Boeing has pulled out of a $4.2 billion deal to buy Embraer’s commercial jets division.
The move sparked a furious response from its jilted partner, and also left plans for a U.S.-Brazil alliance in ashes.
The deal fell apart hours after a midnight deadline expired with no agreement on how to implement a deal first aired in 2018.
Boeing accuses Embraer of failing to meet conditions for closing the transaction.
However, Embraer says Boeing had torpedoed it because of problems from the coronavirus crisis and the grounding of its 737 MAX.
Embraer believes strongly that Boeing has wrongfully terminated the agreement. Embraer company statement
According to Reuters, both companies are now bracing for months of argument over the breakup.
