Boeing to pay $150 million to Embraer after failed joint venture

Brazilian multinational aerospace group Embraer and US aircraft maker Boeing reached an agreement after a long arbitration process that began after Boeing aborted a $4.2 billion deal to buy Embraer's commercial jet-making unit amid the pandemic.

Embraer said Boeing agreed to pay $150 million for having abandoned the deal.

Boeing at the time accused Embraer of failing to meet conditions for closing the transaction.

A "collar agreement" was recently sealed by the parties after the arbitration, Embraer said in a securities filing.

Boeing in a separate statement confirmed an agreement had been reached.

"We're pleased to have concluded the arbitration process with Embraer," it said. "More broadly, we are proud of our more than 90 years of partnership with Brazil and look forward to continuing to contribute to the aerospace industry in Brazil."