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AeroGroup (fka AROU) RSS Feed

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http://biz.yahoo.com/pz/060720/102468.html Tactical Air Defense Services Enters into Asset Purchase Agreement with AeroGroup, Inc. Thursday July 20, 12:30 pm ET NEW YORK, July 20, 2006 (PRIMEZONE) -- Tactical Air Defense Services, Inc. (OTC BB:TADF.OB - News) today announced that the Company has entered into an Asset Purchase Agreement with AeroGroup, Inc. wherein Tactical Air Defense (``TADS'') has agreed to acquire all assets and assume all liabilities of AeroGroup in exchange for shares of the Company's common stock. The agreement is anticipated to close by the end of August, 2006 and is subject to various closing conditions. ADVERTISEMENT AeroGroup, Inc. is a provider of outsourced military and new pilot training services and support. Under the terms of the Definitive Agreement, TADS will pay AeroGroup 14,989,800 restricted shares of the Company's common stock at the closing in exchange for AeroGroup's assets, which will result in AeroGroup controlling a majority of the Company's voting stock. In all, TADS will assume obligations of AeroGroup's secured and unsecured convertible indebtedness in the aggregate amount of approximately $8.4 million (inclusive of interest on the date hereof) and various warrants to purchase common stock. In aggregate, over 36,506,113 shares of TADS common stock may be issued upon conversion of the assumed indebtedness with an additional 21,566,805 issuable upon exercise of the warrants. It is intended that the assets acquired from AeroGroup will be used by Tactical Air Defense in connection with providing military pilots with both ``basic'' and ``combat'' flight training services. Included as part of the Asset Purchase Agreement, TADS will acquire two MiG 29 Fulcrum fighters valued at $5.6 million and four tactical jet simulators valued at $1.14 million, as well as various patents and existing contracts and subcontracts. Utilizing these aircraft and flight simulators, TADS will focus on providing U.S. and NATO military pilots with a ``real life'' opportunity to train against threat-type aircraft. A copy of the Asset Purchase Agreement can be found in the Company's 8-K filed with the Securities & Exchange Commission on July 14, 2006.
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