Regional jet manufacturer Embraer gave investors a scare in late 2012, when slow sales of E-Jets aircraft for the 70- to 110-seat market raised the specter of production cuts. The company's order backlog was only $12.5 billion by the end of 2012, down nearly 20% from the beginning of the year. At only 2 times annual revenue, Embraer's order backlog is much lower than the comparable figures for competitors such as Boeing, which has a backlog equal to seven years of revenue. Embraer does expect somewhat slower commercial aircraft production in 2013 with 90 to 95 deliveries, compared with 106 in 2012. However, the growing popularity of two class regional jets for the big U.S. network carriers creates a significant opportunity for Embraer to fill open delivery slots for the next few years while rebuilding its order backlog. Furthermore, the company is diversifying its revenue base by growing its private jet and military segments; combined, these will reach nearly half of total company revenue in 2013.