AeroBox Composite Structures LLC (ACS), which filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code on 23rd January 2007, has achieved a major milestone in its process to re-organize. On 26th February the U.S. Federal Bankruptcy Court in Albuquerque, New Mexico approved Debtor-In-Possession financing that enables the Company to continue to trade.

Posterus Corporation, an investment company that provides specialist DIP financing, is offering up to $4m in fresh funding to support ACS. This new credit line enables ACS to stand on its own two feet after the collapse of its owner last year.

The funds will be applied both to inventory build up and a capital expenditure investment program designed to increase capacity and to improve productivity and manufacturing efficiencies.

Robert Collins, the court approved Chief Restructuring Officer, stated after the Judge’s decision: “This is the best news ACS has had for a long time. The Company is now in the strongest financial position it has been in for years; we are open for business and we are taking orders. ACS has always continued to operate, despite the fact that it has been through the most volatile and uncertain period of its existence. We delivered over 1,500 ULDs in the six months ending January 31, 2007 thanks to the dedication and determination of all of the employees who stuck with us through this most difficult of times. We have continued to manufacture ULDs since filing for bankruptcy protection; we can now give confidence to our suppliers that we can pay our bills; and we can give confidence to our customers that we will be around to honor our spare parts and warranty obligations. With our installed base of AKEs requiring, on average, less than 0.1 repairs per year we believe that we are starting to demonstrate to a mature and cautious industry that our box withstands the rigors of in-service use and delivers tangible value for money. We are keen to let the Industry know that reports of our death have been greatly exaggerated. We are also keen to emerge from these challenges with a renewed commitment to deliver a great product supported by first class customer service; and our new website, www.aeroboxusa.com, will post regular progress in these matters to keep all informed.”

The Company is now working on a reorganization plan that it expects to place before the Court in the spring, in anticipation of exiting Chapter 11 in the summer of 2007.

For further information contact:

Robert Collins, CRO, ACS +1 505 730 7594

Charles Edwards, ACS +1 505 991 2866