Quartz Mountain Aerospace Unveils Its FAA-Certified Single Engine Airplane

Company to Manufacture 68 Aircraft in First Year of Production Ramp Up

OKLAHOMA CITY, March 27 /PRNewswire/ -- Quartz Mountain Aerospace, Inc., based in Altus, OK, announced that it is showcasing the Federal Aviation Administration Type Certified model of a $200,000, four-seat, high-winged Model 185-11E single-engine airplane today at the Wiley Post Airport in this city.

The company, formerly known as Luscombe Aircraft Corp., explained that the Model 185-11E, which will be used primarily as a trainer, is an adaptation of the Luscombe Model 11A, introduced in 1946. The new model is distinguished by superior in-flight and landing stability.

The company said that it already has commitments for its first few years of planned production of Model 185-11E. It said that it was planning to produce about 68 aircraft during the 12 months beginning in September, ramping up to 250 aircraft, or about $50 million in sales for the 12 months starting in September 2007, and 300 aircraft and sales of $60 million during the following 12 months.

John S. Daniel, Quartz Mountain's president and chief operating officer, said, "We are grateful to the State of Oklahoma and the loyal Oklahoma investors for making all this possible. We would never have been able to get this company off the ground if it weren't for very forward-looking and unique tax credit legislation in Oklahoma. Our ability to start manufacturing and to amass the financial resources we need to ramp up production over the next few years is the result of very smart legislation aimed at creating jobs in rural Oklahoma."

The Oklahoma Department of Career and Technology Education ("Career Tech") is a state-funded agency that provides employment training, among other objectives. Through its Southwest Technology Center (SWTC), in Altus, they are providing specialized and customized training for those in the Southwest Labor Investment area. SWTC is collaborating with Quartz Mountain Aerospace (QMA) to customize curricula for the various trades associated with the Model 185-11E. SWTC's first class of trained students are now employed at QMA. They have a second class scheduled for graduation in May of 2006. For convenience and hands-on instruction the SWTC school is conducted in a facility adjacent to the QMA manufacturing facility.

"As those in the aircraft industry know," Daniel added, "getting a new plane certified is a major feat. The confidence and support of Oklahoma has gotten us this far, and we expect to repay this support with a boost to the rural areas of the state by adding jobs and stimulating its economy. This economic boost should permeate throughout Oklahoma, resulting in additional tax revenues that will exceed tax credits given to investors."

"Based on present sales commitments," said Daniel, a former top production executive of Cessna Aircraft, an acknowledged leader in single-engine aircraft manufacturing, "We are anticipating a 20% annual sales growth after our second year of production, so that by year four of production, beginning September 2009, we should be manufacturing at least 360 aircraft in a12-month period, which translates into about $72 million in sales."

Daniel said that Quartz Mountain Aerospace has purchase commitments from Global Aviation Partners, which represents more than 100 flight schools throughout the country.

The company noted that 300 aircraft per year would add about 300 new jobs at the company itself. Quartz Mountain Aerospace is headquartered at Altus, in Jackson County, which lost 2.15 percent of its population between 2004 and 2005. Only one county in the nation suffered a larger loss.

In addition, another 100 plus jobs will be created at the company's manufacturing suppliers in Alva, Ardmore, Tulsa, Oklahoma City and other Oklahoma-based companies. Based on aircraft manufacturing industry salaries, 400 jobs are equal to an annual payroll of about $30 million. Daniel noted that as the company grows by 20% per year, so will jobs and annual payroll. It is estimated that an additional $30 million in payroll will have a ripple effect of adding $150 million to the state's economy.

About the Model 185-11E

The Model 185-11E is a four-place, single-engine, fuel-injected, tricycle-gear, all-metal aircraft, with superb performance and handling characteristics, and a spacious utility interior. New nose wheel steering aids the sturdiness of the craft and helps pilots establish a level of ground directional control that no other aircraft in its class can achieve. The climb rate is 876 feet-per-minute. Normal cruise rate is 133 mph. The plane has a range of 575 miles with fuel capacity of 40 gallons. The fuel-injected engine produces 185 hp at only 2450 RPMs consuming a mere 7.4 gallons per hour. The model is extremely sturdy.

     Media Contact:

     Richard Stern                          John S. Daniel
     Stern & Co.                            Quartz Mountain Aerospace
     212/888-0044                           580/477-3355
Email Contact                   
Email Contact

CONTACT: Richard Stern of Stern & Co., for Quartz Mountain Aerospace,
Inc., +1-212-888-0044, or Email Contact; or John S. Daniel of Quartz
Mountain Aerospace, Inc., +1-580-477-3355, or Email Contact


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