Welcome to Aerotec International Inc. David Davidson President and CEO

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1 Welcome to Aerotec International Inc. As an aviation enthusiast for most of my life, my dream has always been to operate a successful aviation business. This dream began in 1991, with tomorrow in mind. We started with 7 employees and a very small customer base. Being an unknown FAA repair station in the aviation industry, there were many challenges both competitively and financially. My staff and I continued to overcome these obstacles. Today, I employ approximately 100 employees and we have a diversified customer base across the world. I firmly believe that my initial concepts of reasonable cost, exceptional turn times and, especially, detailed quality control on APU repairs has enabled us to continue to be competitive in our industry. In the last 10 years we have put many cost saving ideas in to reality. Aerotec s Magnum program has increased APU performance, our in-house engineering capabilities have saved our customers millions of dollars through repair versus replacement parts. Today, Aerotec has remained on the cutting edge. We pride ourselves in offering every airline a customized maintenance and /or parts repair program. These programs are developed with the customer s specific needs and budget in mind. In addition, Aerotec has expanded its services to include multi-fleet capabilities such as Hamilton Sundstrand and Honeywell manufactured APU s and components. We look forward to meeting with you and giving us the opportunity to create programs that will meet all your needs (turn time, cost and reliability). David Davidson President and CEO

2 DEMOGRAPHICS AEROTEC INTERNATIOAL Facility Over 60,000 square feet Masonry Block Construction Fully Air Conditioned State of the art security system 3000 AMP Service Personnel Production Staff - 65 Administrative Staff - 21 Management Staff - 14

3 AEROTEC INTERNATIONAL

4 Aerotec Today / Established with Tomorrow In Mind. Facility Induction

5 Aerotec Today / Established with Tomorrow In Mind. APU Induction WORKSCOPE 1. Mechanics Review 2. Inspection Review 3. Management Review Failure Mode Analysis Borescope Inventory S/B an AD Status LLP Review Pretest Performa Estimate

6 Aerotec Today / Established with Tomorrow In Mind. Inspection Our Quality department is responsible for maintaining the following: Customer Maintenance Programs Customer Build Standards FAA requirements and regulations Aerotec s CSR No. UMCR407K EASA approval Internal Audits Subcontractor Approval and Surveillance NDT An environment of continuous improvement

7 Aerotec Today / Established with Tomorrow In Mind. Engineering Develop repair data with internal DER approval capability DER approval capability and use of DER repairs reduce cost that s passed on to the customer Rapid prototype tooling Component simulation PRO Engineer Software Mechanica Mechanical Engineering Analysis An environment of continuous improvement Evaluation & Repair Of Rotating Components Static Housings LRU s Hot Section Components Product Improvement

8 Aerotec Today / Established with Tomorrow In Mind. Planning Aerotec s Planning Department uses computer generated planning to maintain each customer s build standard requirements, along with the OEM s required repair steps. This allows the planner to maintain the highest level of integrity in each repair performed.

9 Aerotec Today / Established with Tomorrow In Mind. Stores & Purchasing Aerotec Stores feature millions of dollars invested in key parts to support customer programs and special turn time requirements. Our Stores area maintains inventories to support exchange pools of turbine piece parts, accessories and d complete APU s. We can custom tailor a program to fit your delivery. Aerotec Purchasing is responsible for maintaining an FAA approved d traceable inventory. Our Purchasing Department maintains the necessary levels of inventory to support customer program requirements as well as published turn time requirements. Purchasing maintains sub-contractor and supplier qualifications to insure certified material acquisition.

10 Aerotec Today / Established with Tomorrow In Mind. Production Control Integrated work order tracking system Dedicated work stations based on product type Highly competitive lead-times Training program to structure and maintain an organized and effective production environment An environment of continuous improvement

11 Aerotec Today / Established with Tomorrow In Mind. Machine Shop Our extensive machinery and equipment include: CNC Curvic Grinder 4 Gleason Curvic Grinders 5 Axes Milling Center Vertical and Horizontal CNC Lathes Pratt Whitney Jigbores Electron Beam Welding Argon Chamber Welders Metal Spray Spin Test Various Lathes, Mills & Grinders Various Balance Machines

12 Aerotec Today / Established with Tomorrow In Mind. Machine Shop Cont. Aerotec s Machine Shop has the capabilities to perform the majority of our repairs inhouse. Our qualified operators and machinists have 100 plus years of combined aviation related machining experience. Each operation performed in the repair process is verified and signed off by both the operator and a qualified in-process inspector. Our in-house repair capabilities allow Aerotec to control cost and turn times.

13 Aerotec Today / Established with Tomorrow In Mind. Machine Shop Cont.

14 Aerotec Today / Established with Tomorrow In Mind. Machine Shop Cont.

15 Aerotec Today / Established with Tomorrow In Mind. APU Assembly Aerotec s Assembly Department capabilities include the skilled experienced personnel required to assemble various auxiliary power unit assemblies in strict compliance with FAA and customer s build standard requirements. Our Assembly department is equipped with the proper tooling required to build narrow and wide body APU s manufactured by Honeywell and Hamilton Sundstrand. Detailed work instructions are followed to insure proper build procedures and specific customer requirements are accomplished. Inspection stops are installed for verification by the inprocess inspector at each critical step of assembly.

16 Aerotec Today / Established with Tomorrow In Mind. APU Assembly Cont. We are equipped with all required tooling to build: GTCP 36 SERIES GTCP 85 GROUND POWER GTCP 85 SERIES GTCP 660 SERIES GTCP ER / 250H GTCP SERIES APS2000 APS3200 TSCP 700 4B / 5

17 Aerotec Today / Established with Tomorrow In Mind. Accessory \ Line Replacement Units LRU s Electro Mechanical Starters, AC/DC Generators, Speed Switches, Wiring Harnesses, Sensors Mechanical Driver Atomizers, FCU, Oil Pumps, IGV Actuators Pneumatics Load Controls, Surge Controls, Air Cycle Starters, Air Turbines

18 Aerotec Today / Established with Tomorrow In Mind. APU Testing Aerotec has extensive test cell capabilities for the following types of APU s : GTCP 36 SERIES GTCP 85 GROUND POWER GTCP 85 SERIES GTCP 660 SERIES GTCP ER / 250H GTCP SERIES APS2000 APS3200 TSCP 700 4B / 5 Our test cell includes a manual test system capability as well as the investment in a state of the art computer controlled data acquisition system necessitated by new generation APU types with ARINC 429 / 629 interfaces.

19 Aerotec Today / Established with Tomorrow In Mind. APU Testing Cont.

20 Decision Process & Aerotec Advantages Testing, Design, Development & Repair Capability Unique facility providing (60,000 sq. feet) for APU overhaul, repair design, build and test capabilities Producing the highest quality, cost effective, reliable products furnished to the air transportation industry today Extensive engineering capabilities Mechanical & Electrical Aerotec has the capability to engineer and produce world class solutions for the most demanding APU applications & repairs

21 Decision Process / Why Select Aerotec International Aerotec is recognized by our Customers and our Competitors as the supplier of choice, unsurpassed in providing: Extended APU on wing life Highest Workmanship & Quality Standards Competitive solutions through cost effective repairs Expedited APU turn around times

22 Decision Process / Why Select Aerotec International AEROTEC the leader in delivering competitive solutions to the customer community: At Aerotec continual improvement is a standard, not a goal Knowledge of competitive solutions within the industry Best in the industry for demonstrated: Reliability Of Repaired APU Engines & APU Components Quality Standards Cost effective Repairs Workmanship Aerotec s competitive solutions for APU repairs, yields substantial cost savings to the customer s management team. In addition to our ability to provide the customer with aggressive pricing, the initial cost savings are enhanced through Aerotec s ability to deliver increased Engine / APU reliability on units that are overhaul and repair at our facility. Results, we provide the customer with additional cost savings over the life of our agreement. The savings result in an improved bottom-line for the customer.

23 Decision Process / Why Select Aerotec International AEROTEC PRODUCTION & MAINTENANCE DEPTARTMENTS WERE RE-ORGANIZED TO ENSURE WORLD CLASS CUSTOMER SERVICE Established Product Lines For APU Maintenance Independent Product Line Supervisors APU Induction Priority Scheduling THE REORGINAZATION WILL RESULT IN Improved Reliability Improved Turns Times Cost Control Accountability / Responsibility Enhanced Proforma Accuracy Controlled Workscopes

24 Decision Process / Why Select Aerotec International SPIRIT MD80 OPERATOR Accomplishments Recommendation: (Modify GTCP DHF to 98DCB) & (Maintenance Program) BEFORE MOD - MTBR 1200 FLT HRS 98DHF AFTER MOD - MTBR 7200 FLT HRS 98DCB BEFORE MOD - AVG COST OF REPAIR $72, DHF AFTER MOD - AVG COST OF REPAIR $55, DCB FRONTIER BOEING 737 OPERATOR Recommendation: (Maintenance Program) BEFORE - MTBR 2800 FLT HRS AFTER - MTBR 6800 FLT HRS BEFORE - AVG COST OF REPAIR $68, AFTER - AVG COST OF REPAIR $56, C,E 129 C,E 129 C,E 129 C,E

25 Accomplishments AMERICAN / TWA BOEING - 757/767 Won from our competitors due to 21 DAY TAT COST RELIABILITY Decision Process / Why Select Aerotec International AVIANCA MD80 / 757 / 767 Recommendation: (Maintenance Program) & (Build Standards) BEFORE - MTBR 1200 FLT HRS 98 DHF AFTER - MTBR 2500 FLT HRS 98 DHF BEFORE - MTBR 3500 FLT HRS ER REDUCED OVER ALL AFTER - MTBR 6000 FLT HRS ER ON WING COST

26 Decision Process / Why Select Aerotec International Accomplishments AERO MEXICO MD80 Recommendation: (Modify GTCP85-98 DHF to DCB) BEFORE MOD - MTBR 4500 FLT HR AFTER MOD - MTBR 6000 FLT HRS BEFORE MOD - AVG COST OF REPAIR $72, AFTER MOD - AVG COST OF REPAIR $48, DHF 98 DCB 98 DHF 98 DCB EG&G Recommendation: (Maintenance Program) BEFORE - MTBR 4500 FLT HRS AFTER - MTBR 7500 FLT HRS BEFORE - AVG COST OF REPAIR $68, AFTER - AVG COST OF REPAIR $58, C,E,H 129 C,E,H 129 C,E,H 129 C,E,H

27 Decision Process / Why Select Aerotec International Accomplishments WEST JET Recommendation: (Maintenance Program) & (3500 HOUR HIS) BEFORE - MTBR 2250 FLT HRS AFTER - MTBR 3500 FLT HR BEFORE - AVG COST OF REPAIR $65, AFTER - AVG COST OF REPAIR $49, E,C 129 E,C 129 E,C 129 E,C VALUE JET MD80 Recommendation: (Modify GTCP DHF to 98DCB) & (Maintenance Program) BEFORE MOD - MTBR 1200 FLT HRS 98DHF AFTER MOD - MTBR 7200 FLT HRS 98DCB BEFORE MOD - AVG COST OF REPAIR $72, DHF AFTER MOD - AVG COST OFREPAIR $55, DCB

28 Decision Process / Why Select Aerotec International Accomplishments CHAMPION Recommendation: (Modify 98CK TO 98C) & (Maintenance Program) BEFORE MOD - MTBR 1100 FLT HRS AFTER MOD - MTBR 7500 FLT HR BEFORE MOD - AVG COST OF REPAIR $80, AFTER MOD - AVG COST OF REPAIR $57, C,CK 98 C,CK 98 C,CK 98 C,CK ILFC Boeing 737/757/767 A320,A319 TAT 15 DAYS

29 Decision Process / Why Select Aerotec International Accomplishments AVIACSA Boeing /-300 Recommendation: (Standardization Program) & (Maintenance Program) SCOPE OF WORK: PART REPAIR LRU REPAIR BEFORE - MTBR 850 FLT HRS AFTER - MTBR 3500 FLT HR 129 C,E HARD TIME HSI

30 Decision Process / Why Select Aerotec International WRITTEN AGREEMENTS AERO MEXICO AVIANCA EAT AVIACSA SPIRIT ABC CHAMPION ASTAR DHL- BAHRAIN T&M NTE PBH NTE T&M PBH NTE NTE NTE NTE

31 We are proud to have provided services to the following: AAR Aircraft China Northwest A/L Mesaba Airlines ABA Aviation Resources, Inc. China Aviation Supplies SW Mexicana Airlines ABC Airlines C.I.T. Group Capital Finance Midwest Express Airlines American Airlines Coopesa National Airlines Aeromex Express Copa Airlines Northwest Airlines, Inc. Aero California Danbee Aerospace Nova Air Aerovias de Mexico SA DE CV Delta Airlines, Inc. Omni Air International Aerolineas Argentinas DHL Airways, Inc. Record Aircraft Parts Aeroperu Dept of the Air Force Reliant Airlines, Inc. Aeropostal European Air Transport Royal Jordanian Airlines Aero Republica EG&G Special Projects Safair Aero Union Emery Worldwide Airlines Saudi Arabian Airlines Air Canada Evergreen International Airlines Shen Yang Airlines Air New Zealand Eng. SVC. Express One Spirit Airlines, Inc. Allegro Airlines Express Net Sports Jet LLC. Aloha Airlines Fatair, Inc. Sun Country Airlines Amerijet International Finnair Trade Winds Ansett Worldwide Frontier Airlines Transafrik Aserca Airlines GOL Lineas Aereas Trans World Airlines Astar Air Cargo Hawaiian Airlines United Airlines Avensa Honeywell U.S. Airways, Inc. Avianca International Lease Finance Corp. Vanguard Airlines Aviacsa Jet Part Solution Value Jet Boeing Service Company Lan Chile Volvo Air Service LP Canadian Airlines Intl. Ltd. Lloyd Aereo Boliviano L.A.B. Westjet Airlines Ltd. Champion Air Xiamen Aviation Supplies China Aviation SB / NB

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