SOURCE: Global Aerial Surveillance

August 24, 2005 08:30 ET

Global Aerial Surveillance to Implement Collision Avoidance on Advanced UAV Prototypes Intended for Military Use

Company's Decision Based on a Potential Request for Proposal From a Division of the US Military and New FAA Regulations

LAS VEGAS, NV -- (MARKET WIRE) -- August 24, 2005 -- Global Aerial Surveillance (OTC: GARS), a developer and manufacturer of unmanned aerial vehicles (UAV) for both commercial and military applications, announced today that it has signed an NDA with a well-known developer of laser systems and technologies that can be utilized and incorporated into current flight systems for collision avoidance in UAVs and small aircraft. The company intends to implement collision avoidance on its UAVs designed for military use as well as current plans for civilian and law enforcement and homeland security applications.

"In conversations with a division of the US Military, we were informed that there is a current Broad Agency Announcement (BAA) for a collision avoidance system for UAVs that has been put out by the USAF UAV Battle Labs," stated Craig Cervantes, CEO of Global Aerial Surveillance. "Details are available, as the BAA has now been released, however we are currently in the evaluation phase on a laser-based system that could potentially be used to satisfy the military's needs." He added, "To the best of our knowledge this will be the first implementation of a collision avoidance system on a UAV platform designed for commercial production. We anticipate high demand for the system, especially from military and governmental agencies that continue to rapidly deploy new drone fleets."

New regulations being put in place by the FAA will soon require all unmanned aircraft over a certain flying weight and flying above defined altitudes, to be outfitted with some form of collision avoidance. The FAA Regulation 7610.4 states, "Remotely operated aircraft (UAVs) must have equivalent level of safety, comparable to see-and-avoid requirements for manned aircraft in order to operate like manned aircraft in National Air Space (NAS). The capability must be effective against all air traffic, with or without active transponder-based collision avoidance systems. The capability must interact with, but not replace other safety of flight mechanisms used by manned aircraft." This product technology also has the ability to cross over into the civilian aerospace marketplace as built in extra safety measures. The increase in air traffic, coupled with the aging of current flight control systems, is making it necessary to implement safety features that will protect aircraft and their passengers.

About Global Aerial Surveillance

Global Aerial Surveillance intends to capitalize on what the company sees as an opportunity in the civilian and military markets to provide Unmanned Aerial Vehicles (UAVs) for a myriad of potential applications. Although the applications for UAVs are numerous, Global intends to concentrate its development and marketing efforts in small, underserved niches where it can compete aggressively with pricing and service exceeding the competition.

Global will take a new approach to the development of UAV technology by making use of advanced composite construction techniques and materials and incorporating the latest in ultra light high speed computer processors to deliver a flexible, mission-specific UAV to its customers that can perform various complex missions.

A recent study of the worldwide UAV market concluded that US spending on UAVs amounted to about 73% of worldwide research and production spending in 2003. The US has dominated this market in recent years, due in part, to the depth of research and wide range of production programs.

Frost & Sullivan, a research group in San Antonio, Texas, forecasts that the market for UAVs will be worth nearly $5 billion by 2005. Michael Heinz, who heads Boeing's Unmanned Systems unit, and other executives at military contractors see an annual market of at least $10 billion by decade's end, with growth continuing at double-digit rates for a decade or more.

The statements made in this press release, which are not historical facts, contain forward-looking statements concerning potential developments affecting the business, prospects, financial conditions and other aspects of the company to which this release pertains. The actual results of the specific items described in the release, and the company's operations generally, may differ materially from what is projected in such forward-looking statements. Although such statements are based upon the best judgments of management of the company as of the date of this release, significant deviations in magnitude, timing and other factors may result from business risks and uncertainties including, without limitation, the company's dependence on third parties, general market and economic conditions, technical factors, the availability of outside capital, receipt of revenues and other factors, many of which are beyond the control of the company. The company disclaims any obligation to update information contained in any forward-looking statement.

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