This document provides an overview of Embraer's executive aviation business from its 9th US Annual Analyst & Investor Meeting. It discusses Embraer's executive jet product portfolio including the Phenom 100 and 300, Legacy 450/500, and Lineage 1000. Performance data for these models is presented. It also summarizes Embraer's customer support solutions including its growing global service center network and training programs.
1. 9th US Annual Analyst
& Investor Meeting
Executive Aviation Overview
Luís Carlos Affonso
Embraer Executive Vice-President, Executive Jets
New York – April 1st, 2009
2. 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.
3. World GDP growth rates - prediction’s evolution
Real GDP growth rate, YoY%
5
Global Insight – Mar09
4
World
3
2
Growth Rate %
The Economist – Mar09
1
0
1998
2000
2002
2004
2006
2008
2010
2012
-1
-2
-3
Source 2008 2009 2010 2011 2012 2013
The Economist – Jan09 2.2% -0.9% 1.4% 2.7% 3.1% 3.2%
World Real
The Economist – Feb09 2.1% -1.9% 1.25% 2.6% 3.0% 3.2%
GDP growth
Global Insight – Mar09 2.2% -2.2% 1.8% 3.6% 4.3% 4.1%
The Economist – Mar09 2.0% -2.6% 1.0% 2.5% 2.9% 3.1%
Source: The Economist, Global Insight – Mar 19th 2009
4. Used Market: Inventory
For Sale fleet (YTD) 2008: Net increase of 1,100 a/c
2009TD: Net increase of 234 a/c
3500 25%
% for sale (per total fleet ininoperation)
% for sale (per total fleet operation) A/C from 6 to 10 18.3%
3000 3005 a/c
A/C older than 10 y rs A/C less than 5 y rs 20%
Mar. 09 TD
2500
15%
2000
Units
1500
10%
1000
5%
500
0 0%
Q1Q2 Q3Q 4 Q1Q2Q 3Q 4 Q1Q2Q 3Q4 Q 1Q 2Q3Q4 Q 1Q 2Q3 Q4 Q1Q2 Q3Q 4 Q1Q2 Q 3Q 4 Q1Q2Q 3Q4 Q1Q 2Q3Q4 Q 1Q 2Q3Q4 Q1Q2Q3 Q 4 Q1
98 99 00 01 02 03 04 05 06 07 08 09
Source: JETNET, March 2009
Total market inventory for sale continued to increase. All-time high inventory
(absolute figure): 3,005 aircraft or 18.3% of active fleet
5. Used Market: Change in asking price
Average change in asking price
8
08
08
08
8
8
8
08
9
09
9
-08
8
y-0
r-0
c-0
r-0
r-0
0
l- 0
g-
p-
v-
n-
b-
n-
t
Ma
Ma
Ma
Ap
Au
No
Oc
De
Se
Fe
Ju
Ju
Ja
0%
-2%
-4%
-6%
-8%
-10%
-12%
Source: JETNET and Embraer analysis . March 2009.
...putting a strong downward pressure on prices
6. Embraer Product Portfolio
Ultra-large
Ultra-Long Range
Large
Super Mid-Size
Mid-size
Mid-light
Light
Entry
illustrative purposes only
21. Lineage 1000® Certified Performance Data Summary
FAA Certified
Initial estimates
Lineage 1000
Range (8 passengers)* 4,200 nm 4,400 nm
Range (4 passengers)* N/A 4,500 nm
MMO 0.82 0.82
Maximum Ceiling 41,000 ft 41,000 ft
High Speed Cruise 470 kt 470 kt
Landing Distance(2) 2,675 ft 2,675 ft
Takeoff Distance (3) 6,660 ft 6,135 ft (1) NBAA IFR reserves (35 min)
with 200 nm alternate;
Engine Thrust 18,500 lb each 18,500 lb each passengers @ 200 lb each
(2) MLW, SL, ISA
Block Fuel for 3,000 nm 29,326 lb 27,644 lb (3) MTOW, SL, ISA
Surpassing expectations
22. Lineage 1000® - Interior and Performance
Illustrative purposes only Baggage Compartment
Range* 4,500 nm
MMO Mach 0. 82 Lavatory
Max ceiling 41,000 ft
TOFL** 6,135 ft
* 4 passengers @ 200 lb,LRC, NBAA IFR reserves (200 nm
alternative, 35 min of holding @ 5,000 ft))
** MTOW, ISA, Sea Level
Galley Zone 5
Crew Lavatory Zone 4
Zone 3
Zone 2
Zone 1
Designed by
Welcome Area &
Produced by
Crew Lounge
24. Customer Support Solution
Service Centers Network
Logistics and Parts Support (Phenom Jets Partner: UPS)
Field and Product Support
Training Programs (Phenom Jets: Embraer & CAE Joint Venture)
Executive Care Programs
25. Service Centers Network
Contracted / Planned Authorized Network
Embraer Service Center
Preliminary data