AASI Starts New Aircraft Factory Construction.LONG BEACH, Calif.--(BUSINESS WIRE)--Nov. 4, 1997--Advanced Aerodynamics aerodynamics, study of gases in motion. As the principal application of aerodynamics is the design of aircraft, air is the gas with which the science is most concerned. & Structures Inc. (AASI AASI American Association of Snowboard Instructors (affliated with Professional Ski Instructors of America) AASI Abel Assessment for Sexual Interest AASI Automobile Association of South India ) (Nasdaq: AASI) held its ground breaking ceremonies signaling the start of a 200,000 square foot, advanced, state-of-the-art aircraft factory. With over three years in planning, the building and parking facilities for over 400 vehicles will spread across 10 acres at the Long Beach Airport. The new factory will house all design, engineering and executive offices for the company as well as manufacturing for the new JETCRUZER 500 propjet aircraft under one roof. Layout and design of the advanced factory is for full computerized control of mass production in advanced composites and high technology aluminum propjet and jet aircraft designed by the company. Approximately $8.5 million has been obtained for construction through a state of California Industrial Development Bond (IDB (ITS Data Bus) An interface between devices in an automobile endorsed by the Society of Automotive Engineers (SAE). Designed to fulfill the goal of Intelligent Transportation Systems (ITS), the ITS Data Bus enables engine diagnostic equipment, GPS navigation systems, ). This funding includes approximately $7.0 million for the building, including soft costs, with the balance to be used for additional manufacturing equipment and tooling on the JETCRUZER 500. The high technology computer controlled factory is capable of producing over 100 JETCRUZERs a year with a five day, eight hour shift. The total can be expanded to over 250 aircraft per year with additional shifts. The location was selected for its availability of aerospace workers, beauty and close approximation to runways. Long Beach Airport is located in the heart of the aerospace industry with companies such as Boeing, McDonnell Douglas McDonnell Douglas was a major American aerospace manufacturer and defense contractor, producing a number of famous commercial and military aircraft. It merged with Boeing in 1997 to form The Boeing Company. , Northrop, Hughes Aircraft Hughes Aircraft Company was a major aerospace and defense company founded by Howard Hughes. The group was based near Ballona Creek, in Culver City, California, USA, on the Pacific Coast. Hughes Aircraft was acquired by General Motors in 1985. and others within short driving distances. With Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. just north and Orange county south of Long Beach it is ideally located for customer visits and aircraft marketing. Directors of the company; Dr. Carl Chen, Chairman, astronaut James Lovell James Lovell may be:
Carl Chen, Ph.D., president and chief executive officer of AASI stated: "Ground breaking and start of construction for the new factory is a major milestone in the company plans. We are now a huge step closer to mass production of the JETCRUZER aircraft. With this major hurtle hur·tle v. hur·tled, hur·tling, hur·tles v.intr. To move with or as if with great speed and a rushing noise: an express train that hurtled past. v.tr. over, completion of the factory will be in time to permit first deliveries of the new JETCRUZER 500 by the fourth quarter of 1998." Orders for the new JETCRUZER 500 reached 70 aircraft as of October 21, 1997. These back orders represent an excess of $85 million in sales for the new JETCRUZER 500. AASI invested $25 million in private funds since 1990 and received an additional $32 million net in December 1996 through an Initial Public Offering (IPO (Initial Public Offering) The first time a company offers shares of stock to the public. While not a computer term per se, many founders, employees and insiders of computer companies have found this acronym more exciting than any tech term they ever heard. ). An additional $8.5 million was raised through the issuance of an Industrial Development Bond (IDB) with the state of California for the construction of the 200,000 square-foot manufacturing plant. The JETCRUZER 500 to be manufactured at the new factory is a fast, single engine corporate propjet aircraft, designed for world markets and is the highest speed, and lowest priced aircraft in its category at $1.295 million (U.S.). The new JETCRUZER 500 allows first-class passenger seating and comfort for six (including the pilot) and a large luggage area. The propjet engine by Pratt & Whitney is a powerful model PT6A-66A with 1,572 ESHP ESHP Equivalent Shaft Horsepower ESHP Engine Shaft Horsepower (850HP) output. A new five blade, seven foot diameter, Hartzell propeller is used to cruise the JETCRUZER at one of the fastest speeds available (345 mph). The performance, altitude and speed approach light jets (345 mph, 30,000 ft.) at a fraction of their purchase and operating costs. Plans have also allowed room in the factory for mass production of a new twin jet aircraft the STRATOCRUZER 1250. The new twin is currently on hold until new funding is available or projected levels of the companies stock are reached and warrants are released for an additional $220 million net to the company, as stated in the IPO prospectus. Advanced Aerodynamics & Structures, is a publicly traded, development-stage company organized to design, develop, have certified by the Federal Aviation Administration Federal Aviation Administration (FAA), component of the U.S. Department of Transportation that sets standards for the air-worthiness of all civilian aircraft, inspects and licenses them, and regulates civilian and military air traffic through its air traffic control (FAA), manufacture and market propjet and jet aircraft for the world business, commercial and government markets. This press release contains certain-forward looking statements within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995, as related to AASI's ability to complete the production of its JETCRUZER aircraft. Actual results may differ materially from those indicated by such statements. CONTACT: Advanced Aerodynamics & Structures Inc. David Turner, 562/938-8618 or Pondel Parsons & Wilkinson Michael Pollock, 310/ 207-9300 |
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