commercial aviation_media day paris_jun2012-0206

7/31/2019 Commercial Aviation_Media Day Paris_Jun2012-0206

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Market & Product Update

Paulo Cesar Silva

President, Commercial Aviation

Jun/2012


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The information contained herein is property of Embraer and shall not be copied or used without Embraer

s written consent

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 statementsbecause 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.

Forward Looking Statement


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s written consent

EMBRAER 195108 122 seats

2,100 nm range


2,300 nm range


2,100 nm range


2,000 nm range


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s written consent

E-Jets Family Order Book

Commercial Aviation(as of March 31st., 2012) Firm orders Deliveries Firm Backlog

EMBRAER 170 189 182 7

EMBRAER 175 189 145 44

EMBRAER 190 552 402 150

EMBRAER 195 133 94 39

Total 1,063 823 240


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s written consent

E-Jets Market Acceptance

1,063 orders + 689 options

First delivery 2004. More than 1,000 net orders accumulated

Source: Embraer (Mar/2012)


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s written consent

Source: Embraer (Scheduled Airlines and Leasing Co.)

E-Jets Customer Base Evolution

2 4 14 27 50 55 61Customers/Operators

Deliveries


7/37The information contained herein is property of Embraer and shall not be copied or used without Embraer

s written consent

2011: Market Confidence on E-Jets

Customer Firm Orders

Dniproavia 10 E190

TRIP 3 E190

Air North 1 E170

Alitalia 10 E175

KLM 5 E190

CDB Leasing (China Southern) 10 E190

Air Astana 2 E190

Air Lease 5 E175 + 15 E190

GECAS 8 E190

Kenya Airways 10 E190

Lufthansa 5 E195

Azul 11 E195

CIT Aerospace 10 E190

FDA 1 E175

Jetscape 1 E195

BOC Aviation 15 E190

Hebei Airlines 2 E190

124 Firm OrdersAs of December, 31st

64 ordersfrom

Leasing

Companies



s written consent

Leasing Companies Confidence on E-Jets

CITNov/2011: Up to 30 E-Jets (10 E190/195 Firm Orders)

BOC Aviation Nov/2011: 15 E190



s written consent

E-Jets supported by Leasing Companies

Source: Embraer (Jan/2012)

1

3 4

8

17

23

27

12

2004 2005 2006 2007 2008 2009 2010 2011



s written consent

800 E-Jets delivered

Nov 2010Sep 2009Dec 2008May 2008

Dec 2006

Oct 2007

Mar 2004

First Delivery

Oct 2005

Sep 2011


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E-Jets around the world61 Airlines from 42 Countries

Mar/2012



s written consent

E-Jets Customer Base by Region


(% of Firm Orders)

Asia PacificChina12%

Middle East

Africa9%

Europe/CIS

27%

LatinAmerica

17%

NorthAmerica35%

Diversified customer-base across five continents

Increased presence in emerging markets with established carriers



s written consent

E-Jets Global Presence

E170 E175 E190 E195

Source: OAG (1H2012)

Diversified customer base across five continents

61 airlines in 42 countries



s written consent

E190/195 Customer Base (by Business Model)


Regional Airlines

Network Airlines

(% of E190/195 Fleet+Backlog)

Low Cost Carriers

E-Jets efficiency in all business models



s written consent

E-Jets

Market

Deployment



s written consent

E-Jets Versatile Applications

Natural growth for existing 50-seat

markets

Right-sizing of low load-factor

narrow-body flights

New market opportunities through

lower risk and increased flexibility

Direct replacement of old and

inefficient jets

2.

1.

3.

4.


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E-Jets Deploymenthelping airlines to be more efficient

Source: OAG (1Q2011)

Right-sizing: 48%



s written consent

Application 1: Right-sizing

Narrowbodie

s

E-Jets

Matching capacity to demand

A319/320 E195

737-700/800

A319/320

E190

E190



s written consent

Application 2: Natural growth

Sma

llercapacit

yaircraft

Offering more capacity on regional operations

E-Jets

CRJ 200 E170

ERJ 145 E190

ERJ 145 E170/175



s written consent

Application 3: Replacing old-generation jets

Old

Generation

Jets

E-Jets

Reducing operating costs and fuel consumption

RJ 85 E170/190

DC9 / MD80 E170/175

F100 E190



s written consent

Application 4: Opening new markets

Exploring new markets with lower financial risks


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s written consent

E-Jets Building Connectivity In Eastern Europe

Source: OAG (May/2012)

FIS: 4 E170

up to 12 E-Jets

FIS: 2 E190

up to 4 E-Jets

FIS: 3 E195

up to 4 E-Jets


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E-Jets on Prime Shuttle Markets - USA

NY (LGA) Wash. (DCA)

15x DailyE175

NY (LGA) Chicago

13x DailyE175

Philadelphia - Boston

17x DailyE190/E175

NY (LGA) - Boston

15x DailyE190

NY (LGA) - Toronto

9x DailyE190/E175

Ottawa - Toronto

8x DailyE190/E175

Calgary - Vancouver

12x DailyE190

Source: OAG (1st week Jun/2012)

Vancouver

Calgary

Boston

NY

Chicago

Washington

TorontoOttawa

Philadelphia


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THIS INFORMATION IS EMBRAER PROPERTY AND CANNOT BE USED OR REPRODUCED WITHOUT WRITTEN AUTHORIZATION

ECE: Excellence in Customer Experience

Highest levels of customer experience

with Embraer products and services

Customer Satisfaction

AircraftAvailability

QualifiedPeople

Low OperatingCost

ProductCompetitiveness

GlobalPresence

Airline Support

Customer Care Center

Customer Relationship

Efficient Maintenance

Efficient Operation

Entry Into Service

Product Robustness,Support and Services

MRO Network

Parts Availability

Product Improvements

Product Quality

Suppliers Management

Training

ECE

Projects

Fi ld S t


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THIS INFORMATION IS EMBRAER PROPERTY AND CANNOT BE USED OR REPRODUCED WITHOUT WRITTEN AUTHORIZATION

Field Support

Embraer Support Around the World

DUBAI

** warehouse opens September 2012

**


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s written consent

E-Jets

Market

Opportunities

USA R i l J t C it Sh


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s written consent

USA Regional Jet Capacity Share

100%

46%

100% 100% 100%

40%

100%

41%

100%

71%

54%60% 59%

29%

2000 2011 2000 2011 2000 2011 2000 2011 2000 2011

J30-60 J61-90

ASM by Segment

Source: OAG

United: potentialCO scope relief

75 to 100 units J61-90

AA: changes expected in theshort term (Chapter 11)

Trend towards larger J75 ~70% of regional capacity

Ri ht i i O t iti USA


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s written consent

Right-sizing Opportunities - USA

2011 US Domestic Narrowbody Operations

Source: OAG

Nearly 35% of all NBs flights withdemand more suitable for 70-120 seat jets

5%

28%27%

21%19%

R l t O t iti W ld


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s written consent

Replacement Opportunities - World

Source: OAG (Mar/2012 ; Passenger, Active in Service, Scheduled Services)

(Jets 61-120 seats)

Nearly 900 aircraft with more than 15 years old


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s written consent

30 to 120-Seat Commercial Jet Deliveries

USD 320 billion list price market value

Market Outlook 2011-2030

30-60 seats 15 415 430

2011-2020 2021-2030 2011-2030

61-90 seats 1,265 1,405 2,670

91-120 seats 1,845 2,280 4,125

TOTAL 3,125 4,100 7,225


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s written consent

7,225jet deliveries by world region (30-120 seats)

2,350 North America 33%

1,675 Europe 23%

975 China 13%

670 Latin America 9%

615 Asia Pacific 8%

435 Russia/CIS 6%

310 Middle East 4%

195 Africa 3%

Market Outlook 2011-2030


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s written consent

E-JetsProduct

Development

Commitment

to Leadership

Market Share Wo ld (Jets 61 120 seats)


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s written consent

Market Share - World (Jets 61-120 seats)

Considering accumulated Net Orders up to Mar/2012.

Embraer: 170/175/190/195 Sukhoi: Superjet 100Bombardier: CRJ700/900/1000; CS100 Comac: ARJ-21Airbus: A318 Antonov: An-148/158Boeing: B737-600 Mitsubishi: MRJ90

E Jets Continuous Evolution Plan


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s written consent

E-Jets Continuous Evolution Plan

Interior

Avionics Advanced

Features

Stuctural and

Prognostics Health

Management

(SHM/PHM)

Increased

Maintenance Plan

Intervals

(750FH/7500FH)

Fuel Burn

Improvement Package

External Noise

Improvement Package

CPDLC

Steep Climb

Slim seat

Steep Approach

ADSB-out

DO-260A

Eletronic Flight

Bag (EFB)

2008 2009 2010 2011 2012 2013 2014 2015

ETOPS 120 E190

E170/E175 AR

Operational Envelope

extension:

-ISA+39 E170/E190

- 14,000ft (E190)


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s written consent

Future product studies (couple months ago)

E-Jets G2

New Platform

Maintain Leadership in the

70 to 120-seat segment

Enter into a new segment to

enlarge product portfolio


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Now: total focus in the E-Jets G2

E-Jets G2

Maintain Leadership in the

70 to 120-seat segment

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