations including maintenance and production. OGMA has been dedicated to aircraft and aircraft component maintenance, repair and manufacturing since 1918, serving important customers around the world.
“OGMA has built its name and reputation on the excellence and superiority of services provided since its creation. We are proud of the acquisition of a majority stake in such a prestigious company which will enable us to further expand Embraer horizons in the European Union with a local identity and to better serve our increasing customer base in this strategic market,” said Maurício Botelho, President and CEO of Embraer.
Embraer’s presence in Europe dates back to 1983 with the creation of Embraer Aviation International, a subsidiary in Paris set up to oversee marketing and sales activities and also to provide after-sales support to its growing customer base in the region. Currently, 186 people work at the French office.

About OGMA

OGMA is a major representative of the aviation industry in Europe, offering services that cover the maintenance and repair of civil and military aircraft and engines, structural component production, maintenance, and engineering support.
Its key military customers include the Portuguese Air Force, the U.S. Air Force and Navy, the NATO Maintenance and Supply Agency, the Norwegian and Dutch Navies, and the French Air Force. On the commercial side, OGMA has provided services to airlines like TAP, Portugalia, British Midland, and Luxair, and companies such as Embraer and Rolls-Royce.
Beyond maintenance work, OGMA manufactures structural components and composite materials for Boeing, Airbus, Lockheed Martin and Pilatus, among others.
Currently, OGMA employs around 1,700 people and its 2003 sales totaled €107 million.

Fonte: Embraer - 23/12/2004