Executive Aviation Market Luís Carlos Affonso

Senior Vice-President, Executive Aviation

November 18th, 2005

Forward Looking Statement

This presentation includes forward-looking statements or statements about events or

circumstances which have not occurred. We have based these forward-looking statements
largely on our current expectations and projections about future events and financial trends
affecting our business and our future financial performance. These forward-looking
statements are subject to risks, uncertainties and assumptions, including, among other things:
general economic, political and business conditions, both in Brazil and in our market.
The words “believes,” “may,” “will,” “estimates,” “continues,” “anticipates,” “intends,” “expects”
and similar words are intended to identify forward-looking statements. We undertake no
obligations to update publicly or revise any forward-looking statements because of new
information, future events or other factors. In light of these risks and uncertainties, the forward-
looking events and circumstances discussed in this presentation might not occur. Our actual
results could differ substantially from those anticipated in our forward-looking statements.
Vision

To become a major player in the Business Aviation Market

within 10 years by providing innovative and differentiating
product and service solutions with added value to our
customers and shareholders.
New structure

Maurício Botelho
President &CEO

Executive Aviation Business

Luís Carlos Affonso

Senior Vice President

Sales, Contracts Program Services &

& Marketing Management Customer Support

Single focus on the business aviation customer

All-encompassing business unit
Higher synergy and improved decision-making process
Integrated solution

Truly revolutionary products

Comprehensive training program
Outstanding support and total care programs
Extensive service centers coverage
Aircraft exchange facilitation
Third-party financing packages
FBO and aircraft management partnerships
Product portfolio expansion (jets)

Global

Ultra-Long Range

Large

Legacy 600
Super Mid-Size

Mid-size

Mid-light

Light

Very Light Phenom 300

Phenom 100
Market Figures

Market Figures
 Business Aviation Market Size
33.6
3.3

6.0
23.4
Fractional Ownership 1.9 4.5
Charter and
4.1
Aircraft Management 2.6
1.2
FBO 3.8
MRO 2.2
Completion and 1.0
Refurbishment
16.0
10.5
Airframe / OEM

(2004 US$ billions)

Source: AT Kearney and
Embraer estimates 2004 2014

Significant Expansion
Market Forecast - main drivers
S&P 500
2.500
2.000
Points

1.500
1.000
500
-
Source: NYC Financial
74
76
78
80
82
84
86
88
90
92
94
96
98
00
02
04
06
08
10
12
14
Planning + Embraer Analysis
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20
US Corporate Profits
2.000

US$ Billion
1.500
1.000
500
-
Source: NYC Financial

02

14
82

84

86

88

90

92

94

96

98

00

04

06

08

10

12
Planning + Embraer Analysis

20

20
19

19

19

19

19

19

19

19

19

20

20

20

20

20

20
US GDP
16.000
US$ Billion

12.000
8.000 Historical Forecast
4.000
-
74
76
78
80
82
84
86
88
90
92
94
96
98
00
02
04
06
08
10
12
14
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20

Source: Global Insight

Commercial aviation user dissatisfaction
USA Europe
100% 3% 5% 9% 8%
12% 16% 15%
12% 17%
5%
19%
80%
27% 11%
19%
37% 35%
60%

85% 87%
40% 76% 72%
64% 65%
51% 50%
20%

0%
1995 2000 2005E 2010E 1995 2000 2005E 2010E

Network Low Cost Regional

Source: Embraer analysis

Less options for the “premium” passenger

Commercial aviation user dissatisfaction

Low flexibility – total travel time increasing (door-to-door)

Long check-in procedures – hassle factor
Decreasing number of cities served by airlines
Congested “hubs” (70% of North-American passengers uses only
30 airline hub-airports)

Short duration trips (averaging 300 nm) – air travel alternatives are as
long as car travel
“Premium” passengers are not well-served

New air travel options. are being developed

2006-2015 Market Forecast (deliveries) - World
Product Categories (jets) Units US$
2%
GLOBAL 6%
8%
ULTRA-LONG RANGE 10%
25%
LARGE 15%

SUPER MID-SIZE 10% 20%

11%
MID-SIZE
20%
MID-LIGHT 18%

10%
LIGHT
7%
26%
VERY LIGHT 8%
4%
* not including air taxi demand (2,500 – 3,000 a/c)

9,680 Aircraft
US$ 144 billions in the next 10 years

2006-2015 Market Forecast – Very Light segment

2%
VERY LIGHT
8%
26%
10%

15%
2,515 * 18%
10%
11%

Very Light Light Midlight Midsize Super Large Ultra-long Global

Midsize Range

* not including air taxi demand (2,500 – 3,000 a/c)

Very light segment expected to reach 26% of total deliveries

2006-2015 Market Forecast – Light segment

2%

8%
10% 26%

15%

10% 18%
11% LIGHT

1,755

Very Light Light Midlight Midsize Super Large Ultra-long Global

Midsize Range

Light segment will answer for 18% of total deliveries

2006-2015 Market Forecast – Super Midsize segment

2%

8%
10% 26%

15%
SUPER
MIDSIZE 18%
10%
11%

1,415

Very Light Light Midlight Midsize Super Large Ultra-long Global

Midsize Range

Super midsize segment: 15% of total deliveries

NBAA 2005 Press Conference Luís Carlos Affonso
Legacy 600 - Program Update Senior Vice-President, Executive Aviation

November 08th, 2005

The world discovers the Legacy 600

60 aircraft, 15 countries, the right choice

Competitive Analysis – Floor Plans

Legacy 600

Superior Privacy and Comfort

Connectivity

128 kbps wireless network powered by

Inmarsat Swift64© satellite communication
service, providing:
En route productivity enhancement
In-flight office

Upgradable to future available B-GAN

E D service (up to 432 Kbps per channel)
IV ER
L
DE Available as of 2Q 2005

HSD - High Speed Data

Connected at the speed of business
Sound Quality Improvement

Insulation material improved

Communication enhancement
through the aircraft
Enhanced In-flight quietness
Reduced noise variation along
the aircraft

Maximize your flight experience

Available as of 4Q/2005
 Legacy 600 - Landmarks
2002 2003 2004 2005

Window
Shade
Enhancements 41,000 ft
Short Ceiling
LCY Runway
Performance
Operation
Maintenance
Plan 9,500 ft
Take-off
Range Landing
HSD
New Interior Altitude

Certification

CTA / FAA / JAA / CIS

Promises made … promises delivered

 Legacy 600 - Landmarks
2002 2003 2004 2005

Window
EVSShade
Enhancements D 41,000 ft
E RE Short Ceiling
IV Runway
D EL LCY
Operation
Baggage
Performance
Maintenance compartment
Plan improvement 9,500 ft
LED Take-off
Range Landing
lighting HSD
New Interior Altitude

Enhancements ICE – Air

Show
to come
Certification System
Avionics - update
New
weather
CTA / FAA / JAA / CIS radar
EFB
anthenna

And more on the way

Super midsize category market share

15%

11% 11%

8%

2002 2003 2004 2005-2014

Consistent deliveries performance

Phenom 100 and Phenom 300 Luís Carlos Affonso
Program Update Senior Vice-President, Executive Aviation

November 18th, 2005

Integrated Development

Embraer uses a full range of technologies to enable a complete development

integration for its products.
It is a successful heritage that comes from Embraer Commercial aircraft
experience and is being applied to Embraer Very Light and Phenom 300s
Integrated Development
Phenom 100
Cross Section Evolution Preliminary data

ORIGINAL

4ft 11in

3ft 2in
5ft 1 in
Phenom 100
Cross Section Evolution Preliminary data

ORIGINAL Oval Lite™

4ft 11in
4ft 11in

3ft 2in 3ft 7in

5ft 1 in 5ft 1 in
Phenom 100
Interior design

Designed by
Preliminary data
Phenom 100
Interior design

Designed by

Preliminary data
Phenom™ 100 by Embraer

Interior
Baggage Compartment Preliminary data

55 cu.ft divided into pressurized and non-pressurized areas

Spacious enough for sporting gear

45 cu.ft.

5 cu.ft.
Competitors Baggage Compartment 5 cu.ft.

Eclipse 500(1): 26 cu.ft.

Adam 700(2): 25 cu.ft.
Cessna Mustang(3): 49 cu.ft. (external: 20 FWD + 25 AFT ; internal: 4)

Sources
Phenom™ 100 by Embraer

Interior
Summer Baggage Capacity All preliminary data – images for illustrative proposes only

4 Golf Bags
9 in x 46 in Diameter (0.23 m x 1.17 m)

4 Garment Bags
(21 in x 23 in x 8 in) 0.53 m x 0.58 m x 0.2 m

4 Roll-on Bags
(22in x 14in x 10in) 0.56 m x 0.36 m x 0.25 m

4 Small Bags
(16.5 in x 13.5 in x 4 in) 0.42 m x 0.34 m x 0.11 m
Contracted Suppliers

by
Avionics
Interior Design

Engines
Hydraulics
Flap Actuators
Thrust Control
Landing Gear Control Lever
Landing Gear Hydraulic Components
Why Garmin

G-1000 is the best choice...

Product compliant with Embraer’s Vision
Award-winning product support - worldwide
loaner LRUs placed strategically around the world and
service center network already being trained
World-class manufacturing capability
Disciplined HALT and HAAS laboratory testing
Comfortable transition from GNS430/530 operating system
Sound business partner with outstanding brand recognition
Low risk to the Phenom 100 & Phenom 300 programs
Phenom 100 & Phenom 300 Differentiators

Maintenance Function
Embraer Phenom 100 & Phenom 300 monitors the complete aircraft
systems health and route engine trend, indicating failures at LRU
level, hence it maximizes trouble-shooting efficiency.
3 same P/N - Twelve inches displays
Low inventory (1 single p/n);
Higher Dispatchability/ Flexibility
Integrated Standby Instrument (ISIS)
Embraer optimizes space for passenger and baggage by having the main
avionics equipment, in a cabinet configuration, concentrated at the 3 core
avionics rack (behind the displays). Also, since it’s possible to keep the
core avionics inside the pressurized area, reliability is improved.
Phenom 100
Cockpit Design Drivers

Single-pilot operation
Human-factors
Enhanced situational awareness
Glass cockpit with large displays
State-of-the-art avionics

Preliminary data
Phenom 100
ProdigyTM Flight Deck Illustrative purposes only - preliminary data

Garmin avionics platform tailored for Embraer

Phenom 100
Avionics – Prodigy™ based on Garmin G1000

Dual Primary Function Displays (PFD)

Multi Function (MFD) / Engine Info.Crew and Alert System (EICAS) display
Systems Synoptic / Moving Maps
Integrated Standby Instruments
Dual Air Data Computers (ADC)
Reduced Vertical Separation Minimum (RVSM) compatible
Flight Management System (FMS)
Dual Attitude and Heading Reference System (AHRS)
3-axis CAT I Autopilot / Flight Director
Weather Overlay
Preliminary data
Phenom 100
Avionics – Prodigy™ based on Garmin G1000

Airborne Audio System and Aural Warning

Mode-S Transponder
Dual VHF Communication System
Dual VHF Navigation System
Global Positioning System (GPS) – Wide Area Augmentation System (WAAS)
Emergency Locator Transmitter (ELT)
Health Monitoring
Terrain Awareness System (TAWS)
Traffic Information System (TIS)

Preliminary data
Phenom 100
Avionics – Prodigy™ based on Garmin G1000

Weather Radar
Traffic Advisory System
Voice Recording
Electronic Charts and Manuals
Electronic Checklist
CNS / ATM – Communications, Navigation and Surveillance / Air Traffic
Management
Datalink

Preliminary data
Phenom 100

Break System: Break-by-Wire with anti-skid function

Break-by-wire
• Failure detection diagnosis

• No system tuning after maintenance tasks

• BIT – Built and Test system availability – making initialization

tests transparent to the pilot
• State-of-the-art technology available to light jets

Anti-skid
Prevents tires lockup due to pilot applied pressure
Improves operation on all runway conditions
Enhances braking performance
Preliminary data
Phenom 100
Direct Operating Costs

Lower than an entry level jet

Similar to King Air C90B **

* in accordance with B&CA assumptions – Typical Bizjet Operation

** B&CA Operations Planning Guide – August 2005
Preliminary data
Phenom 100
Layout Configuration Comparison – Jets

Phenom 100* Eclipse 500 Mustang Adam 700 CJ1

(Entry Level Jet)

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 100
Cross-section Comparison – Jets

4ft 8in 4ft 7in

4ft 11in
4ft 11in
4ft 2in

5ft 1in 4ft 6in 5ft 1in

Phenom 100* vs. Eclipse 500 Embraer Phenom 100* vs.

Mustang
Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 100
Cross-section Comparison – Jets

4ft 6in 4ft 11 in

4ft 11in
4ftt 4in

4ft 10in
4ft 11in

5ft 1in 5ft 1in

Phenom 100* vs. Adam 700 Phenom 100* vs. CJ1 (Entry Level Jet)

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 100
Competitive Analysis – Jets
Embraer CJ1+
Characteristics Phenom Eclipse Mustang A700
100 (entry level)
Range (nm)* 1,160 1,215 1,158 1,100 1,285
High Speed Cruise (ktas) 380 375 340 340 387
MMO M 0.70 M 0.64 N/A N/A M 0.71
Max. Operating Altitude (ft) 41,000 41,000 41,000 41,000 41,000
Takeoff Field Length (ft) 3,400 2,155 3,120 2,950 3,200
Cabin Volume (cu.ft.)** 305 187 230 241 272
List Price (US$ Million)*** 2.75 1.47 2.53 2.10 4.18

Assumptions
Preliminary data
Phenom 100
Layout Configuration Comparison – Turboprop

Phenom 100* King Air C90B

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 100
Cross-section Comparison – Turboprops

4ft 6 in

4ft 11in
4ft 10in

5ft 1in

Phenom 100* vs. King Air C90B

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 100
Competitive Analysis – Turboprop

Embraer
Characteristics King Air C90B
Phenom 100
Range (nm)* 1,160 933
High Speed Cruise (KTAS) 380 246
MMO M 0.70 N/A
Maximum Operating Altitude (ft) 41,000 30,000
Takeoff Field Length (ft) 3,400 2,712
Cabin Volume (cu.ft.) 305 N/A
List Price (US$ Million) 2.75 2.77

Assumptions
Preliminary data
Phenom 100
Window Dimensions Comparison Preliminary data

A (in) B (in) Area (sq.ft.)

A Phenom 100 13.07 13.78 1.151
Citation Mustang 16.34 9.76 0.870
B
Citation CJ2/CJ3 9.29 11.77 0.699
Citation Sovereign 9.76 13.31 0.824
Citation XLS 11.10 14.16 0.996
Learjet 40 8.50 12.91 0.719
Learjet 60 10.59 11.93 0.830
Hawker 400 XP 10.43 14.96 0.851
Source: Conklin & de Decker
Aircraft Comparator 2003/2004 Hawker 800 XP 10.16 12.60 0.835

The largest window among the Light Jets

 Phenom 100

Entry into Service: mid-2008

Price: US$ 2.75 million
Embraer Phenom
300
Phenom 300
Phenom 300
Cross Section Preliminary data

9 in

4ft 11in
18 in

3 ft 7 in
5 ft 1 in
Phenom 300
Layout Configurations

9 occupants

14 ft
16 ft
8 occupants

Preliminary data
Phenom 300
Interior Design

Designed by

Preliminary data
Phenom 300

Baggage Capacity
Preliminary data

Refreshment Center - 10 cu.ft Baggage Compartment - 66 cu.ft

Closet - 3 cu.ft

Raft compartment - 7 cu.ft Wardrobe - 5 cu.ft

Competitors Baggage Compartment

Hawker 400XP: 47 cu.ft.
Citation Encore: 69 cu.ft.
Learjet 40: 65 cu.ft.
Sources

76 cu.ft of baggage capacity

Phenom 300
ProdigyTM Flight Deck Illustrative purposes only - preliminary data

Garmin avionics platform tailored for Embraer

Phenom 300
Layout Configuration Comparison

Phenom 300* CJ2+ Bravo CJ3 Encore

(Mid-light)

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 300
Layout Configuration Comparison
Layout Configuration
Comparison

Phenom 300* Premier I Hawker 400XP

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 300
Cross-section Comparison

4ft 11in 4ft 10in

4ft 11in
4ft 11in

4ft 10in
4ft 9in

5ft 1in 5ft 1in

Phenom 300* vs. CJ2+ / CJ3 / Encore (Mid-light) Phenom 300* vs. Bravo

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 300
Cross-section Comparison

5ft 6in 4ft 11in (1.50m)

4ft 10in (1.47m)

4ft 11in
4ft 11in
5ft 5in

5ft 1in (1.55m) 5ft 1in (1.55m)

Phenom 300* vs. Premier I Phenom 300* vs. Hawker 400XP

Source: Conklin & de Decker Aircraft Comparator 2003/2004 – Manufacturers’ web sites and promotional material * Preliminary data
Phenom 300
Competitive Analysis

Phenom
Characteristics CJ2+ Bravo CJ3 Encore
300
Range (nm)* 1,800 1,550 1,519 1,774 1,780

High Speed Cruise (KTAS) 450 407 400 415 426

MMO M 0.78 M 0.734 M 0.70 M 0.737 M 0.755

Maximum Op. Altitude (ft) 45,000 45,000 45,000 45,000 45,000

Takeoff Field Length (ft) 3,700 3,420 3,600 3,180 3,490

List Price (US$ Million) 6.65 5.38 6.04 6.43 8.15

Assumptions
Preliminary data
Phenom 300
Competitive Analysis

Embraer
Hawker
Characteristics Phenom Premier I
400XP
300
Range (nm)* 1,800 1,232 1,482

High Speed Cruise (KTAS) 450 451 450

MMO M 0.78 M 0.80 M 0.78

Maximum Op. Altitude (ft) 45,000 45,000 45,000

Takeoff Field Length (ft) 3,700 3,792 3,906

List Price (US$ Million) 6.65 5.82 6.99

Assumptions
Preliminary data
Phenom 300

Entry into Service: mid-2009

Price: US$ 6.65 million
Integrated Solutions Luís Carlos Affonso
Senior Vice-President, Executive Aviation

November 18th 2005

 Comprehensive Training Program – Phenom 100 / Phenom 300

Preliminary data

Phase 1: Phase 2: Phase 3: Phase 4:

Flight Skills Ground Simulation Mentor Pilot
Assessment School

Pilot evaluation Classroom Training  FTD and FFS developed for

Phenom 100 & Phenom 300
 Jet Transition Course  CBT Self Paced
 Computer Procedure
 CBT distance learning
Training (CPT)

CBT: Computer Based Training

CPT: Cockpit Procedure Training
FTD: Flight Training Device
FFS: Full Flight Simulator

An Outstanding Training Program

Embraer Tip-to-Tail – Phenom 100 & Phenom 300 PpH
Program
Flexible coverage 5, 7 or 10 years

Tip-to-tail – includes Engines

Labor for inspections and mandatory service bulletins (ASC)

Labor for troubleshooting and Mobile Team for R&I (optional)

Exchange and repair costs

Consumables and Expendables items covered

Delivery and Core Recovery Freight

Tip-to-Tail program: more residual value

NBAA 2005 – First Impressions Luís Carlos Affonso
Senior Vice-President, Executive Aviation

November 18th 2005

Phenom 100 and Phenom 300 Unveiling - Video
NBAA 2005 - Media Coverage
NBAA 2005 - Media Coverage
NBAA 2005 - Media Coverage
NBAA 2005 - Media Coverage
Phenom 100 Interior
Phenom 300 Interior
NBAA 2005 - Media Coverage
NBAA 2005 - Media Coverage
Thank You !
Due to time span between the date of this document/presentation and the entry into service of
the aircraft, Embraer reserves the right to revise this document/presentation whenever
occasioned by product improvement, government regulations or other good cause.

The information contained herein is the property of Embraer S.A. and shall not be copied or
used in any manner except with Embraer´s written consent.