Boeing wanted 80-90% ownership in the Brazilian aircraft maker, who are leaders in the 70-130 seat market.
The Brazilian Government wasn’t prepared to allow the military side to fall into Boeing’s ownership under any circumstances, and insisted on Golden Share that allows it to veto decisions it’s not happy with in the new joint company.
The government conceded the 51% – but in a new holding company who would operate the civil side of the business. Boeing has wanted a bigger share, but ‘understood’ the Brazilian sensitivity to foreign control.
If the deal is finalised – and Embraer have said it wants to conclude as soon as possible, Boeing will in effect, own the day to operations of the company and its future development.