American Utilicraft Corporation Pursues Air Cargo Merger and Acquisition Strategy.

Business Editors

LAWRENCEVILLE, Ga.--(BUSINESS WIRE)--May 7, 2002

American Utilicraft Corporation (OTC BB:AMUCE) today announced that the Company has implemented a new and aggressive strategy for deployment of the Company's first twenty-five FF-1080 Freight Feeder aircraft.

As a result of September 11th, the air cargo carriers have been forced to consolidate and eliminate key services to the cargo industry, and passenger airlines have dramatically reduced belly cargo capacity. Thus, the current state of the air cargo industry has created a new and expanding opportunity for American Utilicraft. It is the management's opinion that American Utilicraft is uniquely positioned to meet the demands for a new, more flexible, more affordable dedicated air cargo service.

AUC has developed a merger and acquisition strategy to form business alliances to build an effective air cargo company to meet the existing and future needs of domestic and international air cargo shippers. The goal of this strategic initiative is to:

-- Create a large and financially stronger company that will

operate its own aircraft;

-- Develop an improved revenue based to provide unique cargo lift

and value-added logistic services; and,

-- Bring to fruition the production and deployment of the first

twenty-five FF-1080 aircraft.

This development strategy involves the Company creating alliances with potential acquisition candidates and moving to a larger accounting firm capable of handling these types of transactions and associated regulatory issues.

The global effects of September 11th, however, have caused the Company's equity line strategy not to develop as planned. This has put a financial strain on the Company, including temporarily hampering its ability to finance the legal and accounting processes necessary to meet reporting requirements of the Securities and Exchange Commission. Although this may cause the temporary removal of the Company from the OTC BB: to the Pink Sheet Exchange, the Company does not believe that this will have any adverse affect on its current business development strategy, and hopes to remedy the situation as expeditiously as possible.

While American Utilicraft is in this transitional stage, its current trading symbol is "AMUCE".

Safe Harbor Statement

The preceding statements are made pursuant to the Private Securities Litigation Reform Act of 1995, as amended, in order for the Company to avail itself of the "safe harbor" provisions of that Act, as amended. Certain statements in this press release that are not historical fact constitute "forward-looking" information. Such forward-looking information involves known and unknown risks, uncertainties and other factors, which may cause the actual results to be materially different from results expressed or implied by such forward-looking statements.

--30--tav/ny* SDG 

    CONTACT: DeMonte Associates
             Cynthia DeMonte, 212/473-3700
             Fax: [phone]

    KEYWORD: GEORGIA
    INDUSTRY KEYWORD: AEROSPACE/DEFENSE AIRLINES GOVERNMENT
TRANSPORTATION MERGERS/ACQ
    SOURCE: American Utilicraft Corporation