Let's not forget the effect of strong US Dollar and better exchange rate in Canada. BAHA Airline Training International Sales up 41% in the First Half of Fiscal 2002 Toronto, Ontario Airline Training International Ltd. (``ATI'') (CDNX: ATS - news) reported revenues for the six months ended December 31, 2001 of $1,428,829 versus $1,011,320 a year earlier, a 41% increase. Gross margin for the six-month period increased from $206,985 or 14% of sales a year earlier to $496,402 or 35% of sales this period; a 140% improvement. A net loss for the six months ended December 31, 2001 of $44,037 or $0.00 per share was recorded versus a net loss of $361,470 or ($0.06) per share a year earlier. General administration expenses declined from $568,455 for the six-months ended December 31, 2000 to $540,440 for the six-month period ended December 31, 2001, a decrease of 5%. Cash provided by operations for the current period increased by $284,019 to $102,969 as compared to ($181,050) for the six-month period a year earlier. ``At the start of this fiscal year, we implemented a 40/40 program; increase sales by 40% while generating 40% in gross margins. I'm pleased to report that we are well on our way to accomplishing that goal,'' stated Robert Gilson, ATI's President and CEO. ``Gross margins will continue to improve throughout the balance of the year,'' reported James Essex, ATI's CFO. ``Our margins continued to be negatively affected by our Kingston operation that closed on October 15, 2001. Subsequent to the end of this quarter, we sold two money-losing aircraft and added two new Diamond Eclipse aircraft, the effect of which will further improve our overall gross margins.'' Jean Moawad, Sales and Marketing Director, added, ``Since September 2001, our client base has increased by 25%, even though this is traditionally our slower period. The expected demand during the upcoming spring/summer season dictated an urgent need for increased capacity. Naturally, it doesn't hurt that these aircraft are state-of-the-art, exciting to fly, and are generating tremendous interest from our customers.'' ``ATI continues to move on an aggressive growth path,'' concluded Mr. Gilson. ``The restructuring difficulties and the depth of the financial challenges that dogged us in Fiscal '01 are definitely history - our objective now is to grow to be one of the largest and most prestigious flight training academies in North America - a target that will be matched by our commitment to build shareholder value.'' ATI is a public company trading under the symbol ATS on the CDNX exchange and has 17,328,000 shares outstanding. A further 3,000,000 shares are reserved for issuance pursuant a previously announced private placement (assuming all purchase warrants are fully exercised). The Corporation is Canada's first publicly traded company dedicated to pilot training. The Company plans to grow by serving the needs of consumers as private pilots and career oriented pilots. ATI seeks to expand by developing strategic alliances and increasing its market share through internal growth and acquisition, and embracing technological advancements in computer-based training, distance education through the Internet, and use of simulators. Certain statements in this release may constitute ``forward-looking statements'' and involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of the Company to be materially different from any performance or achievements expressed or implied by such forward looking statements. For further information contact: Robert Gilson CEO & President, Airline Training International Ltd. Telephone: (416) 203-1199 E-mail: rgilson@airlinetraining.net The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.