(EMAILWIRE.COM, October 31, 2006 ) Los Angeles, CA -- Aero completed activities on the DARPA Walrus program in September and were successful in achieving the program objectives.

The starting goals were to develop and evaluate a very large airlift vehicle concept designed to control lift in all stages of air or ground operations including the ability to off-load payload without taking on-board ballast other than surrounding air. In distinct contrast to earlier generation airships, the Walrus aircraft is a heavier-than-air vehicle that generates lift through a combination of aerodynamics, thrust vectoring and gas buoyancy generation and management. Aeros proof-of-concept technology demonstrations included their unique integrated buoyancy management system that provides a new and revolutionary approach to vehicle lift generation and control. Aeros believes that these demonstrations mark the value of their technical progress and provide a basis of confidence on which to launch a new commercial effort to build a full scale demonstration vehicle.

"What we accomplished and demonstrated is an exceptional buoyancy management solution; something that has not been done before in the history of aviation," said Igor Pasternak, President of Aeros Aeronautical Systems Corp. He added, "Along with the innovative structure design and low speed maneuverability system, we have positioned ourselves to begin production of a full scale technology demonstrator vehicle that will have the capability of vertical takeoff and landing, absolutely autonomous, and incorporate the innovative lift and buoyancy concepts that do not rely on off-board ballast."

Aeros is the world's leader in manufacturing of the FAA Certified conventional airships; however Aeros' concept of the partially buoyant Aeroscraft vehicle is a rigid hull structure. "After years of thorough research and analysis we discovered that the real utility lies within the rigid structure. We know the limitations of airships, and are absolutely certain that conventional airships are not well suited for cargo applications," said Aeros VP Fred Edworthy.

Throughout the Walrus program Aeros has led the development team that included Northrop Grumman Corporation, United Technologies' Pratt & Whitney and Hamilton Sundstrand companies, and ATK GASL.

"With continuous development of this technology we move a step closer to the next breakthrough in aerospace innovation," said Pasternak. He added "Aeroscraft will do to the cargo industry what Internet did for the information exchange. Kudos to the Aeros creative team and its partners for the commitment and diligent efforts given during the program."

About Aeros: Aeros is the world's leading lighter-than-air, FAA-certified aircraft manufacturing company. The company's operations involve the research, development, production, operation and marketing of a complete family of Aeros-branded air vehicles used in government and commercial applications. These include non-rigid FAA Type Certified Aeros 40D Sky Dragon Airships, Advanced Tethered Aerostatic Systems and New Type Rigid Air Vehicle - Aeroscraft.

Contact:
Edward Pevzner
Business Development Manager
Tel. 818 344-3999 x 106
Edward@AerosML.com

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