Utilicraft Aerospace Industries Inc (UITA)

[chief]

Market needs.

Requirement for more shipments with in-transit visibility and containerization delivered as close as possible to its end destination. This market niche includes the freight feed operations of the overnight/two day express airlines, the airline freight feeder market, the world postal services, manufacturing just-in-time inventory and fulfillment, the combination passenger/cargo airlines, and the international airlines.The initial targeted client base consisted of international and domestic freight carriers seeking to expand their freight services and revenue bases. Initial, discussions have begun with several unsolicited international carriers based in Europe, Middle East, East and South Africa, Asia and India. The Competition Other companies that build small and intermediate-sized aircraft such as Canada’s DeHavilland, and the U.S.’s Beechcraft and Cessna currently have no products that FreightFeeder Aircraft Corporation is aware of with comparative features that would directly compete with the FF5000. Aerospace (France) and British Aerospace, which build larger jet aircraft,also manufacture intermediate-sized passenger aircraft that are often converted for freight,but the company believes such aircraft are too large to pose a threat to the targeted market segment.Intermediate-sized aircraft such as the DeHavilland Dash 8, Aerospatiale ATR42 and72, ATP, Saab 340, Embraer EM120, Dornier328 and CASA 235 were specifically designed to haul passengers at high speeds to the major hub airports. Therefore, their designs cannot be modified to accommodate the features needed in a pure freighter aircraft, such as a larger forward side cargo door, high point-load capable floors, cargo net attachments, and a container roller system, and, as a result, they pose little competitive threat to this market segment. With every passing year, fewer of these aircraft are available for the utility market due to the increasing fleet age and the difficulty of getting parts and other product support. Even when spare parts are available, the older designs of these aircraft make them unattractive freight haulers. They are heavy, fuel-intensive, and prone to breakdowns, grounding planes and stranding cargo. These pose little real threat to the FF5000 purely from an economic standpoint, because they are too small and too expensive to operate with modern freight handling systems.