AeroCentury's strategic focus is on specialized regional aircraft and engines used for regional passenger traffic and special cargo and courier operations. The Company competes aggressively in the aircraft leasing business. The Company utilizes a $90 million revolving line of credit to purchase aircraft assets. In addition, the Company has obtained $14 million in senior subordinated debt and has used special purpose financing from a European bank.

The Company's business plan is to expand its pool of leased aircraft to achieve capital growth while maintaining a manageable level of investment risk. AeroCentury's management believes that, based on its market knowledge, experience and industry relationships, the Company is well-positioned to achieve its goals. The regional airline market continues to grow, even in times of economic uncertainty. Regional carriers traditionally fare well during recessionary periods because they tend to be flexible, opportunistic and have more manageable cost structures. The Company's emphasis is primarily in regional markets outside the United States.

This page contains forward-looking statements, including: (i) the Company competing aggressively in the aircraft leasing business; (ii) the purchase of additional equipment by the Company; (iii) the lack of competition in the Company's market, and the availability of profitable leasing and remarketing opportunities; (iv) the Company's plan to expand its pool to achieve capital growth while maintaining manageable risks; (v) the Company's position with respect to achieving its goals; and (vi) the growing market served by the Company and the growing demand for aircraft and financing by smaller regional carriers. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. These risks include, but are not limited to satisfaction of conditions required to consummate the new credit line facility, including negotiation of closing documents, obtaining the participation of additional banks to participate in the facility and satisfaction of conditions precedent in the closing documents, general worldwide economic conditions and the possibility of a downturn in the worldwide economy or the aircraft or air carrier industry, ownership risks with respect to the leased portfolio of the Company, lessee credit risks, a high level of competition in the aircraft leasing industry, the potential entry of other competitors in the Company's intended market, the availability of appropriate acquisition and lease transactions on terms acceptable to the Company, and the availability of financing facilities or other sources of capital on terms acceptable to the Company. The forward-looking statements and reasons why results may differ reflect management's point of view only as of the date hereof. The Company undertakes no obligation to revise these statements to reflect subsequent events or circumstances. Readers should also carefully review the risk factors described in documents the Company files from time to time with the Securities and Exchange Commission.