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Brazilian aircraft manufacturer Embraer today announced the signing of a contract with the Government of Greece for the supply of one executive aircraft Legacy, plus one option. The first delivery is expected for December of the current year. This aircraft will join the sole ERJ 135 currently used for transporting ministers and authorities of the Greek Government.

It is truly satisfying and an honor for us to have our aircraft serving the Greek Government", said the President and CEO for Embraer Maurício Botelho. "The performance of the ERJ 135, which has been operated in that country transporting Government's authorities throughout Greece and other countries in Europe for over one year now, was certainly a leveraging factor of this new sale", added he.

"Embraer", said also Maurício Botelho, "has another ongoing contract with the Greek Government for firmly supplying, together with partners Ericsson and Thales, four sophisticated airborne early warning and control EMB 145 AEW&C aircraft for the country's Defense Ministry. The deal also considers the possibility of two more options."

The Legacy was launched into market in July 2000 at the Farnborough Air Show and was introduced as the corporate jet of the new economy. The Legacy was built with both comfort and fuel capacity in mind, as well as its cost-effectiveness, as it aims the Executive, Corporate, and Authorities Transport markets. By redesigning the successful ERJ 135 regional jet, the Legacy combines high technology with affordability and a high level of safety, reliability and dispatchability. The new aircraft is expected to result in a superior jet level flight at turboprop costs. First delivery of the Legacy aircraft, in Executive version, is expected to December 2001. The Legacy has logged a total of 36 firm orders and 34 options as of July 31, 2001.

Note to editors

Embraer (NYSE: ERJ; Bovespa: EMBR3 and EMBR4) is the world's fourth largest commercial aircraft manufacturer and is headquartered in São José dos Campos, state of São Paulo, with offices and customer service bases in Australia, China, France, Singapore and the United States, and a total workforce of 13,000 people. Embraer (Empresa Brasileira de Aeronáutica S.A.) is Brazil's largest exporter for the two preceding years and in the first semester of 2001; as of June 30th, 2001 its backlog for firm orders amounts to US$ 10.7 billion and US$ 12.8 billion in options.

Embraer has 32 years of experience in designing, developing, manufacturing, selling and providing after sales support to aircraft aimed for the world airline, corporate and defense markets.

This press release 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. 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 markets; anticipated trends in our industry; our expenditure plans; our ability to develop and deliver our products on a timely basis; and existing and future governmental regulation. 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 press release might not occur. Our actual results could differ substantially from those anticipated in our forward-looking statements.

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