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October 26th, 2009 EMBRAER AT A GLANCE
Transcript
Page 1: Corporate Presentation

October 26th, 2009

EMBRAER ATA GLANCE

Page 2: Corporate Presentation

• After World War ll - strategic national aircraft manufacturing project

• The creation of CTA and ITA• Embraer established in 1969

Origin and Development Privatization (1994)• The integration of two cultures

Technological & Industrial

Entrepreneurial+

Evolution

Page 3: Corporate Presentation

Customer SatisfactionBase of our entrepreneurial action

SUCCESSFUL BUSINESS

Aerospace Industry Fundamentals

HighTechnology

QualifiedPeople

FlexibilityCashIntensiveness

Global Presence

Page 4: Corporate Presentation

High Technology

ErgonomicsAnalysis

Virtual Reality CenterIn operation since Feb 2000

Intelligent interface for structural

analysis and project

Output: CATIA model for rib

Output: wing model for structural analysis

Knowledge Based EngineeringAutomation of routine project activities

Page 5: Corporate Presentation

High Technology

• Digital “Mock-up” – EMBRAER 170 • Structural Tension Simulations

• Fluid Dynamics • Composite Materials

Page 6: Corporate Presentation

16986*

6087

16953

4319 3849 4494

67378302

10334 1104812227 12941

14658

19265

23734 23509

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 set/09

Number of Employees

BRAZIL 16,095

USA 565 CHINA 43

FRANCE 234 SINGAPORE 49

April / 97 was the lowest level of employment – 3,200 people

Qualified People

Dec / 94 Embraer was privatized

*not counting the employees of its subsidiaries OGMA and HEAI.

Page 7: Corporate Presentation

Qualified People

Educational Levels*

06/30/09

High School65 %

Ph.D.2%

Postgraduate4% Graduate

29%

* Brazilian Units

Minimum educational level – High School

Page 8: Corporate Presentation

Embraer Units - Brazil

Eugênio de Melo Unit - EGM

São José dos Campos - SPSão José dos Campos - SP

Faria Lima Unit - FL

BrazilSão José dos CamposEugênio de MeloGavião PeixotoBotucatuTaubaté

Taubaté Unit – Distribution Center

Taubaté - SPSão José dos Campos - SP

ELEB

Page 9: Corporate Presentation

Botucatu - SP

Botucatu Unit - BOT Gavião Peixoto Unit - GPX

Gavião Peixoto - SP

Embraer Units - Brazil

BrazilSão José dos CamposEugênio de MeloGavião PeixotoBotucatuTaubaté

Page 10: Corporate Presentation

Embraer Units - Abroad

USAFort LauderdaleNashvilleMelbourne

Embraer Aircraft Maintenance Services

Nashville, TN - USA

Embraer Aircraft Holding

Fort Lauderdale, FL - USA

Embraer Customer Center

Melbourne, FL - USA

Page 11: Corporate Presentation

Embraer Units - Abroad

Embraer Aviation Europe

Villepinte - France

Embraer Le Bourget Service Center

Le Bourget - France

FranceVillepinteLe Bourget

SingaporeSingapore

Embraer Singapore

Singapore

Page 12: Corporate Presentation

Embraer Units - Abroad

ChinaBeijingHarbin

PortugalAlverca

Embraer Harbin

Harbin - China

OGMA

Alverca - Portugal

Embraer China

Beijing - China

Embraer

Évora - Portugal

Page 13: Corporate Presentation

Business Areas

Commercial Aviation Market Defense Systems

Executive Aviation Market

Page 14: Corporate Presentation

CommercialAircraft

Page 15: Corporate Presentation

ERJ 145 Family

50 Seats(2,000 nm range)

50 Seats(1,550 nm range)

37 Seats(1,750 nm range)

44 Seats(1,650 nm range)

Flight hours: 15,400,000

Approximate number of carried passengers: 460,000,000

Number of countries in operation: 26

Page 16: Corporate Presentation

ERJ 145 Family Order Book

(as per 3th Quarter, 2009)

Firm Orders

Options Total DeliveriesFirm

Backlog

ERJ 135 108 - 108 108 -

ERJ 140 74 - 74 74 -

ERJ 145 708 25 733 697 11

Total 890 25 915 879 11

Page 17: Corporate Presentation

EMBRAER 170/190 Family

108 to 122 Seats – 2,200 nm RangeCertification – 2nd Q/2006

98 to 114 Seats – 2,400 nm RangeCertification – 3rd Q/2005

78 to 88 Seats – 2,000 nm RangeCertification – 4th Q/2004

70 to 80 Seats – 2,100 nm RangeCertification – 1st Q/2004

Flight hours: 2,900,000

Approximate number of carried passengers: 133,000,000

Number of countries in operation: 35

Page 18: Corporate Presentation

EMBRAER 170/190 Family Order Book

Firm Orders Options Total DeliveriesFirm

Backlog

EMBRAER 170 194 96 290 164 30

EMBRAER 175 135 173 308 123 12

EMBRAER 190 436 447 883 251 185

EMBRAER 195 112 76 188 44 68

Total 877 792 1669 582 295

(as per 3th Quarter, 2009)

Page 19: Corporate Presentation

Defense Systems

Page 20: Corporate Presentation

Super Tucano

• High-performance evolution of the proven EMB 312 Tucano

• State-of-the-art systems and advanced avionics

• Optimized for basic/advanced training and operational applications in hostile environments

• Operation from unprepared runways, day or night

Page 21: Corporate Presentation

AMX/A-1M

• Advanced and fighter lead-in training aircraft

• Baseline avionics architecture commonality with the Super Tucano

Page 22: Corporate Presentation

ISR Systems – Special Mission Aircraft

EMB 145 Multi Intel Airborne Ground Surveillance and

Strategic Intelligence

EMB 145 MP Maritime Patrol

EMB 145 AEW&CAirborne Early Warning & Control

ISRIntelligence – Surveillance –

Reconnaissance

Page 23: Corporate Presentation

EMBRAER KC-390

• Able to transport troops, vehicles and all kinds of cargo and to airdrop paratroops and cargo, including LAPES (low altitude parachute extraction system)

• Capable of operating from short and semi-prepared runways

• State-of-the-art avionics and full night vision goggles (NVG) compatibility

• New-generation military airlift and tanker aircraft

• 19 metric ton maximum payload

• Maximum range in excess of 3,300 nautical miles (about 6,200 km)

• Optimized full fly-by-wire flight controls system

Page 24: Corporate Presentation

Executive Aviation Market

Page 25: Corporate Presentation

* NBAA IFR (35 min) Reserves + 100 nm alternate; 4 occupants @ 200 lb (91 kg)

Phenom 100

Number of seats 6 – 8 (Seats, Occupants)

Range* 1,178 nm 2,150 km

Maximum Cruise Speed 390 ktas 722 km/h

MMO Mach 0.70

Maximum Operational Altitude 41,000 ft 12,500 m

Phenom 100

Page 26: Corporate Presentation

Phenom 100

Page 27: Corporate Presentation

All preliminary data

* NBAA IFR (35 min) Reserves + 100 nm alternate; 6 occupants @ 200 lb (91 kg)

Phenom 300

Phenom 300

Number of seats 8 – 10 (Seats, Occupants)

Range* 1,800 nm 3,335 km

Maximum Cruise Speed 450 ktas 835 km/h

MMO Mach 0.78

Maximum Operational Altitude 45,000 ft 13,700 m

Page 28: Corporate Presentation

Phenom 300

Page 29: Corporate Presentation

Legacy 450

Legacy 450

Number of occupants 7 – 9 passengers + 2 crew

Range* 2,300nm 4,260km

Maximum Cruise Speed 470ktas 870 km/h

MMO Mach 0.83

Maximum Operational Altitude 45,000ft 13,700m

* Range @ M 0.80, 2 pilots + 4 pax (200lb), NBAA IFR res.

All preliminary data

Page 30: Corporate Presentation

Legacy 450

Preliminary concepts

Page 31: Corporate Presentation

Legacy 500

Legacy 500

Number of occupants 8 – 12 passengers + 2 crew

Range* 3,000nm 5,560km

Maximum Cruise Speed 470ktas 870 km/h

MMO Mach 0.83

Maximum Operational Altitude 45,000ft 13,700m

* Range @ LRC, 2 pilots + 4 pax (200lb), NBAA IFR res, 200nm alt airport

All preliminary data

Page 32: Corporate Presentation

Legacy 500

Preliminary concepts

Page 33: Corporate Presentation

* NBAA Reserves (8 pax, PMD, 0.74 M, ISA)

Legacy 600

Number of seats 13 – 14 (Seats, Occupants)+3 crew

Range* 3,400 nm 6,297 km

Maximum Cruise Speed 459 ktas 850 km/h

MMO Mach 0.80

Maximum Operational Altitude 41,000 ft 12,500 m

Legacy 600

Page 34: Corporate Presentation

Legacy 600

Page 35: Corporate Presentation

All preliminary data

Lineage 1000

Lineage 1000

Number of seats 13 – 19 (Seats, Occupants)+3 crew

Range* 4,400 nm 8,149 km

Maximum Cruise Speed 470 ktas 870 km/h

MMO Mach 0.82

Maximum Operational Altitude 41,000 ft 12,500 m

* NBAA IFR (35 min) Reserves + 200 nm alternate; 8 passengers @ 200 lb

Page 36: Corporate Presentation

Lineage 1000 – Lounge

All preliminary data

Page 37: Corporate Presentation

Embraer Environmental

Initiatives

Page 38: Corporate Presentation

Achievements in Environmental Initiatives

Ipanema: First certified and serialized 100% biofuel powered aircraft

Gavião Peixoto facility reforestation project:• 600,000 trees• 350 hectare area

ISO 14001 since 2002 First in the Industry

Page 39: Corporate Presentation

Powerplants

Design & Aerodynamics

Biofuels

Structures

Systems

Environmentally Friendly Research Programs

Page 40: Corporate Presentation

Economic-Financial Performance

Page 41: Corporate Presentation

Capital Structure

BOVESPA50,4%

NYSE49,6%

August 31st, 2009

Common (Voting) Shares: 723,665,044 (100%)

* Does not include16.8 million shares held on treasury.

NYSE OUTROS23,4%

OPPENHEIMER FUND'S5,5%

THORNBURG INVESTMENT

6,2%

FRANKLIN RESOURCES IN

6,6%

BARCLAYS5,1%

UNIÃO FEDERAL

0,3% BOVESPA OUTROS25,9%

BNDESPAR5,2%

PREVI14,1%

GRUPO BOZANO

7,7%

Page 42: Corporate Presentation

32

96

160 161

131

101

148 141130

169153

4

60

204

242

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Evolution of Aircraft Deliveries

Actual Forecast

3rd Quarter 2009: 57 aircraft delivered

Page 43: Corporate Presentation

7641.354

1.837

2.762 2.9272.526

2.144

3.4413.830 3.760

5.245

6.335

1.246

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 3Q09

Net Revenue (U.S. GAAP)

US$ million

96% of revenue is exports

Actual

Page 44: Corporate Presentation

Revenue per Segment

Commercial Aviation 66,1%

Aviation Services 10,2%Others

1,9%

DefenseSystems

5,7%

Executive Aviation 16,1%

Revenue per Segment (3Q09)

Revenue by Region (2Q09)

Others7%

Asia Pacific18%

Europe18%

Brazil4%

North America43%

Latin America10%

Page 45: Corporate Presentation

3

145

235

321 328

223

136

380

446

390,1

489

388,7

57,7

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 3Q09

Net Income (U.S. GAAP)

US$ million

Actual

Page 46: Corporate Presentation

Investments

51

7389

213

234

33,545

93

113

239

197

43,4

2004 2005 2006 2007 2008 3Q09

Property, Plant and Equipment Research & Development

US$ million

Page 47: Corporate Presentation

18,6

20,9

18,8

14,8

10,410,19

10,711,4

6,4

4,13

1,20,6

10,6

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 3Q2009

Firm Orders

Backlog

US$ billion

3nd Quarter 2009 – US$ 18.6 billion in firm orders

Options – US$ 24.5 billion

Page 48: Corporate Presentation

US$ million

Embraer accounted for 2,9% of Brazilian exports through December 2008.

(*)Source: Foreign Trade Department Secretary.

Exports

3,2693,267

2,007

3,348

2,396

2,8972,702

1,692

1,173

5,733

4,737

3,766

2,957

2,2131,737

881

1,8431,377

1,1781,220 1,302

1,992 1,9671,780

1,0561,529

1,356

7051,1751,054

1,325

514292

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Exports Imports Trade Balance

Page 49: Corporate Presentation

• Salaries: R$ 1,324 million

• Variable Income: R$ 89 million

• Benefits: R$ 212 million

Benefits

Employee Benefits

Data base reference 2008

Life Insurance

2% Dental and Health

Assistance45%

Retirement 16%

Others 5%

Transportation 15%

Meals 17%

Page 50: Corporate Presentation

Thank you!

Page 51: Corporate Presentation

This document may contain projections, statements and estimates regarding circumstances or events yet to take place. Those projections and estimates are based largely on current expectations, forecasts on future events and financial tendencies that affect Embraer’s businesses. Those estimates are subject to risks, uncertainties and suppositions that include, among others: general economic, political and trade conditions in Brazil and in those markets where Embraer does business; expectations on industry trends; the Company’s investment plans; its capacity to develop and deliver products on the dates previously agreed upon, and existing and future governmental regulations. The words “believe”, “may”, “is able”, “will be able”, “intend”, “continue”, “anticipate”, “expect” and other similar terms are supposed to identify potentialities. Embraer does not feel compelled to publish updates nor to revise any estimates due to new information, future events or any other facts. In view of the inherent risks and uncertainties, such estimates, events and circumstances may not take place. The actual results can therefore differ substantially from those previously published as Embraer expectations.

Embraer reserves the right to revise this document whenever occasioned by product improvements, governmental regulations or other good cause. All figures, finishing materials and colors are for illustration purpose only, and may not represent the real and final product accurately.

Some features are optional items not included in the baseline aircraft and are subject to price increase and lead-time analysis.

All data presented shall not be used as guarantee. Guaranteed specifications are listed in section 4 of the preliminary technical description and represent the only binding guarantee.


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