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Tue, Jul 08, 2008

Embraer Delivers 97 Jets In First Half Of 2008

Firm Order Backlog Increased To $20.7 Billion US

Embraer announced this week it delivered 52 aircraft during the second quarter of 2008, closing out the first six months of the year with a record of 97 jets delivered. That's a 59% increase over the 61 airplanes delivered during the first semester of 2007.

The Brazilian planemaker adds its firm order backlog for the Commercial Aviation, Executive Aviation, and Defense and Government segments also ended the quarter at the highest level in its history, totaling US$ 20.7 billion.

During 2Q08, Embraer delivered 43 jets to the Airline Market and nine jets to the Executive Aviation segment. With 97 jets delivered during the first semester, Embraer reaffirms its estimate of delivering 195 to 200 jets in 2008 -- tending toward the higher figure -- as well as 10 to 15 Phenom 100 jets.

Embraer tells ANN measures implemented to optimize production processes has resulted in increasingly stable production rates, and on-time delivery commitments. The continuity reduces the differences in number of aircraft delivered from quarter to quarter, resulting in better financial planning and also less volatility on the company's cash flows.

During the second quarter of 2008, Embraer signed contracts for the sale of seven Embraer 170 jets to the ETA Star Group, from Dubai and for five Embraer 175 jets to TRIP Linhas Aereas, which is one more Brazilian airline that will fly Embraer jets. In the Defense and Government area, the Company signed a contract with the Brazilian government for the sale of two Embraer 190 jets configured for transporting government officials. Furthermore, Executive AirShare, of Kansas City, MO increased its order for Phenom 300 jets to four firm orders and four options.

Embraer says its newly-introduced Phenom executive jets continued to show positive sales results, with the number of firm order contracts approaching 800 aircraft. The certification program of the Phenom 100 is on schedule and has four prototypes flying for the certification tests.

FMI: www.embraer.com

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