Global Aircraft Solutions And BCI Aircraft Leasing Form Joint Venture Corporation, Jetglobal, And Acquire 26 Boeing 737-200 Aircraft

Tucson, AZ -- Global Aircraft Solutions Inc. announced that together with BCI Aircraft Leasing it has formed the joint venture corporation Jetglobal, LLC. This special-purpose corporation has been formed by GACF and BCI to acquire and remarket commercial jet aircraft. Under the terms of the joint venture agreement, BCI will act as marketing lead, while GACF will act as the technical lead. BCI will own 70% of Jetglobal, while Global Aircraft will own 30%.

Following its incorporation, Jetglobal has acquired a fleet of 26 Boeing 737-200 aircraft through Jetran International. All 26 aircraft were manufactured between 1983 and 1987, and are coming out of the Delta Airlines fleet. Of the 26 aircraft, 14 are parked and available for delivery, while 12 are still in service with Delta. The 12 aircraft still operated by Delta are scheduled to come off lease between September 2006 and October 2007. All rent revenue generated by the 12 aircraft still in service with Delta will devolve to Jetglobal until such time as the current leases are concluded or extended by Delta.

John Sawyer, president and chief operating officer of GACF and Hamilton Aerospace, stated, "In my opinion, BCI has one of the very best management teams in the aircraft leasing industry. We are extremely pleased to be able to partner with this tremendously successful and innovative company. While we expect this first ex-Delta fleet transaction to have a significant positive impact on Global's 2005 and 2006 profitability, I am even more excited about the overall long-term potential of this strategic alliance with BCI."

Brian Hollnagel, president of BCI Aircraft Leasing, commented, "Global Aircraft Solutions has built an excellent reputation for efficiently resolving all those complex technical issues that aircraft leasing companies routinely encounter when an aircraft comes off lease from one operator and then must go into service under totally different specifications for another airline operating in a different country. Our new strategic alliance with Global gives BCI the ability to incorporate high-quality, cost-effective technical support into our proposals, which will be a valuable tool for helping us meet our customer's requirements."

Global Aircraft and Hamilton Aerospace Chairman & CEO Ian Herman added, "With this BCI joint venture, Global's aircraft trading business segment has now come of age, and no longer can be viewed as one-off, stand-alone transactions, but rather a viable business segment with reasonably predictable results that we intend to incorporate into future company financial guidance and projections. The timing of the joint venture coincides with current sales activity, thus minimizing the financial risk and cash requirements of this transaction. We expect Jetglobal to bring tremendous value to our shareholders."

SOURCE: BCI Aircraft Leasing