Embraer Starts Construction of its Composite Facility in Portugal

São José dos Campos, November 23, 2010 – Embraer has commenced the first phase of its new construction project in Évora, Portugal, a 330,000-square-foot (30,660-square-meter) facility dedicated to manufacturing complex airframe structures and components in composite materials. The completion of this unit is scheduled for the end of 2011, while the production phase will start in 2013. Embraer has also selected Portuguese building contractor Ramos Catarino S.A., based in Febres, for the excavation work, foundations and infrastructures.

“We are delighted to start the construction of the first part of our new center of excellence in Portugal,” said Luiz Fuchs, President of Embraer Aviation Europe (EAE). “The construction of the second unit, dedicated to the production of metallic airframe structures, will begin, shortly. Meanwhile, we are progressing with the selection of suppliers.” The new manufacturing facility will rely on state-of-the-art processes, in conjunction with the Company’s lean manufacturing concepts. In order to sustain and further develop the competencies of its center of excellence in composite materials, Embraer continues its work with local organizations, including potential suppliers, research centers, and universities.

This facility represents an estimated total investment of € 48 million, which is fully integrated with Embraer’s long-term planning and budget, and is consistent with the Company’s economic and financial projections.

About Évora

Évora is situated in Portugal’s Alentejo region (130 kilometers south of Lisbon) and is the capital of the Alto Alentejo Province. It plays an important role as an agricultural and services center, and is home to several institutions that contribute greatly to the region. These include the state-run University of Évora and the district hospital. Recently, Évora developed an aerospace sector by creating a 9.4 million-square-foot (873,290-square-meter) aerospace industrial park, located near the municipal airfield. Embraer will be the first investor.

Owing to its well-preserved old town center, which is still partially enclosed by medieval walls, and a large number of monuments dating from various historical periods, including a Roman temple, Évora is a United Nations Educational, Scientific and Cultural Organization (UNESCO) World Heritage Site.

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