Embraer Day 2011 was held on March 25th. Luiz Carlos Aguiar, CEO of Embraer, discussed the creation of Embraer Defense and Security in 2011 with revenues of around $750 million. Embraer Defense and Security aims to be a leader in the Brazilian defense industry through organic growth and acquisitions while diversifying markets and customers. The presentation outlined some key priorities for the Brazilian Army including border monitoring, air defense, and command and control systems totaling billions in potential contracts.

1. Embraer Day 2011
Luiz Carlos Aguiar
CEO
March 25th, 2011
IMD 022-A11

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.
IMD 022-A11 2
EMBRAER PROPRIETARY INFORMATION

3. Retrospective 2010 – Embraer Defense
Customer services
AEW India
business expansion
ISR (Intelligence, Surveillance Services
and Reconnaissance)
Additional batch of 11 F-
New customer: 5 (Brazilian Air Force)
Indonesian Air New overhaul contract
Force for 43 AMX
Advanced Training and Modernization Programs
Light Attack
Program on-going, on
Deliveries to schedule
Panama and
Thailand (Royal Strategic partners
Thai Navy) 60 airplanes (letter of
Transport of Authorities Military Tactical Transport intentions)
IMD 022-A11 3
EMBRAER PROPRIETARY INFORMATION

4. Retrospective 2010 – Embraer Defense
2010
US$ 670 M in revenues
ISR (Intelligence, Surveillance
and Reconnaissance)
Services More than US$ 3 bi in backlog
12.6% of participation in the
Embraer S.A. results
Advanced Training and Modernization Programs
Light Attack
A very special year, ending up with
A very special year, ending up with
the creation of Embraer Defense
the creation of Embraer Defense
and Security corporate unit
and Security corporate unit
Transport of Authorities Military Tactical Transport
IMD 022-A11 4
EMBRAER PROPRIETARY INFORMATION

5. Embraer Defense and Security
Embraer Defense and Security: a new Embraer company established on 1st January 2011
Revenues around US$ 750 million including services (est. 2011)
1,436 employees
More than 30 Armed Forces operating our products and systems in 41 years of Embraer’s
existence
IMD 022-A11 5
EMBRAER PROPRIETARY INFORMATION

6. Embraer Defense and Security Approach
To build a leadership position and to act as the main prime contractor in the
Brazilian Defense and Security Industry Base
To expand the portfolio of products, services and technologies through a
combination of organic growth and acquisitions
To diversify our target markets and our customer base
IMD 022-A11 6
EMBRAER PROPRIETARY INFORMATION

7. Brazilian Army Priorities
SISFRON
Integrated Borders Air Defense C2 World Cup
Monitoring System
Estimate: US$ 2 bi Estimate: US$ 0.5 bi
Estimate: US$ 4 bi Comprising radars, weapons, Comprising sensors,
Comprising radars, communication communication networks and communication networks and
networks, C4I, unmanned air vehicles operation centers operation center to integrate all
(UAV) and armored vehicles organizations involved
Also used for protection of big events,
like 2014 World Cup Uses part of Air Defense system
Upcoming big events: 2014 World Cup and 2016 Olympic Games
Safety requirements driving some of Brazilian Army Priorities
IMD 022-A11 7
EMBRAER PROPRIETARY INFORMATION

8. Main company in the industry’s productive chain in Brazil
• Fincantieri (Italy)
• Finmeccanica (Italy)
• Thales (France)
• Elbit (Israel)
SISFRON • IAI (Israel)
Integrated Borders • BAE Systems (UK)
Monitoring • Other Brazilian • DCNS (France)
System Main Brazilian Defense companies • Boeing (USA)
and Security Company: • Equipment • Rockwell Collins (USA)
suppliers • Indra (Spain)
• Saab (Sweden)
• Prime contractor • Solutions • ....
development
Air Defense • Project management
Foreign
• Finance structuring Companies
• Solutions integrator
• Development and Brazilian
retention of technologies construction
C2 World Cup companies
• Services and logistics
Brazilian priority supplies
Brazilian
Main • Brazilian supply chain strengthening Supply of
Supply of base
Government • Technology development and retention complementary
infrastructure
Contractors • Finance structuring foreign equipment
Projects • Highly qualified employment generation
• Technological spin-off
IMD 022-A11 8
EMBRAER PROPRIETARY INFORMATION

9. Embraer Defense and Security Worldwide Presence
Canada
Sweden
Germany
United States United Kingdom¹
Italy
Luxembourg
Belgium Greece
Kuwait¹
Switzerland
France Pakistan
Spain
Portugal Tunisia Thailand
Dominican Rep. Libya
Honduras
Mauritania Egypt
Panama
Indonesia
Mexico Niger Kenya¹
Venezuela Chad
Colombia Togo
India
Nigeria
Equatorial Guinea
Ecuador
Gabon
Peru
Brazil
Argentina
Paraguay Angola
Chile Uruguay
Embraer Defense and Security is present in more than 40 countries.
Embraer Defense and Security is present in more than 40 countries.
Note: Including OGMA and Orbisat customer base. Ref.: March, 2011
IMD 022-A11 9
EMBRAER PROPRIETARY INFORMATION

10. Super Tucano
Firm orders: 180 aircraft Prospects:
Brazil: 99 Latin America
Colombia: 25 South East Asia
Dominican Republic: 8 USA
Chile: 12 Africa
Ecuador: 18
Indonesia: 8
XE Aviation: 1
Undisclosed: 9
Deliveries: 152 aircraft
To be delivered: 28 aircraft Ref.: March, 2011
IMD 022-A11 10
EMBRAER PROPRIETARY INFORMATION

11. Embraer ISR Systems
18 aircraft:
Brazilian Air Force: 8 Prospects:
Hellenic Air Force: 4 South and South
East Asia
Mexican Air Force: 3
Middle East
DRDO/CABS (India): 3
South America
15 aircraft in operation (Ref.: March, 2011)
IMD 022-A11 11
EMBRAER PROPRIETARY INFORMATION

12. EMB 145 AEW&C India
Roll-out / aircraft presentation: 21 Feb 2011
First flight: 1S2011
First delivery : 2S2011
IMD 022-A11 12
EMBRAER PROPRIETARY INFORMATION

13. Modernization programs
• 43 aircraft
Brazilian Air Force – A-1M
• Three prototypes in ground and flight
tests
• A-1 revitalization contract signed
Brazilian Air Force – F-5M Brazilian Navy – A-4
• 46 aircraft
• 41 already delivered
• 12 aircraft
• Additional batch of F-5s contracted (11 aircraft)
• Two prototypes at GPX-CS Ref.: March 2011
IMD 022-A11 13
EMBRAER PROPRIETARY INFORMATION

14. EMBRAER KC-390 Program Update
New tactical military transport and tanker aircraft
Towards the end of the “Initial Definition Phase”
Focused on risk mitigation
Partnership definition and suppliers selection
Concept detailing and preparation for JDP (Joint Definition Phase)
KC-390 model for the wind tunnel test
Suppliers selection
DRS Defense Solutions was selected for the
design, development, testing and production of
the KC-390 Cargo Handling and Aerial Delivery
System (CHS/ADS)
Other four suppliers for critical systems already
selected and will be announced very soon. Armoured vehicle inside the KC-390 volumetric mock-up
IMD 022-A11 14
EMBRAER PROPRIETARY INFORMATION

15. EMBRAER KC-390 Strategic partnership
Brazil (28)
Colombia (12)
Chile (6)
Argentina (6)
Portugal (6) Czech Republic (2)
Three partnerships will be concluded in the short term
Three partnerships will be concluded in the short term
Ref.: December, 2010
IMD 022-A11 15
EMBRAER PROPRIETARY INFORMATION

16. Embraer Defense and Security Results
Backlog evolution
3.5 3.2 3.3
3.0
2.5
US$ Billions
2.0
1.5
1.5
1.1 1.0
1.0
0.5
0.0
2006 2007 2008 2009 2010
IMD 022-A11 16
EMBRAER PROPRIETARY INFORMATION

17. IMD 022-A11 17
EMBRAER PROPRIETARY INFORMATION