NYSE Opening Bell Ceremony

September 05th,2006

Luís Carlos AffonsoExecutive Vice-President, Executive Jets

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.

Market Figures

Business Aviation Market Size

13.3

1.02.3

4.0

4.4

2.0

16.6

1.22.7

4.7

6.5

3.6

2005 2015e

Airframe / OEM

Completion + Refurbishment

MRO

FBO

Charter + AircraftManagement

Fractional OwnershipUS$ 27.1 bi

US$ 35.3 bi

Source: AT Kearney and Embraer estimates

(2005 US$ billion)

9,680 executive jets US$ 144 billion in the next 10 years

WORLD

Asia Pacificnot including Japan

5.7%

Latin America

Africa

Middle East

Eastern Europe

2005

North America

3.5%

Western Europe

1.8%

4.4%

5.1%6.8%

6.1%

3.6 %

Worldwide deliveries of new executive jets2005: + 27%

Main demand driversStock market performance

Corporate Profits Individual Wealth

Macro-economic factors (GDP)

Source: The Economist Intelligence Unit and Global Insight – May 2005 & April 2006

2006-2015: + 4.4% (cagr)

3.7%

4.5%5.3%

4.2%

4.5%

2006-15e

3.1%2.1%

3.1 %

Lower number of destinations Greater door-to-door elapsed time

“Premium” customers are under served

85%76%

64%51%

87%72%

65%50%

11%

35%

3% 5% 9% 12% 8%17% 16% 15%

5%

37%27%

19%12%

19%

0%

20%

40%

60%

80%

100%

1995 2000 2005E 2010E 1995 2000 2005E 2010E

Network Low Cost Regional

USA Europe

Source: Embraer analysis.

SEA

PDX

SFO

LAXSAN

LAS

PHX

SLCDEN

HNL

DFW

IAH

MSP

DTWORD

MDW

STL

MEM CLT

CVG

CLE PITBOSEWRJFKLGA

ATL

IADBWI

DCA

FLLMIA

MCOTPA

WorldTerrorism threat increased hassle factor

Hassle factor: Growing delays in US and Europe

USA73% of pax at 35 hubs

90% of delays at main hubs

Sources: FAA 2005Eurocontrol 2006

Europe13% flight delays increase in 2005

AVIÔES EM FILA

Source:: Embraer (adapted from Jet Solutions)

Year

ly To

tal C

ost

Frac

tiona

l Own

ersh

ipUs

ed F

ract

iona

lJe

t car

ds m

embe

rshi

ps

Airc

raft

Mana

gem

ent

Char

ter O

n-De

man

dSc

hedu

led C

harte

r“B

izav”

Airli

neTrad

ition

al Ow

ners

hip

Commercial Aviation

Cost

Industry answer: business models evolution

Air Taxi

Branded Charter

New business models Excellent Examples

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.

Very Light

Light

Mid-light

Mid-size

Super Mid-Size

Large

Ultra-Long Range

Ultra Large

Product portfolio expansion (jets)

Legacy™ 600

Phenom™ 300

Phenom™ 100

Lineage™ 1000

Vision

To become a leading Support & Services provider in the

Business Aviation Market within 3 years through a genuine

customer relationship and best practices.

Comprehensive Training ProgramOutstanding Technical Support Reputable Maintenance Services (Owned and Authorized network)Embraer Executive Care programs Excellent Parts Support & Repairs

Integrated Solution

Legacy™ 600 Program Update

The world discovers the Legacy™ 600

80 aircraft, 18 countries, the right choice

80TOTAL1AFRICA3LATIN AMERICA5MIDDLE EAST7ASIA

28EUROPE36USA

31 Aug 2006

Competitive Analysis – Floor Plans

Superior Privacy and Comfort

Legacy™ 600 Landmarks

Promises made, delivered … and more on the way

13%

12%12%10%

2002 2003 2004 2005 2006 2007-2015

25-30 a/c

Market share - super midsize category

2005: deliveries growth of 54%

10 a/c

13 a/c

13 a/c

20 a/c

15%13.5%

July 2006

Phenom™ 100 Program Update

Phenom™ 100

Preliminary data

Interior design

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

Layout Configuration Comparison – Jets

Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

Preliminary data

Phenom™ 100 CJ1(Entry Level Jet)

Eclipse 500 Mustang Adam 700

Phenom™ 100

Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

Cross-section Comparison – Jets

Phenom™ 100 vs. Eclipse 500 Phenom™ 100 vs. Mustang

Preliminary data

4ft 2i

n (1.2

7 m)

4ft 11

in (1

.50 m

)

4ft 8in (1.42 m)

5ft 1in (1.55 m)

4ft 6i

n (1.3

7 m)

4ft 11

in (1

.50 m

)

5ft 1in (1.55 m)

4ft 7in (1.40 m)

Phenom™ 100

Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

Layout and Cross-section Comparison – Turboprops

Cross-section Comparison

Preliminary data

Phenom™ 100 vs. King Air C90GT

4ft 10

in (1

.37 m

)

4ft 11

in (1

.50 m

)

5ft 1in (1.55 m)

4ft 6 in (1.45 m)

Phenom™ 100

Phenom™ 100 King Air C90GT

4855Total Baggage Capacity (cuft)1

2.952.85List Price (US$ Million)3

2,3923,400Takeoff Field Length (ft)2

30,00041,000Maximum Op. Altitude (ft)1

N/AM 0.70MMO1

270380High Speed Cruise (KTAS)1

1,0251,160Range (nm)1

King Air C90GTPhenom™ 100Characteristics

Assumptions

Phenom™ 100Competitive Analysis – Turboprop Preliminary data

Preliminary data

1 – All aircraft ranges considers NBAA IFR Reserves with 100 nm alternate, 4 occupants @ 200lb each. King Air C90GT from OEM Website – Feb 2006.

The High Speed Cruise, Baggage Compartment and Maximum Operating Altitude data were obtained in the same sources.

2 – ISA, MTOW, Sea Level

3 – KingAirC90GT Price from www.AviationNow.com NBAA 2005 on line Show News

Phenom™ 100Competitive Analysis – Turboprop - Assumptions

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.

Phenom™ 100 – Wind Tunnel Test Campaign

Design specifications confirmed

Phase I - USAUWAL - University of

Washington Aeronautical Laboratory Phase II - Brazil

CTA - General Command for Aerospace Technology Phase III - Russia

TsAGI – Central Aerohydrodynamic Institute

COMPLETED

Phenom™ 100 – First Metal Cut

Section of the fuselage that connects the airframe with the engine’s pylon

May 2006COMPLETED

Phenom™ 100 – Engine first run

On schedule for the first flight

COMPLETED

Pratt & Whitney Canada PW 617F

Phenom™ 100 – Master Phase Plan

Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q42004 2005 2006 2007 2008

Entry Into Service

Business Plan Approval (Official “Go-Ahead”)

Business Plan Preparation

Business Case Approval

Joint Definition Phase

First Metal Cut

First Flight

Sub-Assembly

Final Assembly

Detailed Design and Flight Test Campaign

Phenom™ 100

Entry into Service: mid-2008Price: US$ 2.85 million*

* Jan 2005 economic conditions

Phenom™ 300 Program Update

Preliminary data

Interior designPhenom™ 300

by

Phenom™ 300Preliminary dataBaggage Compartment

Sources: B&CA Purchase Planning Handbook – May 2005

Baggage Compartment - 66 cuft

FWD Baggage Compartment - 5 cuft Wardrobe - 5 cuft

Competitors Main Baggage CompartmentHawker 400XP: 26 cuftCitation Encore: 28 cuftCitation CJ3: 50 cuft

Phenom™ 300Layout Configuration Comparison

PhenomTM 300 CJ3 Encore(Mid-Light)

CJ2+ Bravo

Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

Preliminary data

Phenom™ 300Cross-section Comparison

Source: Conklin & de Decker Aircraft Comparator 2005/2006 – Manufacturers’ web sites and promotional material

Preliminary data

4ft 9i

n (1.4

5 m)

4ft 11

in (1

.50 m

)

4ft 10in (1.47 m)

5ft 1in (1.55 m)

Phenom™ 300 vs. CJ2+ / Bravo / CJ3 / Encore (Mid-Light Jet)

Phenom™ 300 – walkthrough cabin

Phenom™ 300 – Wind Tunnel Test Campaign

Ongoing campaign

TsAGI – Central Aerohydrodynamic Institute - Russia

Phenom™ 300 – Master Phase Plan

Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q42004 2005 2006 2007 2009

Entry Into Service

Business Plan Approval (Official “Go-Ahead”)

Business Plan Preparation

Joint Definition Phase

Business Case Approval

Detailed Design and Flight Tests

Phenom™ 300

Entry into Service: mid-2009Price: US$ 6.65 million

Embraer LineageTM 1000

Embraer LineageTM 1000 - Interior

illustrative purposes only

Lineage 1000 Performance

Preliminary data* NBAA IFR reserves (35 min) with 200 nm alternate; 8 passengers @ 200 lb, ISA. Range circles consider 85% annual winds,, 3% allowance

Range: 4,200 nm*MMO : Mach 0.82

Entry into Service: mid-2008Price US$ 40.95 million*

Embraer Lineage™ 1000

* Jan 2006 economic conditions

Phenom™ 100 and Phenom™ 300 Fleet Customer operation

Docile flying characteristicsNext generation engines Designed for high utilizationHigh availability

Premium comfortOutstanding performanceLow operating cost Human factors

Phenom™ 100 and Phenom™ 300 – design drivers

Designed for high utilizationLow operating cost

High Utilization – based on 4 main fundamentals

Designed for high utilization

Low operating cost

Operation

Maintenance Reliability & Dispatchability

High Utilization – based on 4 main fundamentals

EconomicLife

High Utilization – based on 4 main fundamentals

EconomicLife

Air Taxi(20,000)

Fractional(12,000)

(8,000)

Charter &BrandedCharter

Preliminary data

Favors Residual Value

Phenom 100

Cycles

(2,000)Private Owner

EXTENDED LIFE35,000

Economic Life - 10 years typical utilization

VLJ (nearest competitor)

15,000

Reliability & Dispatchability

EconomicLife

High Utilization – based on 4 main fundamentals

Extended

Reliability / DispatchabilityPreliminary data

High MTBF

IESI – Integrated Electronic Standby Instruments10 times better MTBF

Maturity plan

FADEC’s

Power Distribution

Pressurization Controller

All main electronics inside pressurized areas

Avionics

Displays Interchangeability

The aircraft can be dispatched with PFD2 failed:

If PFD1 is failed:

Preliminary data

If MFD is failed:

Reliability / Dispatchability

Preliminary data

Low Turn-Around Time (TAT)

Reliability / Dispatchability

Single Point RefuelingExternally Serviced LavatoryPhenom™ 300:

Maintenance Reliability & Dispatchability

High Utilization – based on 4 main fundamentals

Extended Economic

Life

Outstanding

Maintenance

Preliminary data

Low intervention philosophies (MSG-3)simple maintenance proceduresreduced number of tasks with higher intervals

Quick fault location and isolation up to component levelHighly integrated central maintenance computer(engine, avionics & other systems – AMS, electrical etc)

Phase 1 – On Ground Datalink

Ground

NetworkConnectivity - Data link capability (road map)Trend and exceedanceRemote DiagnosticTwo way high speed

Operation

Maintenance Reliability &

Dispatchability

High Utilization – based on 4 main fundamentals

Extended Economic

Life

OutstandingSimple

Press ButtonFuel ONEngine Parameters MonitorGen ONGen Load CheckAv Master ONStandby horizonBrakes chkFlaps and speed brakeChk elect trim disconnectPitot / static Ignition onCheck thrust rev

Usual tasksFocus on Human Factors

Reduced pilot workloadHigh situational awareness

Operation – increased operational safety level

Preliminary data

Engine start workload

FunctionalitiesIESI – Integrated Electronic Standby Instrument

Integrated EICAS – Engine Indication and Crew Alert System

Synoptic graphicsMoving mapWeather datalink & weather radarAutopilot guidance controller

Start Switch

Brakes chkFlaps and speed brake

Press ButtonFuel ONEngine Parameters MonitorGen ONGen Load CheckAv Master ONStandby horizonBrakes chkFlaps and speed brakeChk elect trim disconnectPitot / static Ignition onCheck thrust rev

Phenom TasksUsual tasks

Operation

SimpleMaintenance

High Utilization – based on 4 main fundamentals

Extended Economic

Life

OutstandingReliability &

Dispatchability

Enables intense operation and favors residual value

Easy

Designed for high utilization

Low operating cost

Phenom™ 100 and Phenom™ 300 – design drivers

Low operating cost

Preliminary data* Per B&CA assumptions – Typical Bizjet Operation ** B&CA Operations Planning Guide – August 2005

DOC: US$ 440 / FH *20% lower than an entry level jet

(Citation CJ1)*

12% lower than King Air C90Bfor a 600 nm mission**

Phenom™ 100 Phenom™ 300

DOC: US$ 700 / FH *20% lower than a a light jet (Hawker 400XP)*

16% lower than a mid-light jet(Citation Encore)*

Phenom™ 300

Preliminary data

Expert opinion

US$ 1.25 billionFirm Orders Backlog

Sales and Backlog as of June 30th, 2006

more than 235 unitsFirm Orders

2007

Expected Production Plan – Legacy™ 600

Legacy™ 600

200620052004

25 - 3025 - 302013 (units)

Expected Production Plan – PhenomTM 100 & PhenomTM 300

2009

2008

120 - 150

15 - 20 (units)

(units)

Phenom™ 100

Phenom™ 100 & Phenom™ 300

2009

Expected Production Plan – LineageTM 1000

2008

3 - 4up to 2 (units)

Lineage™ 1000

Thank You !

Phenom™ 100 and Phenom™ 300 – breakthrough products

JetBird in Europeand Magnum Jet in USA

Join me in welcoming our customers

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.