NEW HUNTER AIRCRAFT ACQUISITION - PROJECTS 1998 EARNINGS IN EXCESS OF $2 MILLION

Released_By: USANews
Date: 7/13/98
Time: 8:25:59 PM

For_Immediate_Release

Hunter Aerospace announced today that the company has agreed to acquire 100% of Moody Aerospace Corp., which is the manufacturer of the Moody Gyrocopter, two and four place models.

As the cold war era becomes just a memory, Hunter has identified a unique worldwide demand for the type of innovative aircraft that is manufactured by Moody.

With this new acquisition, Hunter’s bottom line will be bolstered by "firm contracts" held by Moody Aerospace from Beijing China. These contracts are for manufacture and delivery of NEW Moody 96 Two Place and the Moody 97 Four Place aircraft. Sales over the next 12-month period are projected at $12.5 Million with net pre-tax profits projected at $2.4 Million. Hunter currently has approx. 6 million shares outstanding. The value of this acquisition will equate to approx. $.30 share in earnings. PE ratios within the aircraft manufacturing industry average 20 times earnings.

The aircraft are to be used by the police, paramedics, and military in The People’s Republic of China. Terms of the 24-month contract call for a monthly delivery of 10 units of the Two Place and 5 units of the Four Place aircraft. The sales price is $40,000 each for the Two Place and $130,000 each for the Four Place FOB at Moody’s facility in Columbia, California.

The Company is featured on the Internet at USANews Stock Research Network. The URL is: http://www.geraldsnet.com

For more information, contact GERALD COMMUNICATIONS Gerald Sterchi -Director Investor Relations (916) 854-4931 Fax (916) 983-7783