MESA, Ariz., March 12, 2004 - Deliveries are up and the mood in Mesa is decidedly upbeat as MD Helicopters, Inc. (MDHI, booth 166), celebrates its fifth anniversary and finalizes plans to attend its sixth Heli-Expo in Las Vegas, Nev., next week, Chief Executive Officer Henk Schaeken said today.

The company was first introduced to the industry at the 1999 rotorcraft event, just after MDHI purchased The Boeing Company's commercial light helicopter product lines.

This year, MDHI will display a specialized MD Explorer® that will soon be flown by the German Police for airborne law enforcement. In addition, demonstration flights in an
MD 600N®, MD 520N® or MD 500E® will be available for potential customers during the convention, March 15-17.

"Our great products will be taking center stage at the convention," Schaeken said. "They are our legacy, and they are our future."  As MDHI celebrates this milestone anniversary, the company is looking ahead to a better 2004 after closing out a year that did not fully meet expectations.

The company delivered 15 helicopters in 2003, including eight MD Explorers, one
MD 600N, three MD 530Fs® and three MD 500Es.

"Our 2003 deliveries were up from the previous year, but they did not meet our expectations," said Schaeken. "While we are not fully satisfied with our results, we continue to make positive strides toward ensuring that each one of our great products meet their full potential."  Schaeken said MDHI has completely resolved technical difficulties that had slowed deliveries of heavily equipped MD Explorers to the Dutch Police and German Police. In fact, the fifth and final aircraft for the German Police will be delivered after Heli-Expo.

In addition, MDHI has modified some of the MD Explorer's subsystems, including the transmission, based on customer input, to further enhance reliability. A variety of new customer options also are being offered across the board, including a highly effective engine barrier filter for MD 500s.

Schaeken made a point to praise the company's suppliers, "both large and small, who have been outstanding in their support of MDHI and in helping us increase our deliveries last year."

Meanwhile, on the eve of Heli-Expo, MDHI was at the center of numerous reports about the U.S. Army's interest in MH-6 Little Bird Helicopters.