Advanced Interactive Systems Acquires the Nitor Group Limited.

SEATTLE--(BUSINESS WIRE)--Dec. 2, 1998--As a further move toward global market leadership in training facilities and simulation systems, Advanced Interactive Systems(TM)(AIS) of Seattle announced the signing on Dec. 1, 1998 of a definitive agreement to acquire the Nitor Group Ltd., based in Godalming, U.K.

AIS, the emerging leader in state-of-the-art reality based simulation systems, will build on Nitor's international experience and reputation to rapidly expand into the world wide training facility and simulation business encompassing civilian, law enforcement and military markets.

Operating as a wholly owned subsidiary of AIS, the Nitor Group Ltd, will continue to operate out of their U.K. headquarters. Alan M. Davis, the President and CEO of AIS will lead the combined company, with Martin Read and Barrie Pegrum remaining as Joint Managing Directors of Nitor.

Specializing in the design and development of training facilities and advanced training systems since 1982, Nitor is regarded world wide as a leader in innovative designs for commercial, law enforcement, anti-terrorism and military training facilities and ranges.

Their video and computer generated graphics (CGI) training system, "Ultima" is well established internationally, will be integrated with AIS's PRISim(TM) (Professional Range Instruction Simulator) to provide the most advanced modular firearms training system possible.

In addition to providing their training facility design expertise and project management skills, Nitor, with offices in Singapore, Malaysia and Abu Dhabi, will manage the international marketing of all AIS and Nitor products and services outside the United States.

"The merger of AIS with the Nitor Group creates an unprecedented portfolio of leading edge training systems and services for world wide military, law enforcement, security and commercial customers." said Alan Davis, President and CEO of Advanced Interactive Systems.

"We now offer a full spectrum of products and services to our customers, to meet virtually any professional or commercial training requirement on a global basis. AIS offers customers a clear option for the most advanced technology and services for meeting their comprehensive training and simulation requirements."

The acquisition of Nitor follows AIS's acquisition earlier this year, from FATS, Inc., of Firearms Simulation Systems, Inc (FSS), a leading provider of weapon conversions and modifications for simulation training. Ben Cheshelski, the founder and CEO of FSS was named as director of simulated weapons for the combined company.

The AIS organization now comprises approximately 80 employees residing in 5 countries. AIS is actively supported by a limited partnership organised by Zilkha & Company, a leading New York based Investment Company.

Note to Editors: Advanced Interactive Systems and PRISim are trademarks of Advanced Interactive Systems.