Vector Aerospace Corporation Wins International Military Contracts Valued at $32.5 Million

January 26, 2001 — Vector Aerospace Corporation (Vector) today announced the recent wins of four international military contracts valued at $32.5 million.

Vector’s Helicopter Group – ACRO Aerospace and Helipro International – won three of these awards.

The first award relates to a $15.5 million program for the overhaul and refurbishment of the Venezuelan Army’s fleet of Agusta/Sikorsky AS-61D helicopters with work to be completed by March 2002. In addition to the aircraft refurbishment, ACRO and Helipro will be providing training and ongoing technical and logistic support to help ensure optimal operation of this fleet.

The second contract is in support of main gearboxes for Sikorsky S61 helicopters operated by the government of Tunisia. The contract is funded and awarded through the Foreign Military Sales (FMS) branch of the U.S. government. The contract, including renewal options covering a three year period, is valued at $6.0 million. The initial phase of the contract, relating to 2001, is valued at $2.5 million.

A third contract, valued at $4.5 million, was awarded by the government of Honduras for the refurbishment of Bell 412 and MD500 helicopters. The contract includes the inspection and overhaul of the airframes, engines and components and will be completed over the next year. The contract is unique in that it also provides “in-country” support and technical training.

In commenting on these helicopter awards Chairman and Chief Executive Officer Mark Dobbin stated; “The combined capabilities of ACRO Aerospace and Helipro are proving to be very attractive for international customers with large helicopter upgrade projects. Not only are we capable of completing the upgrade program but we are also capable of providing the ongoing repair and overhaul services related to these aircraft once the upgrade program is complete. We see a bright future in this area”.

The fourth contract, a $6.5 million award from the government of Colombia, covers a number of product lines and provides work for four of Vector’s divisions. The contract provides T56 engine overhauls for Sigma, PT6A overhauls for Atlantic Turbines, auxiliary power unit (APU) overhauls for Alameda and engine and component work for ACRO Aerospace.

In commenting on this award Mr. Dobbin stated; “It is gratifying to see that the breath of Vector’s capabilities and our strategy of cross selling these capabilities is generating new business. International customers needing a broad range of both fixed wing and helicopter related repair and overhaul services can now have these needs met by a single supplier in Vector. We intend to continue pursuing such opportunities”.

Mr. Dobbin further stated; “I am pleased to enter 2001 on the strength of these new contract awards. We look forward to building on these successes during 2001”.

Vector Aerospace Corporation is an independent provider of aviation repair and overhaul services on a worldwide basis. Through facilities in Canada, the United States and the United Kingdom it provides service to commercial and military customers for various types of airplane, helicopter and industrial engines; helicopter dynamic components and airframes; and aircraft components including avionics, instruments and accessories. It also provides information technology solutions to a growing international customer base. Principal operations include Sigma Aerospace, Atlantic Turbines, ACRO Aerospace, Helipro Airframe Group, Alameda Aerospace and Pathix. The Company has approximately 1,300 employees.