Embraer Discloses Detailed 20-Year Airline Market Forecast at Asian Aerospace 2006 in Singapore

Embraer Discloses Detailed 20-Year Airline Market Forecast at Asian Aerospace 2006 in Singapore

February 21, 2006

For Three Consecutive Years, Embraer Has Offered Global and Regional Information Related to Commercial Air Transport and Delivery Projections by Geographical Region and Aircraft Capacity

    SAO JOSE DOS CAMPOS, Brazil, Feb. 21 /Xinhua-PRNewswire/
-- Embraer (NYSE: ERJ) will distribute a detailed version of
its 2006-2025 Market Outlook at a press conference to be
held on the opening day of Asian Aerospace 2006.  The show
is in Singapore, in the Asia Pacific region, which,
together with China, will represent one-third of world air
traffic demand by 2025.

    The 20-year forecast, focused on the increasingly
important segment of commercial jet aircraft from 30 to 120
seats, details the new aircraft deliveries required to
sustain projected air travel demand growth and to replace
ageing fleets. It addresses the capacity shift between
business models as a result of regional airlines' natural
growth, right-sizing requirements from network airlines and
low-cost carriers' expansion to mid-sized markets.

    According to the forecast, increased air travel demand
will be supported by a positive economic scenario,
continued globalization and liberalization of world
economies associated with continuous reductions in average
ticket prices.  The world economy, as measured by Gross
Domestic Product, will grow on average 3 percent per year
in the 2006-2025 period, and air travel demand will grow
faster, averaging 5.1 percent. Asia Pacific's passenger
demand, supported by liberalization, and China's, by strong
economic growth, will grow above world rates, averaging 6-7
percent per year.

    Embraer foresees global demand for 7,950 jets in the 30
to 120-seat capacity segment over the next 20 years. This
market is valued at approximately US$ 180 billion.  Asia
Pacific and China will represent 13 percent of projected
world deliveries in this segment, accounting for 1,000
aircraft.


    Market Segment (Seats) 2006-2025 -- Projected Aircraft
Deliveries

                          Asia Pacific     China      
Total
    30-60                       40          180         
220
    61-90                      185          210         
395
    91-120                     185          200         
385
    Total                      410          590       
1,000


    The Embraer Market Outlook 2006-2025 report is
available online at http://www.embraer.com/outlook .

    Embraer Image Gallery
    Visit the Embraer Image Gallery at
http://www.embraer.com .

    About Embraer

    Embraer (Empresa Brasileira de Aeronautica S.A.) (NYSE:
ERJ) (Bovespa: EMBR3 EMBR4) is the world's leading
manufacturer of commercial jets up to 110 seats with 36
years of experience in designing, developing,
manufacturing, selling and providing after-sales support to
aircraft for the global airline, defense and business jet
markets.  With headquarters in Sao Jose dos Campos, state
of Sao Paulo, the Company has offices and customer service
bases in the United States, France, Portugal, China and
Singapore. Embraer is among Brazil's leading exporting
companies.  As of December 31, 2005, Embraer had a total
workforce of 16,953 people, and its firm order backlog
totaled US$ 10.4 billion.

    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 others: general economic,
political 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.

    For more information, please contact:

    In Brazil
     Rosana Dias of Embraer
     Tel:    [phone]
     Mobile: [phone]
     Fax:    [phone]
     Email:  [e-mail]

    North America
     Betsy Talton of Embraer
     Tel:    [phone]
     Mobile: [phone]
     Fax:    [phone]
     Email:  [e-mail]
 
    Europe, Middle East and Africa
     Stephane Guilbaud of Embraer
     Tel:    [phone]
     Mobile: [phone]
     Fax:    [phone]
     Email:  [e-mail]

     Catherine Fracchia of Embraer
     Tel:    [phone]
     Mobile: [phone]
     Fax:    [phone]
     Email:  [e-mail]

SOURCE  Empresa Brasileira de Aeronautica S.A.