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Baykar Piaggio Aerospace

CAEA (Beijing) Aviation Investment

P180 Avanti

Press Release

Issued by Baykar Piaggio Aerospace.

November 13, 2012

Piaggio Aero P.180 Avanti II aircraft arrives in China

Piaggio Aero and its exclusive dealer for China, CAEA (Beijing) Aviation Investment Co., Ltd. today officially present at the 2012 Air Show China the first P.180 Avanti II aircraft registered in China. The aircraft s/n # 1228 has been delivered directly to Zhuhai for Free Sky Aviation the first Piaggio Aero, Chinese customer and operator.

The brand new Piaggio Aero P.180 Avanti II will be operated in China by Free Sky Aviation under the CAAC certification that was obtained by Piaggio Aero in October 2011.

The delivery of the first P.180 Avanti II represents a milestone for Piaggio Aero and a significant step forward for its business expansion program in China. The delivery of a second aircraft will follow shortly as the second P.180 Avanti II will land at Beijing Free Sky Aviation's Headquarters at the end of December.

Free Sky Aviation will begin their operation offering exclusive private aircraft club program for their P.180 Avanti II fleet, which will introduce a new standard of air travel for Chinese business aviation users. The Piaggio Aero P180 Avanti II is in fact, the world's fastest turboprop aircraft with an outstanding performance and level of comfort, with a maximum speed of 402kts /745kph and a range of nearly 1500 nautical miles. With its full stand up cabin - the biggest in its class of mid-size jets and twin turboprops by far - the P.180 Avanti II provides an airy, comfortable flight for its passengers aided by its low cabin noise and sea level pressurization.

China has a huge potential for aviation and its fast expanding business aviation market is expected to grow and open rapidly in the coming years with the Chinese Government moving to tap its enormous potential and the benefits it offers to Chinese companies and individuals alike. In this expanding economy, Piaggio Aero will now grow in China as a result of their strong partnership with CAEA Aviation Investment Co. Ltd, the exclusive dealer for its P.180 Avanti II aircraft in mainland China.

CAEA is developing the Chinese market for Piaggio Aero through its focused, management experience, mature sales channels and strong market promotion. In delivering the first aircraft to China, CAEA Aviation and Piaggio Aero will grow their mutual business to a new level and expand its long term potential for sales of Piaggio Aero P.180 Avanti II aircraft

"The delivery of our first P.180 Avanti II aircraft in China marks a red letter day for Piaggio Aero and our partner CAEA Aviation. We are delighted to present our first Chinese registered P.180 Avanti II and welcome Free Sky Aviation as the first Chinese Avanti II operator," said Giuliano Felten, Deputy General Manager and Chief Commercial Officer of Piaggio Aero. "The P.180 Avanti II has achieved worldwide success thanks to its outstanding performance, superior comfort, unbeatable economics and unique Italian style. The Piaggio Aero aircraft represents an ideal new business choice for China's private aviation market and now, Chinese business aviation operators, customers and users can have the choice to "fly different" in Piaggio Aero's unique style. The P.180 Avanti II's high performance and superior comfort are tailored to meet the needs of the most selective business elite who will also love the P.180's unique Italian elegance. It's not by chance that Piaggio Aero aircraft has also been chosen by the Scuderia Ferrari, the Ferrari racing team for their aviation needs, and it's the only aircraft in world displaying their legendary Prancing Horse symbol" he added. "Piaggio Aero commits itself to provide the most excellent products for the global multipurpose aircraft market and we are proud to see the first Chinese registered aircraft flying in the sky over China thanks to CAEA and Free Sky Aviation. We trust our P.180 Avanti II aircraft will be a business booster for our partners and for the overall growth of Piaggio Aero in China" he concluded.

Lee Li President President of CAEA Aviation declared: "As the strategic partner and exclusive sales agent of Piaggio P180 aircraft in China region, CAEA is delighted to introduce the P.180 aircraft. The unique and excellent aircraft, in fact, achieves the speed of a light/mid-size jet aircraft and the comfort of a large, customers only pay the purchasing and operating cost alike a typical turboprop aircraft, this is a strong advantage in the market. As first client/operator of P.180 aircraft in China, Free Sky Aviation brings its exclusive private aircraft club program to the market, who will operate P.180 as its major aircraft type as well as other popular jets, so as to provide a high standard service to their exclusive club members. We believe the pioneering and unique business mode of our membership club along with Piaggio P.180 will offer a brand-new solution of business travelers in this region. Chinese customers will get to know more about business aviation through Free Sky Aviation's membership club and Piaggio P.180 aircraft, which are high efficiency, privacy, safety and convenience. From the aspects of purchasing price, operating cost and cabin comfort, Piaggio P.180 is no doubt a perfect choice connecting traditional commercial and business aviation services. We are very confident and excited to work closely with Piaggio for a brilliant future in China's fast growing business aviation market."