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Embraer announced today the signature of a Memorandum of Understanding with Flight Options for the acquisition of up to four Legacy Executive. The aircraft are slated for entry into operation immediately upon final contract signing, expected to occur before year-end.

"Embraer is proud to have the Legacy Executive selected by Flight Options for addition to their fleet,” said Frederico Fleury Curado, Embraer’s Executive Vice-President, Civil Aircraft. “The Legacy is the ideal product for the demanding fractional market, due to its low operating costs and rugged reliability, proven by over 4 million hours of operation of the ERJ 135/140/145 family. Flight Options' choice of the Legacy Executive acknowledges the value that Embraer has brought to the market with this product."

“As Flight Options continues to provide our owners with the most choices in business aircraft, we view the Legacy as the perfect compliment to the Flight Options fleet,” said John Nahill, chairman and chief executive officer of Flight Options. "The Legacy delivers the performance, range and passenger space of a larger cabin aircraft, but with the Occupied Hourly Rate of a super mid-size aircraft. This aircraft will afford us the large cabin capacity that our customers desire.”

The Legacy family consists of the Legacy Executive, with a range of 3,250 nm (8 pax, 0.74 Mach, NBAA reserves) in a 13-seat configuration; the Legacy Shuttle (16-19 seats, 1,840 nm range) and the Legacy Shuttle HC (30-37 seats, 1,840 nm range).

Bolstered range, added fuel capacity, aerodynamic enhancements and a wealth of new standard features are part of the Legacy Executive. The latest range marks come from increased fuel capacity, aerodynamic improvements, and higher engine thrust. Aerodynamic improvements include the removal of windshield wipers, redesign of fairings and air inlets, leading edges polishing, and surfaces smoothing resulting in significant drag reduction, fuel economy and extended autonomy.

Based in Cleveland, Ohio, Flight Options is the world’s fastest growing fractional provider and employs over 1,300 professionals across the USA. Flight Options offers fractional shares and leases in its fleet of over 220 aircraft.

Note to Editors

Embraer (Empresa Brasileira de Aeronáutica S.A. - NYSE: ERJ; Bovespa: EMBR3 and EMBR4) is a major aerospace company with 34 years of experience in designing, developing, manufacturing, selling and providing after sales support to aircraft for the global airline, defense and corporate markets. With headquarters in São José dos Campos, state of São Paulo, and offices and customer service bases in Australia, China, France, Singapore and the United States, the Company, as of the end of the 3rd Quarter 2003, has a total workforce of 12,607 people. Embraer is among Brazil’s leading exporting companies. As of September 30, 2003 Embraer’s firm order backlog totaled US$ 10.4 billion.

This document may contain projections, statements and estimates regarding circumstances or events yet to take place. Those projections and estimates are based largely on current expectations, forecasts on future events and financial tendencies that affect the Company’s businesses. Those estimates are subject to risks, uncertainties and suppositions that include, among other: general economic, politic and trade conditions in Brazil and in those markets where the Company does business; expectations on industry trends; the Company’s investment plans; its capacity to develop and deliver products on the dates previously agreed upon, and existing and future governmental regulations. The words “believe”, “may”, “is able”, “will be able”, “intend”, “continue”, “anticipate”, “expect” and other similar terms are supposed to identify potentialities. The Company does not feel compelled to publish updates nor to revise any estimates due to new information, future events or any other facts. In view of the inherent risks and uncertainties, such estimates, events and circumstances may not take place. The actual results can therefore differ substantially from those previously published as Company expectations.

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