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Boeing 787 Dreamliner Side-of-Body Modification Progressing Well

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EVERETT, Wash., Oct. 16, 2009 – Today, Scott Fancher, vice president and general manager of the Boeing 787 Dreamliner program, issued this statement regarding the side-of-body modification:

“The design of the side-of-body solution is on track. Installations of the fittings are proceeding well and we are pleased with the progress we are making on this important effort. We continue to be on track to fly the 787 by the end of the year.”

A more detailed update will be provided on Oct. 21 during Boeing third-quarter earnings call.

Boeing Announces Senior Leadership Changes

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— Boeing Capital Corp.’s Walt Skowronski Announces Retirement
— Mike Cave Named Boeing Capital Leader, Beginning Jan. 1
— Shep Hill to lead Business Development & Strategy and Boeing International

CHICAGO, Oct. 15 /PRNewswire-FirstCall/ — Boeing Capital Corporation (NYSE: BA) President Walt Skowronski announced today that he will retire from the company at the end of the year.

Boeing has named Mike Cave to Skowronski’s leadership role, effective Jan. 1, reporting to Corporate President and Chief Financial Officer James Bell. Beginning today, Cave will assume the role of deputy to Skowronski to ensure a smooth transition of customer and investor relationships.

Shep Hill will assume Cave’s responsibilities as senior vice president of Business Development and Strategy, while retaining his role as President, Boeing International.

Skowronski, 60, who also serves as a Boeing senior vice president, has led Boeing Capital since November 2003. He has been credited with leading a successful restructuring of the wholly owned Boeing subsidiary that is primarily responsible for arranging, structuring and providing financing for Boeing’s commercial airplane, space and defense products. Skowronski previously served as Boeing’s senior vice president of Finance and Treasurer.

“The board and I appreciate Walt’s record of accomplishment, breaking new ground and building a solid financial base in the airplane financing market,” said Boeing Chairman, President and Chief Executive Officer Jim McNerney. “Thanks to his leadership and expertise, Boeing is better able to serve its customers and remains positioned solidly for continued market success.”

Cave, a 26-year company veteran, has led Boeing’s Business Development and Strategy team since November 2007 and has extensive experience in marketing and finance leadership roles in both commercial and defense businesses.

“Mike has tremendous knowledge of both Commercial Airplanes and Integrated Defense Systems operations and markets, as well as the mechanics of the financing for our products,” said Bell. “He also is well known to our customers, financiers and investors, and will make a great leader for Boeing Capital.”

Cave, 49, has previously served as senior vice president and chief financial officer of Commercial Airplanes and as vice president, Finance for Boeing Information, Space & Defense Systems. He has held a variety of other assignments across the company’s defense and commercial businesses.

Hill, 56, oversees the company’s international affairs and has leadership responsibilities for 20 Boeing in-country operations throughout the world. Prior to being named president of Boeing International, Hill oversaw the Business Development and Strategy organization for which he is reassuming leadership effective today.

“Shep has transformed Boeing’s international presence, leveraging the combined power of Boeing’s Commercial Airplanes and Integrated Defense Systems businesses in new fast-growing markets, all the while enhancing existing customer, government and supplier relationships around the world,” McNerney said. “His global vision and strong business development experience is a great combination for effectively leading two important assets for Boeing moving forward.”

Hill, a 22-year company veteran, also served previously as vice president of Business Development at Boeing Integrated Defense Systems (IDS) and was responsible for the development, integration and implementation of IDS customer and business strategies. Hill joined Boeing when the company acquired Rockwell’s Aerospace and Defense business in 1996.

Editor’s note: Biographies and photos of these Boeing executives can be found here

Boeing to Mentor Creative Management Technology for NASA Small-Business Program

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KENNEDY SPACE CENTER, Fla., Oct. 15, 2009 — Boeing [NYSE: BA] today announced that it will mentor Creative Management Technology Inc. (CMTI) as part of NASA’s Mentor-Protégé program at Kennedy Space Center (KSC). CMTI is a small business and a subcontractor on the U.S. space exploration program.

The goal of the NASA Mentor-Protégé program is to encourage major prime contractors to help small and diverse businesses enhance their ability to work on NASA contracts and subcontracts as part of a long-term business relationship. Boeing has a long-standing commitment to promote small business in central Florida and was the first prime contractor to participate in NASA’s Mentor-Protégé program. CMTI is Boeing’s third protégé under the program.

“CMTI is a valuable teammate on the Checkout, Assembly and Payload Processing Services (CAPPS) program,” said Mark Jager, CAPPS program manager for Boeing. “Its contributions ensure that we can continue to provide excellence in payload processing for the U.S. space program. It is a great example of the value small businesses bring to Boeing.”

CMTI was selected to become a protégé in recognition of the exceptional logistics, transportation and warehouse services the company provides on the CAPPS program and its desire to grow. Boeing will mentor CMTI in the areas of technical support and business infrastructure development.

“Boeing has been an important partner in contributing to CMTI’s growth,” said CMTI President Trox Austell. “This agreement enhances the already great working relationship we have with Boeing. We look forward to working with them to achieve our business goals.”

Boeing also currently mentors five companies through a U.S. Department of Homeland Security program and one in a U.S. Department of Defense program. Through various informal and formal mentor-protégé programs, Boeing has mentored or developed more than 50 small and diverse suppliers.


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Forty-five Phenom 100s are in service, today, and Phenom 300 deliveries will begin soon

São José dos Campos, October 16, 2009 –
Embraer announced the Phenom jets in May 2005,
and has steadily moved forward, ever since. The
Company began accepting orders in June 2005,
even before revealing the jet’s names at the
National Business Aviation Association’s (NBAA)
Annual Meeting and Convention, in November
2005. The Phenom 100 had its first metal cut in
June 2006 and approximately one year later, in
July 2007, the first flight came. Unrestricted U.S.
and Brazil certifications were granted in December
2008, with deliveries beginning that same month.

On a similar path, the Phenom 300 first metal cut
took place in April 2007 and the maiden flight in
April 2008. Currently, the jet is finalizing its
certification campaign, targeting first deliveries by
the end of this year.

Phenom 300 – Program Status

The light jet is in the final certification phase, with over 1,000 flight hours accumulated. The
test fleet is comprised of five pre-series aircraft – two with full instrumentation, two with partial
instrumentation and parts of the interior, and one with complete interior for function and
reliability tests.

The first aircraft (PP-XVI) has finished crosswind takeoff and landing, flutter and high-speed
tests. Having concluded natural ice conditions tests, the airframe is currently being evaluated
under simulated icing conditions.

The power plant, fuel, air management, brake, electrical, and hydraulic systems tests were
concluded by the second pre-series Phenom 300 (PP-XVJ). The autopilot and high altitude
takeoff and landing performance were also evaluated by this aircraft.

The third pre-series aircraft (PP-XVK) has completed all of the runway performance tests and
is currently finishing avionics trials.

High Intensity Radiated Field (HIRF), lightning, cold soak and external noise testing have
been concluded by the fourth pre-series jet (PP-XVL). The airplane was also used to validate
the maintenance plan, as well as to evaluate internal noise/thermal comfort and perform
smoke/emergency evacuation tests.

The fifth pre-series aircraft (PP-XVM) joined the certification campaign last August. It was
the first to be configured with a complete interior, featuring berthable seats and a drop-down
ceiling monitor. The jet was exhibited at the Latin American Business Aviation Conference
and Exposition (LABACE), in São Paulo, Brazil, and is confirmed for NBAA 2009, in
Orlando, Florida, U.S., October 20-22. Function and reliability tests are currently underway
to evaluate such important features as single-point refueling, externally serviced lavatory
(unique in the category), and low cabin altitude.

Besides the five aircraft in the flight test campaign, ground-based structural tests are also
advancing. Bird strike and wing ultimate load tests were finished. Fatigue tests have been
completed, including 1,000 cycles required for wing-fuselage certification, confirming that
the Phenom 300 is a robust and reliable platform.

As recently acknowledged by the trade media, the Phenom 300’s price, cabin,
performance, and fuel efficiency make it a serious contender in the light jet segment.

Phenom 100 – Program Status

The entry level jet went into operation in December 2008. To date, the aircraft has logged
over 3,000 flight hours, with a total of 45 aircraft delivered, worldwide, as of September 30,
2009. Although enjoying great acceptance and success, Embraer continues improving the
Phenom 100 to meet the challenging and dynamic business jet market.

Throughout 2009, Embraer worked on developments that further enhance customer
satisfaction. To increase interior comfort, new and stylish cabin seats were designed, offering
ergonomically improved cushions, greater aisle width, plus retractable armrests. The seats
will become a standard item, and existing operators will be able to retrofit their aircraft under
special commercial conditions. A cabin divider was developed, providing passengers with a
real lavatory door, as an option to substitute the current curtains. This increases privacy and
also helps to improve cabin noise levels. A new In-Flight Entertainment (IFE) system
includes such features as XM radio, ambient sound system, capability for passengers to listen
to Air Traffic Control (ATC) communications in the cabin, an interface for portable media
players, and a VIP panel that allows cabin temperature regulation.

Customers will enjoy the aircraft’s operational enhancements. Existing and new Phenom 100
and Phenom 300 clients will be able to configure their jets with the latest version of Garmin’s
Synthetic Vision Technology (SVT) integrated with the Prodigy flight deck. The SVT
presents a 3-D depiction of the terrain, obstacles and air traffic on the Primary Flight Display
(PFD). The Phenom 100’s cold weather operations will benefit from the recent approval for
using SAE anti-icing fluid type IV, which provides the longest holdover time. The aircraft is
the most flexible and competitive in its category and may use any of the four fluid types, with
no performance penalty.

In order to provide comprehensive pilot and ground crew training for customers of the
Phenom 100 and Phenom 300 jets, Embraer and CAE established, in November 2007, a
global training joint venture named Embraer CAE Training Services (ECTS). The first
state-of-the-art Phenom 100 Full-Flight Simulator (FFS), located at CAE’s Simuflite
Training Center, in Dallas, Texas, U.S., has been certified by the U.S. Federal Aviation
Administration (FAA) and the European Aviation Safety Agency (EASA). The second
Phenom 100 FFS, located at CAE’s Burgess Hill Training Center, in the U.K., was recently
certified by EASA.


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Thai government buys four aircraft of the same model in less than two years

São José dos Campos, October 15, 2009 – Embraer has signed a contract with the Royal Thai
Navy for the sale of its second ERJ 135 jet. Added to the other two orders made by the Royal
Thai Army, this is the fourth aircraft acquired by the Thai government in less than two years,
all of which are the Long-Range (LR) version. This acquisition is included in Embraer’s firm
order backlog for the third quarter of 2009.

“We are honored by the choice of the Royal Thai Navy to acquire a second ERJ 135 jet,
confirming the suitability of this aircraft model to the needs of Thailand’s armed forces, and
shows the confidence that they have in Embraer’s products in the official transportation
segment,” said Acir Padilha, Embraer Vice President, Marketing and Sales – Defense Market.

“As a result, we are gradually increasing and consolidating our presence in Thailand.”

The first deal between Embraer and the Thai government was announced in November 2007,
involving two aircraft – one for the Army and another for the Navy – both of which were
delivered at the end of 2008. Early in 2009, Embraer revealed the acquisition of a second
ERJ 135 by the Royal Thai Army.

As in the previous contracts, this new contract with the Navy includes a logistical package and
provisions for a Medical Evacuation (MEDEVAC) installation kit. Thailand is the first military
operator in Southeast Asia to use the ERJ 135 jet for civilian and military official transportation
and MEDEVAC missions.

About the ERJ 135 jet

The ERJ 135 is a member of the successful ERJ 145 family, which has delivered over 1,100
units and accumulated more than 15 million flight hours. The ERJ 135 can handle a broad
variety of missions and has a high level of commonality with the ERJ 145 jet.

Based on the ERJ 135 platform, Embraer launched the Legacy 600 executive jet, an aircraft
with more than 170 units delivered that offers customer premium comfort, high dispatch
reliability, and low operating cost. In the defense segment, this platform has efficiently
performed government transportation and medical evacuation missions for Belgium, Brazil,
Greece, India, and Nigeria.

The ERJ 135 jet offers military customers a combination of modern equipment, advanced
systems redundancy, and low maintenance cost, as well as a high level of readiness. The
success of the ERJ 145 family of jets in the regional commercial aviation market is marked by
constantly increasing efficiency and cost reduction, which are achieved by less frequent
inspections and shorter turn-around times. These characteristics make it possible for Embraer’s
military aircraft based on the ERJ 145 platform to fly over 3,000 hours per year.