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EMBRAER BREAKS GROUND FOR ITS NEW FACILITY IN PORTUGAL

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City of Évora welcomes Embraer to produce components of composite materials

São José dos Campos, July 26, 2009 – Embraer broke ground, today, for a new industrial unit to
be built in the city of Évora, Portugal. Participating in the event were the Prime Minister of
Portugal, José Socrates, and Embraer’s President & CEO, Frederico Fleury Curado, along with
the Mayor of Évora and other Portuguese Government officials.

The new 15,000-square-meter facility, scheduled for completion by the end of 2011, will be
dedicated to manufacturing complex airframe structures and components in composite materials.

“Today’s groundbreaking celebrates a milestone for Embraer, as it expands its global
presence,” said Frederico Fleury Curado, Embraer President & CEO. “This is a strategic step
towards improving our Company’s productivity and competitiveness. We are honored and
proud to strengthen our bonds with Portugal and, more widely, with Europe, one of our
largest and most important markets.”

The new composite material manufacturing facility will rely on state-of-the-art manufacturing
processes, in conjunction with the Company’s lean manufacturing initiatives. In order to
sustain and further develop the competencies of its centers of excellence, Embraer has been in
contact 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 consistent with Company’s economic and
financial projections.

“We are proud to celebrate this achievement for Portugal, as we progress in consolidating
our aerospace cluster,” said José Socrates, Prime Minister of Portugal. “The expansion of
Embraer in our country will be a big boost for the economic development of Évora and its
region, and will demonstrate the competence of our workforce and the ability of our country
to be involved in such a selective and demanding industry.”

About Évora

Évora is the capital of the Alentejo region (130 km south of Lisbon), in Portugal, and plays an
important role as an agricultural and services center. It is the home of several institutions that are highly important to the region, such as the state-run University of Évora and the district hospital.

Recently, Évora has developed the aerospace sector by creating a new 877,000-square-meter
Aerospace Industrial Park, located near the municipal airfield. Embraer will be the first investor.

Due 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 UNESCO World Heritage Site.


Astronauts Finish ISS Battery Changeout

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By Frank Morring, Jr.

Spacewalkers Chris Cassidy and Tom Marshburn were able to finish replacing the oldest set of batteries on the International Space Station July 24, catching up on a task that was halted abruptly on July 22 when the carbon dioxide level in Cassidy’s spacesuit started rising during the third extravehicular activity (EVA) of the STS-127 mission.

As a result, planners rewrote the timeline for the fourth EVA to accommodate the work left undone. Originally Cassidy and astronaut Dave Wolf were to have replaced four of the six batteries in the P6 truss element on July 22, leaving only two more for the July 24 spacewalk.

Although Cassidy’s carbon dioxide level rose slightly as the latest EVA drew to a close, it did not appear to be heading for unacceptable levels and he was allowed to continue working. Experts at Mission Control Center-Houston speculated that Cassidy overtaxed his lithium hydroxide scrubber early in the first EVA of his career on July 22, and counseled him to take it a little easier on his second trip out of the airlock, according to Holly Ridings, lead ISS flight director for the mission.

Cassidy and Marshburn returned to the July 22 worksite at the far port end of the truss and picked up where the third EVA left off. They pulled the old batteries out of the P6 truss, temporarily stowed them out of the way while they retrieved fresh units from the integrated cargo carrier (ICC) that carried the hardware to orbit, and then stowed the old batteries in the empty spaces on the ICC.

Once the work was completed, the station robotic arm pulled the ICC out of the way, and the two spacewalkers gathered their tools and headed back to the Quest airlock on the U.S. side of the station. In all they spent seven hours, 12 minutes on the EVA, which ended at 5:06 p.m. EDT.

On July 22, Cassidy and Wolf were ordered to leave most of their tools on the P6 element so Cassidy could get back onto station life support as quickly as possible.

Meanwhile, as the astronauts worked outside the station, controllers at Mission Control Center-Moscow guided the Progress 34P resupply capsule toward the station. The robotic spacecraft lifted off from the Baikonur Cosmodrome in Kazakhstan at 6:56 a.m. EDT July 24, loaded with 2.5 tons of food and other supplies for the six-person station crew. It is scheduled to dock with the ISS at 7:11 a.m. EDT July 29.

Endeavour is scheduled to undock from the station on July 28 to make way for the Progress vehicle, which will loiter in orbit until then, in keeping with flight rules prohibiting its docking while an orbiter is present at the station. Endeavour, which launched late because of weather at Kennedy Space Center, is leaving the station earlier than originally planned because of the conflict with the Russian vehicle.

Some packing and other work that normally would have been done in the orbiter before the hatches close will be shifted until after undocking to accommodate the early departure.

Photo of extravehicular activity: NASA


Plane Hits Wall At Iranian Airport, 16 Dead

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Thirteen of 16 people killed in a plane accident in northeastern Iran Friday were crew and the three others were passengers, Iran’s state television reported on Saturday.

The passenger plane, an Ilyushin Il-62 from Kazakhstan leased by Iran’s Aria Aviation Company, veered from the runway and hit a wall while landing at Mashhad’s Hasheminejad Airport.

Iranian media said 30 people were injured in the accident and they were being treated at three hospitals in the same city.

“Nine of the crew members killed in the incident were citizens of Kazakhstan and the remaining four were Iranians,” Reza Jafarzadeh, the spokesman of Iran’s aviation organization told the official IRNA news agency on Saturday.

There were 153 people on board the aircraft, which had flown to Mashhad from Tehran. Iran’s television showed images of the plane with its front completely damaged and said the accident was due to a malfunction in the aircraft’s wheels.

Iranian media reported that the pilot was among the dead.

State television said the flying license of Aria Aviation Company had been suspended until an investigation into the plane crash was completed.

Mashhad is a popular pilgrimage destination for Shi’ite Muslims who make up the majority of Iran’s population.

On July 15, a Russian-built Tupolev aircraft crashed in Iran on its way to Armenia, after catching fire mid-air and plowing into farmland killing all 168 people on board. That accident, in which six Armenian and two Georgian citizens were killed, was the worst plane crash in Iran for six years.

Air safety experts have said Iran has a poor record, with a string of crashes in the past few decades — many involving Russian-made aircraft.

US sanctions against Iran have prevented it from buying new aircraft or spares from the West, forcing it to supplement its fleet of old Boeing and Airbus planes with aircraft from the former Soviet Union.


Servisair Workers Forced To Release Managers

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Workers facing the sack from air cargo company Servisair released the two managers they held overnight at Paris Charles de Gaulle airport Friday after a court official intervened, trade union representatives said.

Around 60 workers had prevented Servisair Cargo directors Abderrahmane El-Aouffir and Andy Cowie from leaving the firm’s offices after they had refused to meet their demands for better layoff terms.

But workers released both men after a bailiff intervened on their behalf. Union representatives then headed to local law courts to try to negotiate improved redundancy terms with a court-appointed administrator and a government official.

The detention of the two managers was the latest case of so-called “boss-napping” to hit recession-bound France this year, prompting the government to urge restraint.

Servisair, a division of French industrial services group Derichebourg, which has 337 employees, went into administration in March.

The workers want EUR30,000 euro (USD$42,600) pay-offs, but unionists said El-Aouffir had offered them just EUR1,400 or transfers to new positions within the group as refuse collectors.

El-Aouffir told French television the situation had been tense. “I understand (the anger) but I don’t think this is the solution for finding a way out of the conflict,” he said.


American Raises Bag Check Fees For Domestic Flights

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American Airlines said Friday it would raise by USD$5 the fee it charges to check a first or second bag on domestic flights.

The new charges apply to tickets purchased on or after August 14. The higher fees will extend to American’s regional partner American Eagle.

The fee to check a single bag will be USD$20, and the fee to check a second bag will be USD$30.

US airlines, struggling to bolster revenue, have begun charging fees for items and services that used to be complimentary.

Earlier this week, Continental Airlines said it would raise its checked bag fee on domestic routes by USD$5, effective August 19, and said that other initiatives to raise revenue would follow.


Ottawa To Give Air Canada A Break On Pensions

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Canada’s Finance Minister Jim Flaherty is changing pension rules and giving cash-strapped Air Canada a 21 month moratorium on plugging a hole in its pension plan.

Canada’s biggest airline has asked the government to allow it to waive payments to fund a CAD$2.9 billion (USD$2.7 billion) deficit in its pension fund until April 2011. The company’s five unions have also agreed to the plan.

“That will be a 21 month moratorium with respect to the payment of additional capital into the pension plans,” Flaherty told reporters in Toronto.