Why Shares of Embraer Are Falling Today
Shares of Embraer (NYSE: ERJ) traded down nearly 5% on Monday afternoon, and were down more than 9% earlier in the session, after the Brazilian aerospace giant lost a key executive to General Electric (NYSE: GE). It's a time of transition for Embraer, which will now have to plot a course forward with a new head of commercial aviation.
On Monday GE named John S. Slattery, CEO of Embraer's commercial aviation division, to head its GE Aviation unit. Slattery had been with Embraer since 2011 and had presided over the launch of the company's E2 small jet.
Slattery was also a champion of Embraer's proposed deal to sell a majority stake in its commercial division to Boeing for $4.2 billion. In April Boeing walked away from that deal, leaving Embraer to either go it alone or find a new partner to help market the E2 internationally.
Source Fool.com
