1. 4Q03 and Full Year of
2003 Earnings Results
EMBRAER
Maurício Botelho
President & CEO
March 18th, 2003

2. Forward Looking Statement
This presentation 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 and our future financial performance. 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 market.
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 presentation
might not occur. Our actual results could differ substantially from those anticipated in our
forward-looking statements.

3. 2003 Highlights

4. Environmental Highlights
Worldwide Aviation Industry continued to experience great
difficulties in 2003. Combined with the after effect of the war in
Iraq and the SARS, caused full recovery of world airline traffic to
be further postponed;
Commercial Aviation experienced its greatest crisis, with major
airlines accumulating losses the worldwide;
High risk rating for the industry, led to a lack of funds available
for structuring sales financing.

5. Environmental Highlights
“Low-fare, low-cost” and regional airlines stood out in this
adverse scenario, with their consistent and profitable growth;
Several companies are considering including new 50- to 100-
seat commercial jet aircraft in their plans for recovery and
modernization.

6. Highlights
Backlog
Firm backlog increased from
10,7 10,6
US$ 9.0 billion to US$ 10.6 billion;
9,0
2001
2002
2003
Net Cash
US$ 136 million net income and US$2,144
million in sales
222
104
Net cash doubled, reaching US$222
(22)
million;
2001
2002
2003 AR
Short term accounts receivable decreased
48%, reaching US$ 356 million. 597 736
356
2001
2002
2003

7. Commercial Aviation - Highlights
The Mexican airline Aerolitoral placed five firm orders and 25
options for the ERJ 145, with first deliveries projected for 2004;
Firm order for 85 EMBRAER 170s and 50 options by US
Airways;
Firm order for 100 EMBRAER 190 aircraft and 100 options by
JetBlue;

8. Commercial Aviation - Highlights
Others agreements in 2003 with LOT Polish Airlines, with the
German Cirrus and with an undisclosed customer, involving a
total of 17 firm orders and 22 options for the EMBRAER 170;
Air Canada signed a proposal for the purchase of 45
EMBRAER 190 aircraft and options for an additional 45 units.
Embraer’s Market Share:
30 to 60 seats 45 %
61 to 90 seats 33 %
91 to 120 seats 23 %

9. Commercial Aviation - Highlights
Postponement of ERJ 145 XR deliveries to ExpressJet
(Continental Express), a decrease to 36 units from 48 in 2003;
SWISS deferred the EMBRAER 170 deliveries for one year
and reduced the total number of aircraft on order to 30 firm
orders from 60 (15 EMBRAER 170 and 15 EMBRAER 195),
and to 20 options from 100;
The EMBRAER 170 type certification postponement by the
Brazilian, US, and European regulators forced Embraer to
readjust its delivery schedules;

10. Corporate Aviation - Highlights
Legacy was certified in a modular interior concept;
New Legacy executive version range is 3,250 nautical miles.

11. Corporate Aviation - Highlights
The first aircraft sale to a Swiss company and the first sale to
a fractional ownership company, Flight Options;
The American company Indigo cancelled its contract in May for
23 firm orders and 50 options for the shuttle version of the
Legacy;

12. Defense - Highlights
The first EMB 145 AEW&C aircraft
ordered by the Mexican government
introduced to the Mexican authorities
and performed its first flight
The delivery of the first EMB 145
AEW&C to the Greek air force’s
European subcontractor;
Delivered the three remaining ISR
aircraft to the Brazilian SIVAM
Program;

13. Defense - Highlights
Announced intention to open an industrial plant in Jacksonville,
Florida for the assembly of aircraft for the United States
defense and national securities markets;
Joined the Lockheed Martin team for its proposal to supply the
U.S. Army with a next-generation of Aerial Common Sensor
(ACS);
Sale of five especial version Legacy Aircraft to the Indian
Government
A contract was executed in December for the sale of two ERJ
145 aircraft to SATENA, a Colombian state-owned airline;

14. Industrial Highlights
Two EMBRAER 175 Prototypes flew
in 2003;
The first EMBRAER 190 completed
fuselage assembly in October;
The first ERJ 145 aircraft produced by
Harbin Embraer Aircraft Industry
Company Ltd – HEAI, was rolled out
and took its maiden flight;

15. Industrial Highlights
The serial production of the ALX Super Tucano aircraft ordered
by the Brazilian Air Force began at the Gavião Peixoto industrial
plant;
Delivered to Alitalia Express
the 700th aircraft of the ERJ
145 family;
EMBRAER 170 receives
provisional type certificate from
CTA and FAA;
The ERJ 135 was certified to operate at London City airport in
England;

16. Financial - Highlights
Concluded a EETC Continental transaction in the U.S. Capital
Markets envolving its receivables guaranteed by the ERJ 145 XR.
US$414.6 million total amount - four times over subscribed.
US$200 million 7-year term syndicated loan, with commercial and
political risks guaranteed NEXI, the Japanese export credit
agency;
Accounts Receivables decreased 52%, from US$736 million in
2002 to US$356 million in 2003. Result achieved mainly due to
the BNDES support in financing a significant part of Embraer’s
exports.

17. Results &
Performance

18. Delivery of jets
160 161
131
101
96
59
32
4
1996 1997 1998 1999 2000 2001 2002 2003

19. Net Revenues and Gross Margin
US$ million
39.6% 39.4%
32,0% 37.7%
32,0%
28,3%
2,927.0
2,762.2
2,525.8
2,143.5
1,837.3
1,353.5
1998 1999 2000 2001 2002 2003
77% 36% 50% 6% -14% -15%
Annual
Variation

20. Net Revenue per Segment and Market
REVENUES PER SEGMENT GEOGRAPHIC BREAKDOWN
FY2003 FY 2003
Brazil
5%
Customer
Commercial Services and
Aviation other related
69% business
8%
Executive
Aviation Exports
11%
95%
Defense
Aviation
12%

21. Income from Operations
US$ million
22.3%
20.0%
18.6%
16.7% 651.4
12.7%
462.1 469.6 12.8%
368.0
274.9
171.7
1998 1999 2000 2001 2002 2003
Annual
250% 114% 26% 41% -28% -41%
Variation

22. Net Income
US$ million
12.8%
11.6%
11.2%
10.7% 320.7 328.4 8.8%
234.5 222.6
6.3%
145.3 136.0
1998 1999 2000 2001 2002 2003
Annual
Variation 4,618% 61% 37% 2% -32% -39%

23. Debt
Total Debt of US$1,043.7 million
Brazilian Currency
24%
Foreign Currency
76%
Considering Currency Swaps:
Average cost in R$ = 16.7% pa (76.5% CDI)
Average cost in US$ = 4.6 % pa

24. Debt Maturity
In US$ million
Short Term
Long Term 50%
50%
517
101
1044 105
115
206
Total Short Term 2005 2006 2007 2008 on
Loan Average Maturity: 2 years and 2 months

25. Net Cash (Debt) Position
US$ million
733
222
104 43
-22
(212) (178)
-333
-415
1998 1999 2000 2001 2002 Mar.31, June Sep.31, Dec.31,
2003 31,2003 2003 2003

26. Short-term Trade Accounts Receivable
US$ million
981
913
790
736
597
356
160
117
1999 2000 2001 2002 Mar.31,2003 June 30, Sep. 30, Dec. 31,
2003 2003 2003

27. Inventories
US$ million
1127 1173
1038 1021 1029
880
773
616
1999 2000 2001 2002 Mar. 31, June 30, Sep. 30, Dec. 31,
2003 2003 2003 2003

28. Customers and
Orderbook

29. ERJ145 Family Orderbook
Firm Firm
Options Total Deliveries
Orders Backlog
ERJ 135 122 7 129 105 17
ERJ 140 94 20 114 74 20
ERJ 145 675 475 1150 531 144
Total 891 502 1393 710 181
December / 2003

30. EMBRAER 170/190 Family Orderbook
Firm Orders Options Total
EMBRAER 170 120 125 245
EMBRAER 190 110 150 260
EMBRAER 195 15 30 45
Total 245 305 550
It doesn’t include Air Canada order December / 2003

31. Backlog
US$ billion
28.1
Options 24.1 23.4
Firm Orders 22.2
17.7 17.5
12.7 12.7
13.2
11.3
4.1 11.4 10.7 10.6
3.0 9.0
1.2 6.4
3.0 4.1
1.2
1996 1997 1998 1999 2000 2001 2002 2003

32. Capex and
Productivity

33. PP&E & R&D
US$ million
173.2
PP&E 158.5
143.8
R&D
114.2 113.7 111.0
69.6 64.8
60.1
18.8
1999 2000 2001 2002 2003

34. Production Cycle
In Months
8.0
6.0 6.0
5.5
4.9 5.0
3.7
3.4
1996 1997 1998 1999 2000 2001 2002 2003

35. Planned Investments
US$ million 2004 2005
R&D Total 174 119
- Commercial Aviation 139 72
- Corporate Aviation 16 27
- Others 19 20
Defence 42 54
Productivity and PP&E 64 81
TOTAL 280 254
Defence Investments are funded by their contracts and are not included
in the R&D expenses, but in Cost of Sales and Services.

36. Jet Deliveries
170
160 161 160
131
96 101
59
32
4
1996 1997 1998 1999 2000 2001 2002 2003 2004 E 2005 E

37. Deliveries Forecast
160 expected deliveries for 2004 and 170 for 2005
12% 15%
35%
37%
53% 48%
2004 2005
ERJ 145 Family EMBRAER 170 Family Corporate

38. Investor Relations
Phone: 5512 3927-1216
investor.relations@embraer.com.br
www.embraer.com.br