<PAGE> 1
EXHIBIT 99.1
FOR IMMEDIATE RELEASE
AMERICAN AIRCARRIERS SUPPORT ANNOUNCES FILING OF CHAPTER 11
PROTECTION AND RETENTION OF FIELDSTONE CAPITAL
FORT MILL, SC - October 31, 2000 - American Aircarriers Support, Incorporated
(NASDAQ: AIRS) an integrated aviation maintenance, repair and overhaul service
provider announced that in order to facilitate a refinancing of the Company, it
voluntarily filed for protection during reorganization under Chapter 11 of the
Bankruptcy Code. To ensure that customer and creditor relationships remain
intact, it is in final negations for Debtor-in-possession ("DIP") financing from
its current bank group. The company has signed a contract to retain the services
of Fieldstone Capital, pending court approval, to assist in the reorganization
of the company and the potential sale of one or more AAS divisions.
American Aircarriers Support and four of its subsidiaries made its filing for
Chapter 11 protection in the United States Bankruptcy Court for the District of
Delaware. The company and its subsidiaries will continue to operate their
businesses in the ordinary fashion.
Additionally, the company has recently signed a Memorandum of Understanding for
the sale of its Landing Gear Division to a strategic buyer. The proceeds of this
transaction will be used to reduce debt and return the company to a more
balanced financing structure. Fieldstone Capital is assisting AAS in this
transaction. Closing of this transaction is subject to completion of due
diligence, execution of definitive agreements and the approval of the bankruptcy
court.
"Due to our ongoing liquidity problems we have been forced to seek the
protection of filing for Chapter 11 status while we complete our financial
restructuring." said Karl Brown, chairman and chief executive officer. "With DIP
financing in place, customers and vendors can be assured of continued operation
in ordinary course. We are considering all options at this point but our goal is
to continue to operate American Aircarriers Support as a successful integrated
aviation services company."
About American Aircarriers Support, Incorporated
American Aircarriers Support, Incorporated founded in 1985, provides integrated
aviation services, including maintenance, repair and overhaul services and spare
parts sales for commercial airlines, cargo operators and maintenance and repair
facilities worldwide. The company offers engine and aircraft management
services, as well as heavy maintenance for complete aircraft, maintenance,
repair and overhaul of flight controls, landing gear systems and jet engines at
its FAA licensed facilities. For more information about American Aircarriers
Support visit www.a-a-s.com.
While American Aircarriers Support, Incorporated believes that its expectations
are based upon reasonable assumptions, there can be no assurances that the
Company's objectives or goals will be realized. Numerous factors (including
risks and uncertainties) may affect actual results and may cause results to
differ materially from those expressed in forward-looking statements made
<PAGE> 2
by or on behalf of the Company. Some of these factors include the business
conditions in the aircraft services and spare parts industry and the general
economy, the extensive regulatory compliance required in the aircraft repair and
maintenance business, the Company's rapid growth strategy, competitive factors,
inventory concentration risks, availability of inventory, expansion of services
and product lines, debt financing and the ability to finance future growth and
other risks or uncertainties detailed in the Company's Form 10-KSB.
