Transmitted by CNW Group on : November 25, 2008 09:52

AeroMechanical Services Ltd. Announces Milestone Contract with Middle Eastern Military Organization

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AeroMechanical Services Ltd. TSX-V Trading Symbol "AMA"
A Tier 2 Industrial Issuer
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CALGARY, Nov. 25 /CNW/ - AeroMechanical Services Ltd. ("AMA") is pleased
to announce that we have received the first contract from a leading Canadian
electronics provider who is representing a Middle Eastern military
organization to outfit their Lockheed Martin (LMCO) C-130H Hercules aircraft
with AMA's patented afirs(TM) UpTime(TM) system, as part of an upgrade
program.
"The C-130 Hercules is the global airborne workhorse for delivering
people and supplies to the most difficult to reach and dangerous areas in the
world, with over 2,000 aircraft built, dating back decades. Our afirs(TM)
UpTime(TM) modular system is ideally suited as a C-130 upgrade as it enables
crew voice, text, and aircraft data communication anywhere on the globe,
heretofore not possible, thus improving operational control, mission
effectiveness, maintenance planning, and safety. We hope this contract could
be replicated with afirs(TM) being used by many countries around the world who
operate the Hercules. There are numerous ongoing and planned upgrade programs
in which afirs(TM) could be considered as a high value added improvement to
the aircraft," stated Richard Hayden, President of AMA.
The terms of the contract are as follows: the contract is for a 3-year
term whereby AMA will provide AMA's patented afirs(TM) UpTime(TM) solution on
aircraft (with the possibility to increase it as the size of the carrier's
fleet of aircraft increases). If AMA is able to install on all the contracted
aircraft and provide recurring service for the full term of the agreement, the
gross revenues to AMA under this agreement would be approximately $1,365,000.
Payments will commence in December 2008.
This addition increases the total aircraft under contract for afirs(TM)
installations with AMA to 766 from 33 carriers/operators.

This disclosure as it relates to this agreement is subject to the
following disclaimer:

When a contract is initially signed, the intended number of aircraft,
pricing and potential installation schedules is agreed to by the parties. The
actual installation schedules as well as the number and types of aircraft are
often revised throughout the term of the agreement as the airline realigns its
fleet of aircraft with its business requirements. Delays in installations can
and do occur which can affect the total value of the contracts such that the
revenues noted above may not be fully achieved. Fulfillment of the contract
terms may also be affected if there are any changes to government statutes,
regulations or rules of the applicable governing bodies. The contract terms
and values disclosed herein are based on the original information available to
AMA upon execution of the contract and are subject to change. For the actual
revenue earned, please see AMA's financial statements including its revenue
recognition policy disclosed within the notes to the Audited Annual Financial
Statements.

About AeroMechanical Services Ltd.

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.

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

The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this press release.
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%SEDAR: 00016486E

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

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