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EMBRAER REPORTS THIRD-QUARTER 2004 DELIVERIES AND ANNOUNCES NEW 2004 AND 2005
DELIVERY FORECASTS
Sao Jose dos Campos, October 20, 2004 - Embraer (Bovespa: EMBR3 and EMBR4; NYSE:
ERJ) today announced its third-quarter 2004 deliveries for the Airline,
Corporate and Defense markets.
Deliveries by segment were as follows:
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Deliveries by Segment 3rd Quarter YTD
2004 2004
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Airline Market
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ERJ 145 25 64
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EMBRAER 170 13 36
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Total Airline Market 38 100
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Corporate Market
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Legacy 2 5
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Total Corporate Market 2 5
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Defense (*)
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EMB 145 0 1
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Total Defense Market 0 1
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Total 40 106
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(*)Includes only deliveries for government authority transportation.
On September 12, 2004 North American airline US Airways filed voluntary
petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. US
Airways signed a contract in May 2003 for the purchase of 85 EMBRAER 170
aircraft.
Embraer had delivered 22 EMBRAER 170 aircraft to US Airways by September 13,
2004. These deliveries have been temporarily suspended until the airline's
situation becomes clear.
After the end of the quarter, American Eagle reached a tentative agreement with
Embraer to cancel its last 18 ERJ 145 regional jet aircraft deliveries, which
were planned to go from July 2005 to February 2006.
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The third quarter of 2004 was marked by the signature by Air Canada of a
purchase agreement containing 45 firm orders and 45 options for the EMBRAER 190
aircraft. This announcement confirmed the commercial proposal signed by Air
Canada in December 2003 and allowed Embraer to add 45 new firm orders and 45
options to its orderbook.
In light of the above described scenario, Embraer is revising its total
deliveries forecasted for the years 2004 and 2005, which change to 145 aircraft
for both years.
As of September 30, 2004, Embraer's total firm order backlog, including the
Airline, Corporate and Defense markets totaled US$ 11.0 billion. The backlog
including options reached US$ 29.5 billion. As the American Eagle agreement has
not been finalized, it is not reflected in Embraer's third-quarter orderbook.
Embraer's Airline Market order book by product in September 30, 2004, was as
follows:
<Table>
<Caption>
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Product Firm Options Deliveries Firm Order
Orders Backlog
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Commercial Airline Market
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ERJ 145 Family
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ERJ 135 124 3 105 19
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ERJ 140 94 20 74 20
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ERJ 145 704 408 595 109
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Total ERJ 145 Family 922 431 774 148
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EMBRAER 170/190 Family
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EMBRAER 170 155 148 36 119
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EMBRAER 190 155 215 - 155
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EMBRAER 195 15 20 - 15
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Total EMBRAER 170/190 325 383 36 289
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Total Commercial Airline Market 1,247 814 810 437
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Embraer Image Gallery
- ---------------------
You can download images of Embraer products in different resolutions, accessing
directly the Embraer Image Gallery at http://www.embraer.com.
Note to Editors
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Embraer (Empresa Brasileira de Aeronautica S.A. - NYSE: ERJ; Bovespa: EMBR3 and
EMBR4) is the world's leading manufacturer of Commercial jets up to 110 seats
with 35 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 Sao Jose dos Campos, state of Sao Paulo,
the Company has offices and customer service bases in Australia, China, France,
Singapore and the United States. Embraer is among Brazil's leading exporting
companies. As of September 30, 2004 Embraer had a total workforce of 14,541
people, and its firm order backlog totaled US$ 11.0 billion.
IR Contacts
- -----------
Anna Cecilia Bettencourt
Daniel Bicudo
Milene Petrelluzzi
Paulo Ferreira
Phone: 55 (12) 3927 1216
Fax 55 (12) 3922 6070
e-mail: investor.relations@embraer.com.br
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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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Press Headquarters North America Europe, Middle East
offices Rosana Dias: Doug Oliver: and Africa
rosana.dias@embraer.com.br doliver@embraer.com Stephane Guilbaud:
Cell: +55 12 9724-4929 Phone: +1 954 359 3414 sguilbaud@embraer.fr
Phone: +55 12 3927 1311 Cell: +1 954 232 9560 Phone: + 33 (0) 1 49 38 44 55
Fax: + 55 12 3927 2411 Fax: +1 954 359 4755 Cell. +33 (0) 6 75 22 85 19
Fax: + 33 (0) 1 49 38 44 56
Andrea Bottcher:
abottcher@embraer.com Catherine Fracchia
Phone: +1 954 359 3432 cfracchia@embraer.fr
Cell: +1 954 439 1830 Phone: +33 (0) 1 49 38 45 30
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Attachment:
FIRM ORDER BACKLOG
COMMERCIAL AVIATION MARKET
September 30, 2004
<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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ERJ 135 124 105 19
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American Eagle USA 40 40 -
British Midland United Kingdom 4 2 2
City Airline AB Sweden 2 2 -
Continental USA 30 30 -
Flandair France 3 3 -
Jet Magic Ireland 1 1 -
Luxair Luxembourg 2 - 2
Pan Europeenne France 1 1 -
Proteus France 3 3 -
Regional Airlines France 3 3 -
Republic Airways USA 15 15 -
South Africa Airlink South Africa 20 5 15
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</Table>
<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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ERJ 140 94 74 20
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American Eagle USA 59 59 -
Midwest USA 20 - 20
Republic Airways USA 15 15 -
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<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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ERJ 145 704 595 109
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Aerolitoral Mexico 5 3 2
Air Caraibes Guadeloupe 2 2 -
Alitalia Italy 14 14 -
American Eagle USA 136 88 48
Axon Greece 3 3 -
British Midland United Kingdom 11 9 2
British Regional Airlines United Kingdom 23 23 -
Brymon United Kingdom 7 7 -
China Southern China 6 3 3
Cirrus Germany 1 1 -
Continental USA 245 211 34
ERA Spain 2 2 -
Flandre Air France 7 5 2
GECAS Thailand 2 2 -
KLM EXEL Holland 2 2 -
Lot Poland 14 14 -
Luxair Luxembourg 9 9 -
Mesa USA 36 36 -
Portugalia Portugal 8 8 -
Proteus France 11 8 3
Regional Airlines France 17 14 3
Republic Airways USA 68 56 12
Rheintalflug Austria 3 3 -
Rio Sul Brazil 16 16 -
Sichuan China 5 5 -
Skyways Sweden 4 4 -
Swiss Switzerland 25 25 -
Transtates USA 22 22 -
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</Table>
<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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Embraer 170 155 36 119
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Aircaraibes Guadeloupe 2 - 2
Alitalia Italy 6 6 -
Cirrus Germany 1 - 1
Finnair Finland 12 - 12
Gecas USA 5 4 1
Lot Polish Poland 6 2 4
Republic Airline USA 23 2 21
Swiss Switzerland 15 - 15
US Airways USA 85 22 63
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<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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Embraer 190 155 - 155
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Air Canada Canada 45 - 45
Jet Blue USA 100 - 100
Copa Panama 10 - 10
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</Table>
<Table>
<Caption>
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Firm Order
Program / Customer Country Firm Orders Deliveries Backlog
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Embraer 195 15 - 15
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Swiss Switzerland 15 - 15
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</Table>