AASI Aircraft Orders Increase From 86 To 117 In One Month; Backlog Escalates To $140 Million; New Orders Total $36 Million.

LONG BEACH, Calif.--(BUSINESS WIRE)--Feb. 19, 1998--Advanced Aerodynamics & Structures, Inc. (Nasdaq: AASI) today announced it has received 31 additional orders, valued at approximately $36 million, for its JETCRUZER 500 aircraft.

The company now has obtained confirmed orders for 117 aircraft, increasing the sales backlog to more than $140 million. The new orders were obtained within the last 30 days.

Carl Chen, Ph.D., chairman, president and chief executive officer, said, "This is the strongest showing of JETCRUZER sales to date. Based on our growing success, we are considering revising our planned production schedule to accommodate the demand for this very unique airplane. We also are re-evaluating our marketing strategy with the goal of expanding our international sales. Later this month, for example, we plan to attend the Singapore aviation trade show, where we hope to obtain additional orders."

Gene Comfort, executive vice president, stated: "Our backlog reflects growing international excitement over the JETCRUZER 500. In just one month's time, we sold an average of one aircraft every day, which is a record for us. With these new orders, we are off and running on an order pace that could very well exceed our performance in 1997."

The JETCRUZER 500 completed its first test flight in August 1997 and is currently being flight tested under the authority of the Federal Aviation Administration (FAA).

Based on a unique canard wing design, the JETCRUZER 500 is a high speed (360 mph) single engine, corporate propjet aircraft that can accommodate first class seating for six people, including the pilot. Powered by a Pratt & Whitney propjet engine, the JETCRUZER 500 can fly from Los Angeles to New York at altitudes up to 30,000 feet, with only one stop.

Comfort noted that, at a selling price of $1,395,000, the JETCRUZER 500 cruises at speeds approaching light jets at a fraction of their purchase and operating costs. More than $25 million in private funds were invested from 1990 to 1994 to FAA certify the prototype model to the JETCRUZER 500. In December 1996, the company received an additional $32 million net through an initial public offering to amend the initial certification to include additional competitive performance features.

In August 1997, AASI obtained an $8.5 million, low interest, Industrial Development Bond (IDB) with the state of California for the construction of a 200,000 square foot manufacturing facility at Long Beach Airport. The new factory and headquarters building is currently under construction and is scheduled for completion in the summer of 1998.

Advanced Aerodynamics & Structures, Inc. is a public traded, development-stage company organized to design, develop, have certified by the Federal Aviation Administration (FAA), manufacture and market propjet and jet aircraft for the world business, commercial and government markets.

The information contained in this press release contains certain forward-looking statements that involve risk and uncertainties, such as the statements of the Company's plan, objectives, expectations and intentions. The Company's actual results could differ materially from those indicated by such statements as a result of various factors, including those discussed in the Company's Form 10-KSB and Form 10-QSB on file with the SEC.

CONTACT: Advanced Aerodynamics & Structures, Inc.

David M. Turner, 562/938-8618

or

Pondel Parsons & Wilkinson

Michael Pollock/Roger Pondel, 310/207-9300