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18/10/2006

EMBRAER SELLS 16 PHENOM JETS TO EAGLE CREEK AVIATION SERVICES

São José dos Campos, October 18, 2006 - Embraer announced that Eagle Creek Aviation Services, a full-service provider of aircraft sales, management and maintenance services, has purchased 12 Phenom 100 and four Phenom 300 jets, with options for an additional five units that can be converted into either aircraft model. The first delivery will take place at the end of 2008 and the aircraft will be managed, serviced and operated by Eagle Creek. The contract has a total value of approximately US$ 61 million.

We were so impressed with the value propositions of both the Embraer Phenom 100 and Phenom 300 jets that we wanted to be able to offer them to our clients,” said Matt Hagans, CEO of Eagle Creek. “Not only are these best- in-class aircraft, but Embraer as a company is a great partner whose dedicated people helped us make this opportunity available to our customers.”

Earlier this week, at the 59th Annual Meeting & Convention of the National Business Aviation Association (NBAA), in Orlando (October 17- 19), Florida, U.S., Embraer announced Eagle Creek as one of the service and maintenance centers for the Embraer Phenom family, as part of the expansion of its Authorized Service Center Network in the U.S..

Embraer is honored by Eagle Creek’s selection of the Phenom 100 and Phenom 300 jets as they continue to expand award-winning services to their customers,” said Luís Carlos Affonso, Executive Vice-President, Executive Jets. “We look forward to this new relationship with Eagle Creek, both as a customer and as a recently-announced authorized service center.”

About Eagle Creek Aviation

Eagle Creek Aviation Services is the nation’s premiere Twin Commander sales and service center and is one of the Midwest’s regional leaders in Learjet, Citation and Cirrus sales and service. The company also operates an FBO at Eagle Creek Airport in Indianapolis and an aircraft charter and management subsidiary: First Wing Aviation.

About Embraer Phenom Jets

The Phenom 100 and the Phenom 300 jets are best-in-class. Premium comfort, outstanding performance and low operating costs are key design drivers for these jets. Both aircraft will offer pilots and passengers the comfort and style previously unknown in their categories. The relaxing ambience is enhanced by the size of the generous windows and the most ample cabin in their class. Onboard conveniences include a wardrobe or refreshment center, an aft cabin private lavatory with toiletry cabinet, and satellite communications.

The pilot-friendly cockpit and the docile flight characteristics of the two new aircraft will enable single-pilot operation. Drawing from Embraer’s design and engineering heritage, the Phenom 100 and the Phenom 300 will be built for high utilization and availability. For added safety and reliability both jets will offer a standard brake-by-wire system with anti- skid capability.

Based on Garmin’s all-glass, fully-integrated avionics suite, the Prodigy flight deck offers Phenom Jet operators more advantages than any other avionics suite on today’s market.

The pilot-friendly cockpit features three interchangeable 12-inch displays – two Primary Flight Displays (PFD) and one Multi-Function Display (MFD). The system integrates all primary flight, navigation, communication, terrain, traffic, weather, engine instrumentation, and crew-alerting system data and presents the composite information in brilliant, sunlight- readable color on three high-definition displays.

The Phenom 100 jet will comfortably accommodate four passengers in the club seat configuration. Its large baggage capacity of 55 cubic feet (1.56 cubic meters) is roomy and will conveniently transport passengers’ luggage, golf bags and skis.

The Phenom 100 is powered by two Pratt & Whitney Canada PW617F engines with 1,615 pounds of thrust each. Its range with four occupants onboard will be 1,160 nautical miles (2,148 km or 1,335 miles) with NBAA IFR reserves, 35 minutes, and 100 nm alternate; or 1,320 nautical miles (2,445 km or 1,519 miles) with NBAA VFR reserves, 45 minutes. The Phenom 100 is capable of flying at 41,000 feet (12,497 m) with a maximum operating speed of Mach 0.70 and is designed for short-field takeoff performance. These characteristics will allow customers to fly nonstop from New York to Miami, from Los Angeles to Vancouver or Denver at a lower cost than competitive aircraft, including turboprops.

The Phenom 100 is priced at US$ 2.85 million, based on January 2005 economic conditions, for FAA certification, and is expected to enter service in mid-2008.

The Phenom 300 jet will be configured to accommodate up to nine occupants with a 76- cubic-foot (2.15-cubic-meter) baggage compartment.

The Phenom 300 is powered by two Pratt & Whitney Canada PW535E engines with 3,200 pounds of thrust each. Its range with six occupants onboard will be 1,800 nautical miles (3,334 km or 2,071 miles) with NBAA IFR reserves, 35 minutes and 100 nm alternate. The Phenom 300 is capable of flying at 45,000 feet (13,716 meters) with a maximum operating speed of Mach 0.78 and is also designed for short-field takeoff performance. These capabilities will permit customers to fly nonstop from New York to Denver or Santo Domingo (Dominican Republic); from Los Angeles to Detroit, Mexico City (Mexico) or Atlanta at a lower cost than competitive aircraft.

The Phenom 300 is expected to enter service in mid-2009 and is priced at US$ 6.65 million, based on January 2005 economic conditions, for FAA certification.

More details about Embraer’s executive jets and a complete Phenom mock-up tour calendar are available at www.embraerexecutivejets.com.

Note to Editors

Embraer (Empresa Brasileira de Aeronáutica S.A. - NYSE: ERJ; Bovespa: EMBR3) is the world’s leading manufacturer of Commercial jets up to 110 seats with 37 years of experience in designing, developing, manufacturing, selling and providing after sales support to aircraft for the Commercial Aviation, Executive Aviation, and Defense and Government segments. With headquarters in São José dos Campos, State of São Paulo, the Company has offices and customer service bases in the United States, France, Portugal, China and Singapore. Embraer is among Brazil’s leading exporting companies. As of September 30, 2006, Embraer had a total workforce of 18,336 people, and its firm order backlog totaled US$ 13.3 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 others: general economic, political 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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