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Press release

Utilicraft Aerospace Industries and M7 Aerospace announce engineering agreement for FF-1080 Freighter prototype

18/09/2007

Press releaseIssued by Elbit Systems of America, LLC (was M7 Aerospace).

Utilicraft Aerospace Industries, of Albuquerque, N.M., has contracted with M7 Aerospace LP for the design and development of the pre-production prototype wing and powerplant installation for Utilicraft's new FF-1080 Next Generation Freight Feeder aircraft.

The FF-1080-200 is a high-wing, twin-engine turboprop aircraft designed to carry eight fully loaded LD3 cargo containers for a distance of 500 nautical miles. Lighter loads can be carried distances up to 2,000 nautical miles, although the aircraft is primarily intended for use in the short haul feeder role for large volume package carriers.

M7's Engineering Division has begun designing attachments and interface of the Pratt & Whitney PW-127G engines and nacelles to the existing prototype wing center section. Fuselage design and tooling is underway at Utilicraft and Metalcraft Technologies Inc.

Utilicraft currently has orders and options for 25 FF-1080-200s. The aircraft is designed to have short takeoff and landing (STOL) capability, to operate from airfields with less than 3,500 feet of available runway.

Joe Furnish, vice president of M7's Engineering Division, said "we are pleased to be associated with the development of this exciting new product that brings so much value to the air cargo industry."

M7's Engineering Division provides a wide variety of engineering services to M7 Aerospace, its customers, and other organizations or individuals requiring design, analysis or test procedures.

A staff of 22 engineers and support personnel gives M7 Engineering the capacity to handle a broad range of engineering functions, including structural design, stress analysis, prototyping, static and dynamic testing, flight development and certifications, electrical and burn testing, environmental systems, configuration management and related activities.

M7's engineering team has certified aircraft and systems to requirements of the U.S. Federal Aviation Administration, the European Aviation Safety Agency (EASA), and other foreign certification agencies, spanning the requirements of FAR 23, 25, 27, 29 and their European equivalents. The team is familiar with both fixed- and rotary-wing aircraft. The Utilicraft FF-1080 will be certified to FAA Part 25 requirements.

M7 Aerospace has six business units, including Engineering Services; Aerostructures Manufacturing; Maintenance, Repair & Overhaul; Government Logistics Programs; Aircraft Parts and Product Support; and M7 Visual Intelligence, which specializes in remote sensing.

M7 is headquartered on the international airport in San Antonio. The company operates from a 426,000 sq. ft. factory complex formerly occupied by Fairchild Aircraft. M7 acquired the assets of Fairchild Aircraft in December 2002 and began operations under its own name on April 1, 2003.

M7 began with approximately 175 employees four years ago, including 116 in San Antonio. Today, the company now employs nearly 600 people worldwide and more than 300 in San Antonio.

To learn more about M7 Aerospace, please visit the company's Web site at HYPERLINK "http://www.M7Aerospace.com" www.M7Aerospace.com. To learn more about Utilicraft Aerospace Industries, please visit their Web site at HYPERLINK "http://www.utilicraft.com" www.utilicraft.com.

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