INVESTOR PRESENTATION

MAY 2015

A UNIQUE OPPORTUNITY TO GAIN

EXPOSURE TO A COMPANY

CAPITALISING ON THE EXPONENTIAL

GROWTH OF UAVS AND THE WIDER

AEROSPACE INDUSTRY

www.strat-aero.com

AN INTRODUCTION TO STRAT AERO PLC

Offering turnkey customised solutions to a range of

commercial energy operators, government bodies and

local law enforcement agencies.

2

AN OVERVIEW

• A multi-divisional aerospace services company with an established position within the aviation sector

• Established in the U.S. by a group of aviation specialists

• Developed a specific emphasis on UAV and UAS operations and training

• Consultancy and development agreements with international aviation companies, government bodies and universities

• Current revenue streams from existing contracts and consultancy agreements

• Extensive network of employees and consultants across offices worldwide

6 offices

worldwide 3main

operating

divisions 8time zones

operated

across

3

EXPERTISE & PARTNERS

• Unique UAV training complex under development in Roswell, New Mexico – providing

training for commercial, law enforcement and military applications

• Letter of Intent with the Government of the Netherlands to establish a European UAV

training academy

• Co-operation agreement in place with one of the largest defence contractors in the U.S.

• Technical Services Agreement with the National Renewable Energy Laboratory (NREL), a

division of the U.S. Department of Energy, to conduct research and development

programmes to inspect and analyse wind turbine performance and reliability using UAVs

• MOU with 4D Tech Solutions, Inc, a well-established engineering services provider, to

pursue and deliver contracts to the US Government and international agencies

• Option Agreement to acquire 70% of independent industrial and energy sales and

marketing group New Amsterdam Global Solutions LLC to capitalise on UAV demand in

the US commercial sector

32trainee

capacity on-

site at Roswell 2training facilities

planned under

development

4

A LEADING TEAM OF SPECIALISTS

75,000total hours

of flying time

accrued 400years of

combined

experience

Bob

SalluzzoDirector & Chief

Financial Officer

Capt.

Graham PeckExecutive Chairman

Capt.

Russell PeckChief Executive

Officer

Capt.

John AdamsChief Operating

Officer

Bob

ClementDirector of

Marketing

- North America

5

THE STRAT AERO BUSINESS

test

Access to UAV training

facilities

Established contracts

and leading position in

the industry

Intellectual property &

high calibre personnel

6

Aviation software,

products &

servicesUAS pilot training &

services

Aviation

management &

consultancy services

“Capitalising on market opportunities resulting from the strong

growth forecast in the airline industry and rapid growth forecast

in the emerging UAV industry over the coming decade”

UNMANNED AERIAL VEHICLES (UAVS)

Understanding the capability of UAVs as a tool to

transform numerous commercial sectors in addition to

military and emergency service applications

7

THE RISE IN UAVS

• Use of UAVs has grown rapidly in recent years due to:• Significant recent technical advances making UAVs more flexible,

reliable and readily available

• Significant cost and safety considerations – no danger to the pilot or flight crew and much cheaper than traditional aircraft

• UAVs can stay aloft for many hours

• UAVs continue as the most dynamic growth sector of the world aerospace industry this decade†

$82.1

billion

market to grow

to $82.1bn

between 2015

and 2025††

103,776

new jobs

to be created

through

UAVs by

2025 ††

† Teal Group: 2014 UAV Market Profile and Forecast†† The AUVSI Economic Report 2013

8

DIFFERENT APPLICATIONS FOR UAVS

Urban

infrastructure

planning

Oil & Gas

Exploration Farming

9

DIFFERENT APPLICATIONS FOR UAVS

Critical

infrastructure

security

Law

enforcement Search & Rescue

10

EXAMPLES OF UAVS

SkyRanger

11

SandStorm

Predator/Reaper

Large long-range fixed

wing military UAV for

surveillance and tactical

weapons delivery

Medium “intelligent” fixed

wing UAV – low cost

training solution for UAVs

using computer emulation

Small short range multi-

rotor commercial UAV for

surveillance, law

enforcement and inspection

Providing a range of

different UAVs to suit

the customers

individual requirements

and budgets

BENEFITS OF UAVS 12

Compared to

manned aircraft,

UAVs are:

• Significantly more cost

efficient

• More effective with

considerably more optionality

• More productive

• Provide faster deployment

• More time efficient – can fly at

times when helicopters/other

aircraft cannot

• Inexpensive compared to helicopters and other aircrafts

• Easy to deploy and operate

• Imaging capability:• Optical – still/video

• Infrared

• 360º view

• “Cloud” based data storage and retrieval

STRAT AERO’S SERVICES

Multi-divisional aerospace services company leveraging

its established position within the aviation sector to

expand existing consultancy and development

agreements

13

UAS PILOT TRAINING & SERVICES

• Co-operation agreement signed with a major US defence contractor to provide facilities and

manpower to train military pilots transitioning from basic pilot training to flying fixed wing UAVs

• UAV use is expanding for military tactical missions – acute need for training with annual losses

of Predator and Reaper aircraft from crashes in the take-off and landing phase currently

amounting to several million dollars

• Initial estimates are that one branch of the military will require 750 pilots to be trained each

year – the prime contractor will be providing the equipment including up to three fixed wing

training UAVs

• Training will take place in Roswell, New Mexico (U.S.) – personnel and full facilities including

new UAV runways, accommodation, training vehicles and software are ready to commence

operations

• A second UAV training facility is planned at Valkenburg following a Letter of Intent being signed

with the Netherlands Government

750

pilots

to be trained each

year from just one

branch of the U.S.

military

$12,750

revenue

expected from

each pilot –

initial capacity

of 32 per month

14

UAV Military Training – uniquely positioned to capitalise on projected demand

UAS PILOT TRAINING & SERVICES

• Opportunities in training due to existing agreements and capacity scalability at the UAS

Training Centre in Roswell, New Mexico - State sponsored/locally supported

• Targeting law enforcement agencies – Federal, State and Local for opportunities with fixed wing

and in particular multi-rotor UAVs – driven by inherent flexibility, cost savings, safety and

minimal disruption to the public compared with current helicopter based operations

• First turnkey demonstration/rental multi-rotor UAV already operational

• Research lab at Los Alamos, New Mexico demonstration proved technical feasibility for Law

Enforcement Agency requirements

• Objective to sell nationally as a part of its commercialisation plan for law enforcement

• Strong sales pipeline with several potential clients

254sheriff

departments

in Texas

15

Law Enforcement & Commercial Training Services

100Total sheriff

departments in New

Mexico & Colorado

UAS PILOT TRAINING & SERVICES

• Technical Services Agreement (TSA) in June 2014 with the National Renewable Energy

Laboratory (NREL), a division of the U.S. Department of Energy, to conduct research and

development programmes to inspect and analyse wind turbine performance and reliability

• Includes the development of effective tools in preventing shut-downs and disasters for wind-

farm operators – combination of UAVs and the most recent development in technologies such

as HD video, metadata collection, thermal imaging and LIDAR

• Acceleration of market penetration anticipated through agreement and option to acquire 70%

interest in New Amsterdam Global Solutions LLC, an independent industrial and energy sales

and marketing group

• New Amsterdam team has worked with, and has access to clients including, TD Westinghouse,

General Electric, Dewind and T. Boone Pickens

• Other commercial uses include monitoring of oil industry structures and power transmission

lines

49,000wind

turbines

currently

in the U.S.

16

UAV services – specialist UAV commercial development

to check 1 turbine

using a sUAS

compared to half a

day to do manually1hr

AVIATION SOFTWARE PRODUCTS & SERVICES

• Proprietary advanced aerospace management system providing management solutions for a

diverse range of aerospace requirements delivered on a range of platforms including smart

phone and tablets – all IPR owned by Strat Aero

• All-in-one low cost intuitive cloud-based programme designed to assist companies that manage

multiple assets such as aircraft, personnel, scheduling etc. – targeting fixed base operators,

member associations and service providers

• Functionality includes: Learning Management System, customisation for FBO Business

Management, delivery & tracking of eLearning, Safety Management System (SMS) mandated by

many countries, delivery & tracking of specific safety and workplace training and construction

of ad hoc workgroups to track effectiveness

• Revenue generated via contract with an aircraft cleaning company with over 800 employees –

this established software will be offered to similar service companies across the industry

100%IP owned

by Strat

Aero

17

Aerospace Information Manager Software (‘AIMs’)

1,200airports in the

U.S. – 60% have

FBOs

CONSULTANCY SERVICES

• Awarded contract for the project management for the establishment of a new low cost airline in

the Middle East – initial processes underway and completion expected in 2015 – services

provided by Strat Aero range from leasing aircraft to staff training

• Contract with the Civil Aviation Authority of a European country for the supply of Flight

Operations Inspectors for the purpose of approving and recommending Air Operator

Certificate (AOC) applications in respect of helicopter operations related to the oil industry

• Authoring of EASA (European Aviation Safety Agency) compliant Technical Publications for

Regulatory Authorities – currently contracted by EU nation

• Initial talks underway for the provision of a range of consulting services to a Government

agency on the African Continent

1Co-Operation Agreement

to certify EASA compliant

training centres in Eastern

Europe

18

A full service consultancy to the aviation and aerospace sector

4additional

agreements in

negotiation

SUMMARY

Strat Aero is a leading specialist in delivering turnkey

UAV solutions, aviation software and consultancy

services to the commercial, education, military and law

enforcement sectors

• Established revenue generative business with exposure to the projected exponential growth in

the use of UAVs

• Uniquely qualified board encompassing pre-eminent aviation expects and highly experienced

corporate/financial specialists

• Positioned to leverage its advantage in UAV pilot training with Roswell facilities in addition to

planned facilities at Valkenburg

• Strong reputation – committed to being a leading technology and consultancy services group

and one of the industry’s foremost providers of UAS pilot training, e-learning based aviation

products and consulting/management services

• International footprint – well positioned to execute rapid growth across numerous jurisdictions

• Pipeline of news flow including new contract wins/JVs with civil and military bodies and new

product launches to further bolster financial performance

19

CONTACTS www.strat-aero.com

CONTACTS

CAPT. RUSSELL PECK | CEO

STRAT AERO PLC

T: +1 832 912 4273

M: +1 832 236 4092

E: russell@strat-aero.com

CAPT. GRAHAM PECK | CHAIRMAN

STRAT AERO PLC

T: +44 1293 804741

M: +44 7702 043 796

E: graham@strat-aero.com

STUART GLEDHILL & KATY BIRKIN | NOMAD

SP ANGEL CORPORATE FINANCE LLP

T: +44 20 3463 2260

ANDREW GUTMANN | BROKER

BEAUFORT SECURITIES

T: +44 20 7382 8315

FRANK BUHAGIAR & SUSIE GELIHER | PR & IR

ST BRIDES PARTNERS LTD

T: +44 20 7236 1177

www.strat-aero.com