Embraer

Hong Kong Express Airways last week took delivery of the first of four Embraer [ERJ] 170s. The carrier is the first to fly the Embraer 170 in Asia. General Electric Commercial Aviation Services (GECAS) is leasing the aircraft to Express Airways. Configured to seat 76 passengers in a one-class cabin, the carrier will fly from Hong Kong International Airport to five cities on mainland China. The bulk of the carrier's passengers are business people. Three airplanes are to be delivered this year and the last one should be delivered in early 2006.

Bombardier

Bombardier [BBD] obtained $1.7 billion in permanent financing in its regional aircraft securitization program. The company sold 70 long-term aircraft leases to the trust. The program includes 65 regional jets and five Q400 turboprops all leased to a variety of airlines. The trust securities will not be registered and traded in the United States.

Pratt & Whitney

A new version of Pratt & Whitney Canada's PT6 turboprop engines has been selected to power Evektor-Aerotechnik's proposed utility aircraft. The twin-engine EV-55, to be built by the Czech firm, will be able to carry nine to 14 passengers or 4,000 pounds of cargo. The PT6A-21 has already been certified and proven with over 3,600 flight hours. The EV-55 prototype is to be completed in mid-2007 and certified by late 2008.

Skyways Aviation

Poland's Sky Express recently purchased a Saab 340A from Skyways Express of Sweden. Skyways Aviation, an affiliated company, brokered the deal. The Saab will be the first of two Sky Express is acquiring to supplement its fleet of four Let 410s. Founded as a cargo carrier in 2004, Sky Express expects to use the Saabs to provide weekend passenger service this fall. The carrier will use the Saabs for cargo service during week.

Reinhold Industries

Reinhold Industries [RNHDA] will sell NP Aerospace to the Carlyle Group for $53.4 million. NP Aerospace, based in the United Kingdom, manufacturers a variety of molded, composite products for aircraft manufacturers as well for the military and international security forces.

World Fuel Services

The recent sale of 4 million additional shares of the Miami-based World Fuel Services [INT] generated $117 million for the firm after underwriting expenses. The company will utilize approximately $22 million of the proceeds for the short-term reduction of indebtedness under its revolving credit facility.

CIT Group

CIT Group, a provider of commercial and consumer loans, is selling $290 million in loans, including $190 million backed by older, out-of-production aircraft. The loans will be reclassified and will be sold. CIT Group expects the deal to generate a $90 million pre-tax loss in third quarter. The firm is also divesting real estate holdings.

Aramark

Due to the Gulf hurricanes and Delta Air Lines' [DALQ] and Northwest Airlines' [NWASQ] recent bankruptcy filings, Aramark expected to earn three or four cents less per share in the fourth quarter. It is now expected to earn 52 cents per share in the last quarter. Aramark provides food and facilities management services to major clients in the Gulf region as well as cabin cleaning service for both airlines.

SRA

The Federal Aviation Administration (FAA) has awarded $51.2 million to SRA International [SRX] in two contracts. One contract calls for SRA to provide engineering and technical services to the FAA Hughes Technical Center in Atlantic City. The second contract also calls for SRA to provide support to the Hughes center's fire safety research unit.