MD Explorer® Offers Best Value at the Best Price

MESA, AZ, Oct. 20, 2005  -  MD Helicopters, Inc. (MDHI) has delivered its Light Utility Helicopter (LUH) proposal to the U.S. Army Aviation and Missile Command headquarters at Redstone Arsenal, Alabama.

"MDHI embraced the Army's progressive approach on the LUH Program that combined tough demands on specifications in the helicopter with stringent requirements for logistics/training programs and a stipulation for a cost-effective solution," said Lynn Tilton, Chairman of the Board of Directors of MDHI. "Our aircraft, the MD Explorer®, is the only FAA-certified, off-the-shelf solution available that combines the strict performance requirements dictated by the LUH program with price and total operating costs as set forth."

MDHI is proposing its MD Explorer® Light Utility Helicopter and Contractor Logistics Support (CLS) team for the U.S. Army's LUH Program. With MDHI as prime contractor in the proposal, DynCorp International, Aviation Systems of Northwest Florida and GENCO Infrastructure Solutions complete the team that will provide both the aircraft and CLS throughout the life of the program.

"These are industry-leading partners to have on our team," said Robert René, Chief Executive Officer for MDHI. "Together, along with the MD Explorer®, we have offered the Army a superior combination of aircraft and logistical support. We appreciate the opportunity to participate in the Army's evaluation and look forward to the selection process." 

In anticipation of the U.S. Army aircraft demonstration phase, MDHI will roll out two MD Explorer® aircraft equipped specifically for U.S. Army service. The aircraft will be delivered to the U.S. Army for the fly-off that begins in late November.

MDHI has upgraded the MD Explorer® to include a Heli-Dyne Systems 600 lb.-capable hoist for rescue operations. It has also has added primary flight displays featuring the new FlightLogictm 3-D Synthetic Vision electronic flight information system (EFIS) from Chelton Flight Systems. The EFIS combines advanced heads-up-display (HUD) type symbology with real-time forward-looking 3-D terrain imagery.

The FlightLogic primary flight display provides an accurate three-dimensional representation of the oncoming terrain reflecting the aircraft's relationship to that terrain in real time. This feature, and other elements within the system, will add an enhanced level of safety and reduction in pilot workload for MD Explorer® pilots.

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About MD Helicopters:
MD Helicopters is a leading manufacturer of commercial and military helicopters. The MDHI family of rotorcraft is world renowned for their value, versatility and performance. The MD Helicopters family includes the twin-engine MD Explorer®, and single engine versions of the MD 600N, MD 520N, MD 500E and MD 530F. The NOTAR system for anti-torque control is the exclusive property of MD Helicopters. The Company is based at Mesa, Arizona.

About Patriarch Partners, LLC
Patriarch Partners, LLC is an investment firm in New York and Charlotte, North Carolina which together with its affiliates, provides portfolio management services and serves as investment advisor to multiple leveraged funds and a private equity fund. Founded in 2000 by Lynn Tilton, Patriarch provides innovative financial solutions, strategic direction and operational expertise to companies undergoing periods of pervasive change. Patriarch currently monitors credit facilities in respect to approximately $5 billion dollars of assets under its management, including  equity positions (majority and minority) in more than 65 companies. Lynn Tilton serves as Chairman of the Board of MDHI. Funds managed by Patriarch Partners own a majority and controlling interest in MDHI.

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Contacts: Ken Jensen
MD Helicopters
(480) 346-6131

Matt Triaca
Burson-Marsteller
(202) 530-4690