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Feature story in The Philadelphia Inquirer

KEYSTONE HELICOPTER FOUNDER AND CHAIRMAN EMERITUS RECEIVES LIFETIME ACHIEVEMENT AWARD

WEST CHESTER, PA., December 11, 2002 — Keystone Helicopter owners and employees presented Peter Wright Sr. with a Lifetime Achievement Award at a heavily attended gala event on Dec. 7th in recognition of his 50 years of rotorcraft industry leadership. “You were our first eagle,” said Keystone Helicopter Chairman & CEO Steve Townes, as he presented Mr. Wright with a large, beautiful sculpture of an eagle in flight, inscribed with those same words of tribute.

The surprise presentation followed the unveiling of a new 7-minute video combining vignettes from Keystone Helicopter’s 50-year history with current-day operations. Mr. Wright, one of the original “Flying Tigers” of World War II fame, founded Keystone Helicopter in February 1953 in Philadelphia, during the period when the helicopter was first finding viable commercial applications. Mr. Wright was one of the rotorcraft industry’s first risk-takers, and Keystone Helicopter is one of the oldest firms in the industry.

In accepting the award, Mr. Wright said: “I founded the company on the core values of Quality and Safety, and those remain its driving principles today. I’m proud to see how far we’ve come in 50 years, but I predict the best is yet to come for Keystone Helicopter as we make even bigger strides of leadership in the helicopter industry. The sky’s the limit!”

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER NAMES JIM SCANISH TO ITS SALES TEAM

WEST CHESTER, PA., December 4, 2002 — Keystone Helicopter Corporation has appointed Jim Scanish to the position of technical sales manager for engineering services, avionics upgrades/modifications and special mission packages. In announcing the appointment, David Ford, Keystone’s Vice President – Helicopter Services, said, “Jim’s extensive engineering and avionics background and his excellent reputation with our customers and the FAA makes him uniquely qualified for this position.”

Mr. Scanish joined Keystone Helicopter in 1981 as an avionics technician and has been the avionics manager since 1989. In his new role, Mr. Scanish will manage and coordinate all sales activity for Keystone’s engineering division and for avionics systems and special mission packages.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER SELECTS RECEIVES ODAR APPOINTMENT FROM FAA

WEST CHESTER, PA., November 18, 2002 — Keystone Helicopter Corporation has been named an Organizational Designated Airworthiness Representative (ODAR) by the Federal Aviation Administration. This appointment allows Keystone to issue export airworthiness approvals for Class I (aircraft, engines and propellers), Class II (major components of Class I) and Class III (parts) products. Other authorized functions include issuing standard airworthiness certificates, ferry permits, STC conformities, replacement standard airworthiness certificates, special experimental certificates and restricted airworthiness certificates for military surplus rotorcraft.

“This new authorization puts Keystone in the unique position within the aviation industry of holding all helicopter-oriented FAA designations,” stated Engineering Division Manager James Munda. “With the combination of our ODAR and DAS authorizations, we are now capable of providing total service from concept to completion for our rotorcraft customers.”

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER NAMES STEVEN WEINERT TO ITS MANAGEMENT TEAM

WEST CHESTER, PA., November 1, 2002 — Keystone Helicopter Corporation has appointed Steven Weinert as Division Maintenance Manager – Flight Services. Mr. Weinert’s responsibility will be to oversee all maintenance, repair/refurbishment and overhaul activity for the 30 twin-engine air medical helicopters managed by Keystone’s Flight Services Division.

Mr. Weinert’s previous maintenance experience includes senior management roles with LifePort, Inc. in Woodland, Washington, Air Methods Corp. in Englewood, Colorado, and Rocky Mountain Helicopters, Inc. in Provo, Utah. Most recently Mr. Weinert served as president of Flite Tech Consulting Group LLC in Vancouver, Washington. Rick Hinkle, Keystone’s Vice President – Flight Services, said, “We are very pleased to have Steve on board. We know he will be invaluable to our goal of reaching new heights in providing timely customer-focused and cost-effective maintenance for our air medical customers.”

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER NAMES JOSEPH ESMERADO TO ITS MANAGEMENT TEAM

WEST CHESTER, PA., September 10, 2002 — Keystone Helicopter Corporation has appointed Mr. Joseph Esmerado as Director, MRO Services. Mr. Esmerado’s responsibility will be to oversee all maintenance, repair/refurbishment and overhaul activity for Keystone’s Helicopter Services Division.

Mr. Esmerado’s previous experience includes senior technical leadership roles with Butler Aviation—one of the largest repair stations in the United States at that time—and, most recently, Jet Aviation.  David Ford, Keystone’s Vice President – Helicopter Services, said, “Mr. Esmerado is well known and highly regarded in the corporate helicopter marketplace.”

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER TO HOST AVIATION INDUSTRY DIGNITARIES AT TRAINING SYMPOSIUM

WEST CHESTER, PA., September 5, 2002 — Keystone Helicopter Corporation, in conjunction with the International Society of Aviation Maintenance Professionals (ISAMP), will sponsor a symposium presented by three of the most distinguished leaders in aviation maintenance training. They are:

The Honorable John Goglia – Member of the National Transportation Safety Board and the first member to hold an FAA aircraft mechanic’s certificate

Ms. Carol Giles – FAA Deputy Division Manager, AFS 300

Mr. Albert Michaels – FAA National Resource Specialist, Helicopters, AFS-307

ISAMP, an FAA-endorsed organization dedicated to advancing safety and professionalism, demands higher standards of maintenance training and ethical conduct for aviation technicians than those required by the FAA.  Keystone leads the industry with their maintenance training program by making available to employees the best trainers in the industry for meeting these higher ISAMP standards. As a result of this dedication to excellence, Keystone recently received the FAA Diamond Award, the highest training award given by the FAA. The firm has received FAA training awards every year for the last five years.

This aviation symposium, which is open to any qualified aviation maintenance technician, will be held on September 9, 2002, at Keystone’s West Chester base.  Those who complete it will have met the requirements for FAA Inspection Authorization renewal, the FAA Aviation Maintenance Technician Awards program, and will receive credit toward ISAMP certification.  “Keystone is honored to be able to host this symposium with these nationally respected leaders from the NTSB and FAA,” stated Steve Townes, CEO of Keystone Helicopter and Founder/CEO of Keystone’s parent company, Keystone Ranger Holdings, Inc.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER ANNOUNCES DAS ADMINISTRATOR APPOINTMENT BY FAA

WEST CHESTER, PA., September 3, 2002 — Keystone Helicopter Corporation is pleased to announce the recent Federal Aviation Administration appointment of James A. Munda as Keystone’s Designated Alteration Station (DAS) Administrator.

Mr. Munda joined Keystone in 1987 as a structural Designated Engineering Representative and was promoted to Manager of Engineering in 1997. Prior to his employment at Keystone, he was a project engineer for Piasecki Aircraft Corporation.

Keystone’s Engineering Division, KeyTech, holds one of only 31 Designated Alteration Station authorizations granted worldwide by the FAA.  Keystone’s DAS authorization is for Part 23, 27 and 29 aircraft. The DAS license allows Keystone’s engineering teams to certify complex aircraft modifications and upgrades.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER ADDS ARGOSY PARTNERS TO ITS INSTITUTIONAL INVESTOR GROUP

WEST CHESTER, PA., July 3, 2002 — Keystone Helicopter, a leader in the helicopter services industry, has added Argosy Investment Partners II LP of Wayne, PA, to its outside group of institutional investors. The exact terms of the private “mezzanine” investment will not be disclosed. Steve Townes, CEO of Keystone and Founder/CEO of Keystone’s parent company—Keystone Ranger Holdings, Inc.—said: “We welcome Argosy’s investment experience and capital resources as we continue to grow Keystone Helicopter internally as well as through follow-on acquisitions.”

Argosy Partners is an SBIC-licensed investment firm that specializes in middle market companies in need of growth capital. Argosy, through its various entities and affiliates, has more than $200 Million under management. Argosy currently has 30 companies of various types in its investment portfolios, and has invested in more than 50 companies since its inception in 1989. Kirk Griswold, Managing Partner for Argosy’s investment in Keystone Ranger Holdings, said: “This is a strong performing, high quality aviation company which fits very well with our investment criteria. We are strong supporters of their strategy for additional acquisitions and top-tier leadership of their served market segment.”

Keystone Helicopter was acquired in January 2002, by a Philadelphia group of aviation investors led by Ranger Aerospace LLC.  Institutional investors include Ranger Aerospace, Meridian Venture Partners, and CD Ventures, in addition now to Argosy Partners. Townes is the Chairman of Ranger Aerospace, an acquisition vehicle that he has used for other aviation ventures such as “Aircraft Service International Group” prior to acquiring Keystone Helicopter. Substantial ownership is also held by the company’s management team, and by the Wright family, original founders of Keystone Helicopter.

Keystone Helicopter Corporation, founded in 1953, currently manages air medical transport programs comprising 130 pilots, 39 mechanics and 28 helicopters, at 24 sites in the eastern United States. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com;  www.rangeraerospace.com: www.argosycapital.com.

Forward Looking Statements: The Company from time to time may discuss forward-looking information. Except for factual historical information, all forward looking statements are estimates by the Company’s management and are subject to various risks and uncertainties that are beyond the Company’s control and may cause actual results to differ materially from management’s expectations.

KEYSTONE HELICOPTER TO MANAGE ARKANSAS CHILDREN'S HOSPITAL FLIGHT PROGRAM

WEST CHESTER, PA., July 16, 2002 - Keystone Helicopter's Flight Division has signed a five-year agreement with Arkansas Children's Hospital in Little Rock to provide flight management services for the hospital's state-of-the-art, intensive-care "Angel Flight" transport program. Keystone will employ nine pilots and three mechanics to support the program's two twin-engine helicopters. In addition, Keystone is currently completing the fit out of two new Sikorsky S76C+ helicopters to upgrade the fleet.

Arkansas Children's Hospital, a private, non-profit institution, provides comprehensive, high-quality medical care to children from birth to age 21. Angel Flight transports critically-ill newborns and children from their referring hospitals to ACH, the only pediatric medical center in the state and one of the ten largest in the nation. For more information, visit their Web site: www.archildrens.org.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several eastern states, primarily in the air medical mission. The firm also operates a large technical services depot and completion center near Philadelphia. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER LICENSED BY TURBOMECA AND SIKORSKY TO MANUFACTURE AND SELL S76 A++ CONVERSION KITS

WEST CHESTER, PA., July 3, 2002 - Keystone Helicopter Corporation recently signed agreements with Turbomeca Engine Corporation and with Sikorsky Aircraft, establishing Keystone Helicopter as the primary independent supplier and installer of A++ Conversion Kits for the S76A helicopter.

The Keystone / Turbomeca agreement follows many years of successful projects together, including re-engining more than 20 Sikorsky S-76A helicopters to the more powerful Arriel 1S and, more recently, 1S1 engines. The agreement designates Keystone as the exclusive, world-wide source for Arriel engines in conjunction with A+ and A++ Conversion Kit sales. Turbomeca will continue to build, support and warranty the engines. 

The non-exclusive licensing agreement with Sikorsky Aircraft authorizes Keystone to manufacture, sell and install the A++ Airframe Conversion Kit in accordance with the Sikorsky-owned STC. This agreement also comes after a long history of a good working relationship, which in recent years has included all new S76C+ Completions.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several Northeastern states, primarily in the air medical mission. The firm also has a large technical services depot near Philadelphia for an impressive list of helicopter fleet customers and operators. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com.

KEYSTONE HELICOPTER SIGNS FLIGHT MANAGEMENT AGREEMENT WITH THE METROHEALTH SYSTEM IN CLEVELAND

WEST CHESTER, PA., June 11, 2002 — Keystone Helicopter’s Flight Division has signed a five-year agreement with The MetroHealth System in Cleveland to provide flight management services for the health system’s Metro Life Flight program. Keystone will employ 25 pilots and nine aircraft maintenance technicians for support of the hospital’s four Sikorsky S-76 helicopters.

MetroHealth is a 728-bed public teaching hospital affiliated with Case Western Reserve University. It is the largest volume Level I Adult and Pediatric Trauma Center in Ohio. Their Metro Life Flight’s aircraft provide around-the-clock critical care transport to MetroHealth and more than 60 other regional hospitals throughout Ohio. For more information, visit their Web site: www.metrohealth.org.

Keystone Helicopter is one of the largest and oldest helicopter services companies in the United States. Founded in 1953, Keystone operates a large fleet of turbine helicopters in multiple locations across several Northeastern states, primarily in the air medical mission. The firm also has a large technical services depot near Philadelphia for an impressive list of helicopter fleet customers and operators. Keystone Helicopter is owned by Keystone Ranger Holdings, Inc., a Philadelphia-area private equity investment organization that specializes in aviation-related ventures. Additional information is available on the Web at: www.keystonehelicopter.com and at www.rangeraerospace.com. 

KEYSTONE HELICOPTER ACQUIRED BY AVIATION VENTURE CAPITAL GROUP

West Chester, PA, January 15, 2002 
Keystone Helicopter Corporation (“Keystone”), one of the largest helicopter services and air-medical firms of its type in the Eastern USA, has been acquired by an aviation venture capital group assembled as a holding company called Keystone Ranger Holdings, Inc. (visit www.keystonehelicopter.com). The venture group includes Ranger Aerospace LLC, Meridian Venture Partners, CD Ventures, and other private investors. Senior financing for the private stock acquisition was provided by First Union Bank/Wachovia. Other institutional investors are expected to join the group as follow-on acquisitions become available and the holding company expands its equity base. Exact terms of the private investment will not be disclosed. 

Steve Townes, Chairman/CEO and founder of Keystone Ranger Holdings, said: “Keystone Helicopter is a strong and growing company, with an exceptional reputation for high quality, customer performance, and safety. Our objective is to carefully grow Keystone Helicopter as a platform company, as we continue to search for other acquisitions and mergers in the helicopter services industry in North America, Europe, and elsewhere. Keystone Helicopter will grow its substantial air-medical flight services operations principally in the Northeastern quadrant of the USA, and will concurrently expand its already substantial helicopter maintenance, engine overhaul, avionics, completions, engineering, and other technical services capabilities.” Townes, a West Point graduate, is an aerospace industry entrepreneur whose most recent venture as founder of Ranger Aerospace was the acquisition and growth of Aircraft Service International Group (“ASIG”), where he was President & CEO. ASIG, sold in July 2001 to a British conglomerate, is now one of the largest airfield services companies in the commercial aviation industry, with over 8000 employees at more than 100 major airports in North America and Europe. The Chief Financial Officer of Keystone Ranger Holdings is James McCaughan, formerly the Vice President-Finance of Rollins Leasing Corp., a $1.2 Billion transportation and logistics company in Wilmington DE.

Operating leadership of Keystone Helicopter remains the same, with Peter Wright, Jr., in place as the company’s long-serving President. The divisional officers of Keystone Helicopter all remain in their respective positions. Peter Wright, Jr. said: “The Keystone Helicopter management team has grown the company steadily to market leadership. Our management and employees are all very enthusiastic about the opportunities this investment in Keystone will provide. We now move forward together into a new phase in Keystone’s 5-decades history.” Mr. Wright and his brother Timothy Wright were the principal shareholders of Keystone Helicopter, and both are also now significant stock and option holders in the new enterprise. Peter Wright, Sr., the original founder of Keystone Helicopter, and Chairman of the American Helicopter Museum, has agreed to become Chairman Emeritus of the company.

Keystone Helicopter, with principal offices and a large maintenance base in West Chester PA, was founded in 1953 and has developed a wide reputation in the ensuing 48 years as a high quality helicopter services and air ambulance company. Its customers include major hospital systems, state and local governments, federal agencies, OEM’s, and other helicopter fleet operators. Almost half of its business is in air-medical flight services, operating a large fleet of heavy jet turbine helicopters in 19 locations in the Northeastern USA. The other half of Keystone’s business is in the maintenance, overhaul, outfitting, and retrofitting of helicopters for customers from around the helicopter industry, including long relationships with OEM’s. Keystone operates under FAA certificates for Repair Station (Part 145), Flight Operation (Part 135), and Designated Alteration Station (“D.A.S.”) activities.

Meridian Venture Partners (www.meridian-venture.com), with offices in Radnor PA, is a private equity investment firm that provides venture capital to later-stage growth companies, and financing for acquisitions and recapitalizations. MVP’s portfolio companies represent diverse industries, including aviation, publishing, media, specialty retailing, manufacturing, life sciences, and software. Total capitalization of MVP’s two venture funds is $125 Million. Part of MVP’s stated investment approach is to invest in companies seeking to consolidate an industry by acquiring competitors or similar businesses in other geographic markets. 

CD Ventures (www.cdventures.net), with offices in Berwyn PA, is a private equity investment advisory company with a portfolio of businesses in aviation services, health care, receivables collections, and telephony. CD Ventures specializes in “incubating” acquisitions and management buyouts with well-qualified CEO’s in these and other industries where consolidation opportunities are identified. In addition to Keystone Ranger Holdings, CD Ventures is a shareholder of Executive Air Support, Inc., the parent company of Atlantic Aviation and the MillionAir “FBO” chain. 

Ranger Aerospace LLC (www.rangeraerospace.com), with offices in Berwyn PA, is a privately held investment and management holding company with private equity institutions, venture capital companies, and management as shareholders. Ranger and its co-investors add value to acquired companies via seasoned veterans experienced in aviation services, aerospace programs, engineering, finance, corporate development, MIS, marketing & strategic planning, Total Quality Management, mergers & acquisitions, post-merger integration, and turnarounds. 

Forward Looking Statements: The Company from time to time may discuss forward-looking information. Except for factual historical information, all forward looking statements are estimates by the Company’s management and are subject to various risks and uncertainties that are beyond the Company’s control and may cause actual results to differ materially from management’s expectations. 
For more information visit www.rangeraerospace.com.