SOURCE: Utilicraft Aerospace, Inc.

January 23, 2008 14:06 ET

Freight Feeder Aircraft Re-Designs to Accommodate Larger Containers

ALBUQUERQUE, NM--(Marketwire - January 23, 2008) - Freight Feeder Aircraft Corporation (a US Private Company 25% owned by Utilicraft Aerospace Industries, Inc. (OTCBB: UITA)) announced it made the decision to upgrade the design of its Freight Feeder aircraft by slightly widening the cargo-bay to accommodate six (6) of the larger 96in x 125in "main deck" standard industry containers and pallets, and has re-designated the aircraft to the FF5000.

"This will allow the FF5000 to accommodate a broader variety of standard industry containers now including the M-1 type main deck 96in x 125in containers and pallets such as the AMA and AMJ. This design change will substantially enhance the aircraft's marketability and international applications which will, in turn, capture an even greater market-share for the Company," stated Scott Jacox, VP Marketing.

The original design/engineering of the Aircraft makes this is a feasible and practical upgrade to the overall design. Details on the prototype and revised schedule will be announced shortly.

More details and specifications on the FF5000 can be found at www.freightfeeder.com

About Freight Feeder Aircraft Corporation

Freight Feeder Aircraft Corporation is a private U.S. corporation registered in the state of Wyoming. In December 2007, Freight Feeder Aircraft Corporation acquired the Freight Feeder aircraft technology and development program from Utilicraft Aerospace Industries, Inc. (OTCBB: UITA) which included the aircraft design, related intellectual property, patents, and developed hardware and software including a mockup aircraft, and fuselage tooling -- with the intention of completing the development of the aircraft project, and to bring the Freight Feeder aircraft into commercial production for global sales into the freight aircraft market. Inclusive in the acquisition are the Aircraft Design Patent, the ETA Freight Tracking Method Patent, and the AFRS Automatic Flat-Rate Power Management Patent.

The Freight Feeder aircraft -- now designated the FF5000 by the Company -- is specifically designed to address a niche segment of the global air freight market, specifically the need for a new and updated state-of-the-art effective containerized freight feed air transportation system requiring the development and implementation of a new regional-sized-container-capable turboprop-aircraft, specifically designed to economically transport containerized/palletized air shipments to and from regional manufacturing and freight distribution facilities (located in smaller communities) to and from the major international hub airports -- worldwide.

On December 12, 2007, Utilicraft Aerospace Industries, Inc. filed a Form 8K with the Securities and Exchange Commission announcing that with the approval of fifteen (15) UITA shareholders owning approximately 62.53% of UITA's common stock and its Board of Directors, it entered into an Asset Purchase Agreement with Freight Feeder Aircraft Corporation to sell all of UITA's technology and assets to Freight Feeder Aircraft Corporation for a 25% equity position in Freight Feeder Aircraft and warrants for shares of Freight Feeder Aircraft Corporation's common stock, and a 1% Royalty of aircraft sales that are eventually produced and delivered by Freight Feeder Aircraft Corporation. The transaction has a potential value to UITA of approximately $400 million in future royalties and future Freight Feeder Aircraft Corporation stock value received by UITA in this transaction -- subject to the Freight Feeder aircraft program reaching the production phase. (See details of the transaction in the UITA 8K filed on December 12, 2007)

Forward Looking Statements

This press release contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release involve risks and uncertainties and reflect the company's current views with respect to possible future events. Readers are cautioned that no forward-looking statement can be guaranteed and actual results or events may materially differ from those projected or anticipated. In particular, the following factors, among others, could cause actual results or events to differ materially from those described in the forward-looking statements: the company's ability to obtain and fulfill contracts for the sale of products, protect intellectual property rights and manage future growth; market acceptance of future products; product supplier delays; design and engineering certification delays or denials; and the introduction of similar products by competitors. Any forward-looking statement made in this press release is made as of the date of this press release, and the company assumes no obligation to update any such forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this press release should be evaluated together with the many uncertainties that affect the company's business.

For more information on Freight Feeder Aircraft Corporation, please visit: www.freightfeeder.com

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