Vector Aerospace Announces Strong Year-end Results

March 8, 2007 – Vector Aerospace Corporation today announces results for the year ended December 31, 2006.

The unaudited Consolidated Financial Statements and MD&A for the year ended December 31, 2006 are available on the Company’s website and on SEDAR.

The Company generated consolidated revenue from continuing operations of $332.2 million for 2006, an increase of $8.6 million from last year. Earnings from continuing operations, before interest, tax, and unusual items, were $27.0 million for 2006, an increase of $4.6 million from the prior year. The earnings improvement in 2006 was primarily as a result of improved year over year earnings at ACROHELIPRO, despite the negative impacts of the strong Canadian dollar. Earnings at Sigma declined compared with the prior year and Atlantic Turbines reported increased earnings in 2006 over 2005. Net earnings for 2006 were $16.4 million ($0.44 per share) compared to $11.5 million ($0.34 per share) in the prior year.

During 2006 the Company reduced debt by $22.7 million (excluding the impact of foreign exchange) to $67.0 million as a result of scheduled debt repayment and cash flows from operations.

In commenting on the year’s results, Chairman, President and CEO Donald Jackson stated: “I am pleased with the 2006 results and the improvements over 2005 despite the rising Canadian dollar. Today Vector has a strong Balance Sheet and is well positioned for growth. As we look to the future. Atlantic Turbines reported increased revenues and earnings in 2006 and is expected to do so again in 2007. Sigma’s results for 2006 were disappointing, but nevertheless expected with the delayed start of the Royal Saudi Air Force contract which will begin in early 2007. ACROHELIPRO’s reorganization in 2005 and increased revenues have had a positive impact on profitability in 2006 and position the operations for growth in 2007. I am confident that the expected growth in revenue for 2007 will result in another year of improved earnings.”