Chile’s Air Force Declares Its Intention to Acquire Six of the Military Transport Jets

24 August 2010, São José dos Campos -- Embraer took part in a ceremony, today, in Santiago, Chile, where the Brazilian and Chilean Defense Ministers signed a Declaration of Intention for that country’s participation in the program of the KC-390 military transport jet. Based on this agreement, Chile’s National Aeronautical Enterprise (Empresa Nacional de Aeronáutica –ENAER) becomes engaged in the discussions about the development of the airplane and in supplying part of its structure. The declaration also marks the beginning of negotiations regarding the future acquisition of six KC-390 aircraft to equip the Chilean Air Force (FACH).

“We recently received an unmistakable show of support for the KC-390 from the Brazilian government, with the declaration of intention for an initial acquisition of 28 of the aircraft by the Brazilian Air Force (FAB). We are very pleased to have Chile join is in this program,” said Orlando José Ferreira Neto, Embraer Executive Vice President, Defense Market. “We have an excellent relationship with ENAER, and we hope to see it grow even more via this partnership that not only reveals the high regard of the Chilean government for the KC-390, which we consider to be a winning product, but also shows our mutual interest in integrating the defense industrial bases of both countries.”

The successful partnership between Brazil and Chile dates back to the ‘90s, when ENAER began to stand out as a supplier of structures for the 50-seat ERJ 145 regional jet, manufactured by Embraer. In 2008, the FACH ordered 12 Super Tucano airplanes by Embraer for pilot tactical training missions, all of which have been delivered and are in operation.

“We are very pleased and proud to see that the quality of the work done by our personnel is being recognized, thus allowing use to participate in this new and relevant program forproducing an aircraft like the KC-390,” satated ENAER’s CEO, General Pedro Bascuñan. “Participating in the project brings benefits not only to Embraer and ENAER, but also to both nations, by generating jobs and boosting industrial development. The possibility of working together on the KC-390 program comes as an important alternative for stimulating the manufacture of aeronautical structures in our facilities. We are grateful for the interest show by Embraer in working with us, every time they begin developing new aircraft, whether civilian, commercial, or military.”

Last July, at the Farnborough International Air Show, in England, Embraer and the FAB announced the intent of the Brazilian government to make an initial purchase of 28 KC-390 jets to renew the Air Force fleet. The agreement released today marks a new phase in the relationship between the two nations and between Embraer and ENAER.

Embraer (Empresa Brasileira de Aeronáutica S.A. - NYSE: ERJ; BM&FBovespa: EMBR3) is the world’s largest manufacturer of commercial jets up to 120 seats, and one of Brazil’s leading exporters. Embraer’s headquarters are located in São José dos Campos, São Paulo, and it has offices, industrial operations and customer service facilities in Brazil, China, France, Portugal, Singapore, and the United States. Founded in 1969, the Company designs, develops, manufactures and sells aircraft for the commercial aviation, executive aviation, and defense segments. The Company also provides after sales support and services to customers worldwide. On June 30, 2010, Embraer had a workforce of 16,781 employees – not counting the employees of its partly owned subsidiaries – and its firm order backlog totaled US$ 15.2 billion.

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