Venga Enters Development Agreement with ACWI to Provide Flight and Combat Support Services for U.S. Military.

TORONTO -- Venga Aerospace Systems Inc. (Pink Sheets:VNGAF) (TSX VENTURE:VAV) today announced that it has entered into a development agreement with Air Combat Warfare International ("ACWI") of Ayr, Ontario, to jointly exploit ACWI's existing and potential contracts to supply flight and combat support services for the U.S. Military and the military forces of Canada and various other NATO countries.

ACWI (www.airwarbirds.com) an emerging provider of tactical flight services to military air services worldwide has established a network of contracts with the United States military to provide flight and combat support services using high - performance subsonic and supersonic military aircraft. ACWI is also bidding on supplying the Canadian Air Force, Contracted Airborne Training Services and other NATO nations with ex-military and alternate aircraft platforms to meet the performance requirements of electronic warfare, threat simulation, Dissimilar Air Combat Training ("DACT") and target tow contracts. The development agreement is seen as the initial phase in the process of creating a full joint venture involving the possible participation of major international aerospace manufacturers and suppliers interested in taking advantage of ACWI's contractual opportunities.

"When one considers the world's growing and urgent need for cost effective weapon, support and training systems, we are excited to be participating in the efforts to exploit ACWI's existing contracts and potential business opportunities," stated Venga's President, Hirsh Kwinter. "Venga has long been involved in pursuing the development of new and innovative solutions to the military's changing aerospace requirements. We view our participation with ACWI as a logical evolution of Venga's original goal of being a supplier of unique and advanced aerospace platforms for an increasingly sophisticated and cost sensitive market place," continued Kwinter.

"Our existing network of service sub-contracts with the U.S. military presents us with a great opportunity to secure an important share of this very lucrative and growing market," stated ACWI's President, Kirby Duffy. "Venga's presence and participation in our ongoing efforts to service and administrate these contracts will, in our opinion, prove to be a valuable, if not, necessary asset," explained Duffy. "We are also interested in exploring all opportunities to re-vitalize and re-launch Venga's dormant, fully composite drone/aircraft project. Venga's TG - 10 Brushfire offers an attractive combination of advanced functionality and low cost that many military services should find attractive in these times of pinched military budgets," continued Duffy.

Venga also announces that the TSX Venture Exchange has approved the company's proposal to issue 2,164,780 common shares at a deemed value of five cents per share to settle outstanding debts totaling $108, 239. These shares have now been issued and delivered to the creditors and the debts in question have now been extinguished. Venga further announces that an order was recently made in regards to appellant proceedings brought by the company in an action where a former director was awarded judgment against the company in the amount of $32,500, plus interest and costs. At a recent hearing, the company was ordered to post $16,000 in security for costs as a condition of continuing with the appeal. The company will be contesting this order and will be continuing with the appeal.

Venga's graphics division (www.clik3d.com) produces and markets advanced 3D products and services for both consumer and commercial applications. The aeronautics division of the Company was in development of a full-scale composite drone aircraft.

This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks, uncertainties, and other factors that may cause Venga's results to differ materially from expectations. These include risks relating to company performance, market fluctuations and other risks. These forward-looking statements speak only as of the date hereof. Venga disclaims any intent or obligation to update these forward-looking statements.

SHARES ISSUED: 196,754,833

The TSX Venture Exchange has neither approved, nor disapproved the information in this release.