This document discusses UBS's presentation at the 2006 NBAA convention. It begins with a forward-looking statement disclaimer and provides market figures on the size and growth of the business aviation market. It notes drivers of demand growth and issues with increasing delays at major airports in the US and Europe. The document then discusses the evolution of business models in aviation to address rising costs and hassle factors, including fractional ownership, jet cards, air taxi, and branded charter options. It provides a forecast for executive jet deliveries from 2007-2016 and notes very light jets may help address the price gap between commercial and private aviation for small cities and short flights.

1. UBS at NBAA 2006 Convention José Eduardo Costas
Vice-President, Contracts, Executive Jets
October 18th,2006

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. Market Figures

4. Business Aviation Market Size
US$ 38.9 bi
3,9
US$ 27.1 bi 6,7
Fractional Ownership
2,2
Charter + Aircraft
Management 4,7 4,8
FBO 2,7
4,2
1,2
MRO 2,4
Completion + 1,1
Refurbishment
19,5
15,7
Airframe / OEM
(2005 US$ billion)
Source: AT Kearney and
Embraer estimates
2005 2016e
Significant Expansion

5. Main demand drivers
Stock market Macro-economic Corporate Profits
performance factors (GDP) Individual Wealth
6.4% 4.5%
3.4% 3.0%
2006e 2.6% 2.1%
5.3% 4.2%
2007-16e Eastern Europe
North America
Western Europe
Middle East 7.2% 5.8%
5.6% 5.1%
4.8% 4.0%
Asia Pacific
Africa not including Japan
Latin America WORLD
3.9 % 3.2 % Source: Global Insight – May & September 2006
Worldwide deliveries of new executive jets
2006e: + 16% 2007-2016e: + 3.7% (cagr)

6. Hassle factor: Growing delays in US and Europe
SEA
USA PDX
MSP
DTW BOS
73%
ORD
PIT EWR
of pax at 35 hubs SLC
DEN
MDW CLE BWI
IAD DCA
JFK
LGA
HNL SFO LAS STL CVG
90% of delays at main hubs LAX
SAN
PHX
DFW
MEM
ATL
CLT
IAH
TPA MCO
FLL
MIA
AVIÔES EM FILA Europe
13% flight delays increase in 2005
World
Terrorism threat increased hassle factor Sources: FAA 2005
Eurocontrol 2006

7. Yearly Total Cost
Industry answer: business models evolution
Traditional Ownership
Aircraft Management
Fractional Ownership
Cost
Used Fractional
Jet cards memberships
Charter On-Demand
Scheduled Charter
“Bizav” Airline
Branded Charter
New business
Air Taxi
models
Commercial Aviation
Source:: Embraer (adapted from Jet Solutions)

8. 2007-2016 Market Forecast (deliveries) - World
Product Categories Units US$
ULTRA LARGE 2%
8% 6%
ULTRA-LONG RANGE
12% 23%
LARGE
11%
SUPER MID-SIZE 12% 24%
MID-SIZE 10%
16%
MID-LIGHT 22%
11%
LIGHT
7%
23%
VERY LIGHT 9%
* additional air taxi demand of 2,500-3,000 units
4%
11,115 executive jets US$ 169 billion in the next 10 years

9. Industry Findings
Traditional Emerging Transp. Airline First New Models of
Commercial Offer Alternatives Reaction Initiative Transportation
Charter Growth
Air Taxi
Hassle factor
Small cities:
Low frequencies Jet Card Boom Airline Premium
No direct flights Service
Branded Charter
Car trips
2005 2006

10. VLJs: Tapping the Gap ??
Light Executive Jet
Airlines Light bizjet average price
$10
Round Trip Price (US$ x 1,000)
$8
$6
Huge Gap: US$ 6.000 (example)
$4
$2 Airline – Full Fare
$0
0 100 200 300 400 500 600 700
Stage Length (miles)
VLJs may tap the gap Source:6

11. Vision
To become a major player in the Business Aviation Market by
2015 through innovative and differentiating product and
service solutions with added value to our customers and
shareholders.

12. Legacy™ 600 Program Update

13. The world discovers the Legacy™ 600
USA 37
EUROPE 31
ASIA 8
MIDDLE EAST 5
LATIN AMERICA 3
AFRICA 1
TOTAL 85
10 Oct 2006
85 aircraft, 18 countries, the right choice

14. Competitive Analysis – Floor Plans
Superior Privacy and Comfort

15. Market share - super midsize category
15%
13.5%
13%
25-30
a/c
12% 12%
10% 20
a/c
13 13
10 a/c a/c
a/c
2002 2003 2004 2005 2006 2007-2015
July 2006
2005: deliveries growth of 54%

16. Phenom™ 100 and Phenom™ 300
Program Update

17. Phenom™ 100
Interior design
Preliminary data

18. Phenom™ 100 and Phenom™ 300
Prodigy™ - Avionics based on Garmin system Preliminary data

19. Phenom™ 100
Layout Configuration Comparison – Jets Preliminary data
Phenom™ 100 Eclipse 500 Mustang Adam 700 CJ1
(Entry Level Jet)
Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

20. Phenom™ 100
Cross-section Comparison – Jets Preliminary data
4ft 8in (1.42 m) 4ft 7in (1.40 m)
4ft 11in (1.50 m)
4ft 11in (1.50 m)
4ft 2in (1.27 m)
4ft 6in (1.37 m)
5ft 1in (1.55 m) 5ft 1in (1.55 m)
Phenom™ 100 vs. Eclipse 500 Phenom™ 100 vs. Mustang
Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

21. Phenom™ 100
Layout and Cross-section Comparison – Turboprops Preliminary data
Cross-section Comparison
4ft 6 in (1.45 m)
4ft 11in (1.50 m)
4ft 10in (1.37 m)
5ft 1in (1.55 m)
Phenom™ 100 King Air C90GT Phenom™ 100 vs. King Air C90GT
Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

22. Integrated Development
Embraer uses a full range of technologies to enable a complete development
integration for its products. Catia V5 is extensively being used.
It is a successful heritage that comes from Embraer Commercial aircraft
experience and is being applied to the Phenom™ 100 and Phenom™ 300.

23. Phenom™ 100 – Wind Tunnel Test Campaign
D
E TE
MPL
CO
2Q - 2005
Phase I - USA
UWAL - University of
4Q - 2005
Washington Aeronautical
Laboratory Phase II - Brazil
2Q - 2006
CTA - General Command
for Aerospace Technology Phase III - Russia
TsAGI – Central
Aerohydrodynamic Institute
Design specifications confirmed

24. Phenom™ 100 – Engine first flight TE
D
E
MPL
CO
Oct 2006
Pratt & Whitney Canada PW 617F
Successfully completed 4.2 hours of flying

25. Phenom™ 100 – Master Phase Plan
2004 2005 2006 2007 2008
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Business Case Approval
Business Plan Preparation
Business Plan Approval (Official “Go-Ahead”)
Joint Definition Phase
Detailed Design and
Flight Test Campaign
First Metal Cut
Sub-Assembly
Final Assembly
First Flight
Entry Into Service

26. Phenom™ 100
Entry into Service: mid-2008
Price: US$ 2.85 million*
* Jan 2005 economic conditions

27. Phenom™ 300 Program Update

28. Phenom™ 300
Interior design
by
Preliminary data

29. Phenom™ 300
Baggage Compartment Preliminary data
Baggage Compartment - 66 cu ft
FWD Baggage Compartment - 5 cu ft
Wardrobe - 5 cu ft
Competitors Main Baggage Compartment
Hawker 400XP: 26 cu ft
Citation Encore: 28 cu ft
Citation CJ3: 50 cu ft
Sources: B&CA Purchase Planning Handbook – May 2005

30. Phenom™ 300
Layout Configuration Comparison Preliminary data
PhenomTM 300 CJ2+ Bravo CJ3 Encore
(Mid-Light)
Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

31. Phenom™ 300
Cross-section Comparison Preliminary data
Phenom™ 300 – walkthrough cabin
4ft 10in (1.47 m)
4ft 11in (1.50 m)
4ft 9in (1.45 m)
5ft 1in (1.55 m)
Phenom™ 300 vs. CJ2+ / Bravo / CJ3 / Encore (Mid-Light Jet)
Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

32. Phenom™ 300 – Wind Tunnel Test Campaign
TsAGI – Central Aerohydrodynamic Institute - Russia
Ongoing campaign

33. Phenom™ 300 – Master Phase Plan
2004 2005 2006 2007 2009
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Business Case Approval
Business Plan Preparation
Business Plan Approval (Official “Go-Ahead”)
Joint Definition Phase
Detailed Design and Flight Tests
Entry Into Service

34. Phenom™ 300
Entry into Service: mid-2009
Price: US$ 6.65 million

35. The world also discovers the Phenom Family
30 September 2006
Phenom Family - more than 300 firm orders in 22 countries

36. Expected Production Plan – PhenomTM 100 & PhenomTM 300
2008
Phenom™ 100
15 - 20 (units)
2009
120 - 150 (units)
Phenom™ 100 & Phenom™ 300

37. Embraer LineageTM 1000 Program Update

38. Embraer LineageTM 1000 - Interior
illustrative purposes only

39. Lineage 1000 Performance
Range: 4,200 nm*
MMO : Mach 0.82
* NBAA IFR reserves (35 min) with 200 nm alternate; 8 passengers @ 200 lb, ISA. Range circles consider 85% annual winds,, 3% allowance Preliminary data

40. Embraer LineageTM 1000 - Interior
Design Office
Priestman Goode is a design consultancy
specializing in 3D branding.
They work in many different sectors, ensuring that
the final design genuinely adds to the customer
experience.
Source: Priestman Goode website

41. Expected Production Plan – LineageTM 1000
2008 2009
up to 2 3-4 (units)
Lineage™ 1000

42. Embraer Lineage™ 1000
Entry into Service: mid-2008
Price US$ 40.95 million*
* Jan 2006 economic conditions

43. Phenom™ 100 and Phenom™ 300
Fleet Customer operation

44. Phenom 100TM and Phenom 300TM design drivers
Premium comfort Docile flying characteristics
Outstanding performance Next generation engines
Low operating cost Designed for high utilization
Human factors High availability

45. High Utilization – based on 4 main fundamentals
Designed for high utilization

46. High Utilization Fundamentals
Operation Economic
Life
Maintenance Availability
& Reliability

47. High Utilization Fundamentals
Economic
Life

48. Economic Life – typical utilization over 10 years
Preliminary data
Air Taxi
(20,000)
Fractional
(12,000)
Charter &
Branded
Charter
(8,000)
Private Owner
(2,000)
15,000 VLJ (nearest
Phenom 100
competitor)
35,000 EXTENDED LIFE
Cycles
Favors Residual Value

49. High Utilization Fundamentals
Extended
Economic
Life
Availability
& Reliability

50. Availability & Reliability
Preliminary data
High MTBF
IESI – Integrated Electronic Standby Instruments
FADEC’s
10 times better MTBF
All main electronics inside pressurized areas
Maturity plan
Avionics
Pressurization
Controller Power
Distribution

51. Availability & Reliability
Preliminary data
Dynamic Display Interchangeability
The aircraft can be dispatched with PFD2 failure:
PFD1 failure:
MFD failure:

52. Availability & Reliability
Low Turn-Around Time (TAT)
Phenom™ 300: Externally Serviced Lavatory Single Point Refueling
Preliminary data

53. High Utilization Fundamentals
Extended
Economic
Life
Outstanding
Maintenance Availability
& Reliability

54. Maintenance
Ground
Connectivity - Data link capability (road map) Network
Trend and exceedance
Remote Diagnostic
Two-way high-speed
Phase 1 – On Ground Datalink
MSG-3 and low intervention philosophies
Customized maintenance plan
Simple maintenance procedures
Reduced number of tasks with higher intervals
Smooth replacement & adjustment tasks
Quick fault location and isolation up to LRU level
Highly integrated central maintenance computer
(engine, avionics & other systems – AMS, electrical etc)
Preliminary data

55. High Utilization Fundamentals
Operation Extended
Economic
Life
Outstanding
Simple Availability
Maintenance & Reliability

56. Operation – increased operational safety level
Usual tasks Phenom Tasks
Focus on Human Factors Press Button Start Switch
Engine start Fuel ON
High automation level workload
Engine Parameters
Monitor
Gen ON
Reduced pilot workload Gen Load Check
Av Master ON
Reduced crew stress Standby horizon
Brakes chk Brakes chk
High situational awareness Flaps and speed brake Flaps and speed brake
Chk elect trim disconnect
Pitot / static
Ignition on
Check thrust rev
Functionalities
IESI – Integrated Electronic Standby Instrument
Integrated EICAS – Engine Indication and Crew Alert System
Synoptic graphics
Moving map
Weather datalink & weather radar
Autopilot guidance controller
Preliminary data

57. High Utilization Fundamentals
Easy Extended
Operation Economic
Life
Outstanding
Simple Availability
Maintenance & Reliability
Enables intense operation and favors residual value

58. Phenom™ 100 and Phenom™ 300 – design drivers
Low operating cost
Designed for high utilization

59. Low operating cost
Phenom™ 100 Phenom™ 300
DOC: US$ 440 / FH * DOC: US$ 700 / FH *
20% lower than an entry level jet 20% lower than a light jet
(Citation CJ1)* (Hawker 400XP)*
12% lower than King Air C90B 16% lower than a mid-light jet
for a 600 nm mission** (Citation Encore)*
* Per B&CA assumptions – Typical Bizjet Operation ** B&CA Operations Planning Guide – August 2005 Preliminary data

60. VLJs: Tapping the Gap ??
Light Executive Jet
Airlines Light bizjet average price
$10
Round Trip Price (US$ x 1,000)
$8
$6
Huge Gap: US$ 6.000 (example)
$4
$2 Airline – Full Fare
$0
0 100 200 300 400 500 600 700
Stage Length (miles)
VLJs may tap the gap Source:6

61. Charter Light Jet Offer
Phenom 100 Applicability – Branded Charter
$18
$16 Light Jet average price
Round Trip Price (US$ x 1,000)
$14
$12
$10 30% - 40%
ce
$8
ted Pri
0 0Proje c
om 1
$6
$4
Phen
$2
$0
0 100 200 300 400 500 600 700 800 900
Stage Length (miles)
Source: 6, 12
Phenom 100: 30% - 40% less expensive for customer

62. Fractional Ownership – Price Comparison
25% of aircraft share
800
Yearly price (US$ x1,000)
700
600
44%
500 44%
24% 24%
400
300
200
100
0
Phenom 100 CJ1 Hawker 400 XP
Acquisition Cost Management Monthly Fee Operating Hourly Fee
Source: 12,18
Phenom 100 can enlarge the fractional customer basis

63. Air Taxi - per Seat on Demand
Light Executive Jet
Airlines Light bizjet average price
$10
Round Trip Price (US$ x 1,000)
$8
$6
$4
no m 100
ted P rice – Phe
$2
Air T axi Projec Airline – Full Fare
$0
0 100 200 300 400 500 600 700
Stage Length (miles)
Air Taxi per seat fills the gap Source:6

64. Customer Support & Services

65. Vision
To become a leading Support & Services provider in the
Business Aviation Market within 3 years through a solid
network, genuine customer relationship and best practices.

66. Building Up Experience
Integrated Solutions
Reputable Maintenance Services
Excellent Parts Support & Repairs
Outstanding Field & Tech. Support
37 y
ears Comprehensive Training Program
of cu Embraer Executive Care programs
s tom
er supp
ort

67. Embraer owned Service Centers Network in USA
Embraer Owned Service Centers
Bradley
Hartford, CT
Williams Gateway EAMS
Mesa, AZ Nashville, TN
Exisiting Service Center
New Service Centers
Fort Lauderdale
International, FL

68. Revamped Service Centers Network in USA
13 Authorized Service Centers
Hillsboro, OR
Bedford, MA
Wheeling, IL
Teterboro, NJ
Lincoln, NE
Cleveland,OH
Lincoln, NE
Cahokia, IL
LAX, CA Phoenix, AZ
Phoenix, AZ
Augusta, GA
Houston, TX
West Palm, FL
Legacy 600 Authorized Service Centers
Enlarged and reconfigured network

69. Reputable Service Centers Network in USA
8 Authorized Service Centers
Hillsboro, OR
Moline, IL
Indianapolis, IN
Grand Junction, CO
Greenville, SC
Dallas, TX
Phenom 100 & 300
Authorized Service Centers
Different service levels (line to overhaul)

70. Service Centers Network in USA
Embraer Owned
Service Centers
Phenom 100 & 300
Authorized Service Centers
Legacy 600 Authorized Service Centers
21 Service Centers provide territorial coverage

71. Enhanced Service Center Network in Europe
Exisiting Service Center
New Service Center
Le Bourget, FR
FR
PT
OGMA, PT

72. Enhanced Service Center Network in Europe
5 Authorized Service Centers
Legacy 600
Phenom 100 & 300
London, UK
Prague, CR
Munich, GY
Zurich, SW
Lugano, SW
Lugano, TO BE APPOINTED.
Operators have a wider choice of services

73. Service Network for Embraer Executive Jets
Worldwide Network (middle 2008): 45 Service Centers
7 Embraer Wholly Owned
38 Authorized Service Centers
Best choices for all kind of operators

74. Logistic Provider – Phenom 100/300
Phenom logistics operated through UPS

75. Phenom 100/300 Training
Joint
Venture
Commitment to deliver best training solution

76. Phenom 100/300 Training Philosophy
te r
en ing
C ote ain er
ing ote em Tr nt
ain Rem R
Tr & Ce
Continuous
Flight Skills Pre-Training Ground School Ground School Practical
Assessment Package Study (class room) (simulation) Experience
Training
Mentor Pilot
Computer Based
3 Proficency Levels Training
Flight School Cockpit + Systems
Full Flight
Simulator
Web Based
Training
Internet + CD
Instrument Procedures
Training

77. Phenom 100/300 Potential Training Locations
USA Europe
First Training
Center USA
2008 First Training
Center Europe
2009
Second Training
Center USA
2012
Full Flight Simulator available at Phenom EIS 77

78. Embraer Executive Care
Legacy 600* Standard Intermediate Enhanced
Scheduled + basic unscheduled airframe parts
Parts freight
Parts for Service Bulletins, AD related
Embraer Maintenance Tracking & Planning System
Scheduled heavy checks labor (24 MO)
Labor, all scheduled tasks
Labor, basic unscheduled tasks
Labor on Service Bulletins, AD related
Mobile Rescue Team, AOG
* Only airframe. No engine included.
More levels of coverage

79. Embraer Executive Care
Phenom 100 & 300 Standard Enhanced
Scheduled + basic unscheduled airframe parts
Airframe parts freight
High Utilization
Airframe parts for Service Bulletins, AD related above 400 FH/y
Embraer Maintenance Tracking & Planning System
Low Utilization
Engine Coverage below 400 FH/y
Airframe Labor, Scheduled and Basic Unscheduled
Airframe Labor, Service Bulletins, AD related
Airframe Mobile Rescue Team, AOG OPT.
OPT.
Engine Life Limited Parts Coverage OPT.
OPT. OPT.
OPT.
Different Levels of coverage

80. Thank You !