AeroMechanical Services Ltd. Announces Closing of $4.5 Million Bought Deal Private Placement



    /NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN
    THE U.S./

    CALGARY, March 13 /CNW/ - AeroMechanical Services Ltd. (TSXV: AMA) today
announced that it has closed its previously announced bought deal private
placement. Research Capital Corporation acted as the underwriter for the
offering. The offering provided for a $3,000,000 bought deal private placement
with an underwriter's option to increase the offering by up to an additional
$1,500,000 for a total of $4,500,000.
    An aggregate of 4,500,000 units ("Units") were issued by the Corporation
at a price of $1.00 per Unit, for gross proceeds of $4,500,000 (the
"Offering"). Each Unit consists of one (1) common share ("Common Share") and
one half of one (1/2) Common Share purchase warrant ("Warrant"). Each whole
Warrant will entitle the holder to acquire one (1) Common Share for a period
of two years from the closing date of the Offering at an exercise price of
$1.30 per Common Share.
    Research Capital Corporation was paid a cash commission of $360,000 in
connection with the Offering. In addition, Research Capital Corporation was
issued 315,000 underwriter's warrants to acquire up to that number of units
("Underwriter's Units"), at price of $1.00 per Underwriter's Unit, for a
period of 18 months from the date of issue.
    The proceeds from the Offering will be used to fund the Corporation's
working capital needs and for general corporate purposes. All of the
securities issued pursuant to the Offering are subject to a 4-month hold
period. Completion of the Offering is subject to the final approval of the TSX
Venture Exchange.
    The securities offered have not been registered under the U.S. Securities
Act of 1933, as amended, or any state securities laws, and may not be offered
or sold in the United States absent registration or an exemption from the
registration requirements. This press release shall not constitute an offer to
sell or the solicitation of an offer to buy nor shall there be any sale of the
securities in any jurisdiction in which such offer, solicitation or sale would
be unlawful.

    ABOUT AEROMECHANICAL SERVICES LIMITED

    AeroMechanical Services Ltd. provides proprietary technological solutions
and services designed to reduce costs and improve efficiencies in the airline
industry. The company has successfully commercialized three products and
associated services currently marketed to airlines, manufacturers and
maintenance organizations around the world. Its premier technology afirs(TM)
UpTime(TM) allows airlines to monitor and manage aircraft operations anywhere,
anytime, in real-time.

    afirs, UpTime, FLYHT and aeroQ are Trade Marks of AeroMechanical Services
Ltd.

    %SEDAR: 00016486E




For further information:

For further information: Tom French, CFO, AeroMechanical Services Ltd,
(403) 291-7427, tfrench@amscanada.com; Bob Beaty, The Howard Group Inc., Toll
Free: 1-888-221-0915, Info@howardgroupinc.com, www.howardgroupinc.com

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AEROMECHANICAL SERVICES LTD.

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