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Slightly less than a year after it was launched the Legacy business jet has achieved many of its flight-testing and evaluation milestones. Although some trials will be performed overseas, these are expected to run smoothly and rigorously according to schedule.

The first Legacy trials aircraft was suitably modified to allow it to execute primarily flight handling and quality characteristics. Performing its first flight during the last quarter of 2000, that aircraft was joined on March 31st of 2001 by a dedicated Legacy prototype, thus speeding the entire flight evaluation and test program in that it is tasked mostly with systems trials. The first production Embraer Legacy will further bolster the flight evaluation and test program in the following weeks that aircraft being employed primarily towards certification of the main cabin interior configuration.

Although the Legacy is derived from the ERJ 135 regional jetliner, the basic airframe underwent a considerable number of changes that have essentially transformed it into a new aircraft. They include the addition of winglets and fuselage strakes, underbelly and cargo compartment tanks, higher-rated turbofan engines, new fuel system, higher MMO, an entirely new main cabin and a state-of-the-art avionics suite - among other items. Despite these wide-ranging modifications that entailed a specific flight evaluation and test program, these trials have been trouble-free and the Legacy is expected to receive its FAA and JAA airworthiness certificates within the established schedule.

The Legacy is Embraer's bid into the business and corporate jet aviation market. It combines comfort, range, speed and economy requirements that the corporate environment demands with a very competitive price, offering a true package value to the customers.

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 in Australia, China, France, Singapore and the United States, and a total workforce of over 12,200 people. Embraer (Empresa Brasileira de Aeronáutica S.A.) is Brazil's largest exporter for the two preceding years and has a firm backlog of US$ 10,7 billion and US$ 12.5 billion in options, as of May 31, 2001.

Embraer has over 31 years of experience in designing, developing, manufacturing, selling and providing after sales support to aircraft aimed for the world airline 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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