ExelTech announces an upcoming financing

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    ExelTech announces the signature of a letter of intent with SGF to
    establish a term loan and an equity position for a total amount of
    $6 million
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ExelTech Aerospace Inc. ("ExelTech" or the "Company") (TSX-V: XLT), a leading aircraft maintenance, repair and overhaul provider with operations in Montreal and Quebec City, today announced the signature of a letter of intent with the Société générale de financement du Québec (SGF) to establish a term loan and an equity position in Exeltech for a total amount of $6 million.

The contemplated term loan would take the form of a $5 million debenture with 10% annual interest and a right to participate into the Company's profits. The considered equity investment of SGF would amount to a $1 million subscription of common shares at a price of $0.035 per share. These funds would be used to reimburse the $2.3 million debentures coming due November 30, 2009 and for general operating needs. The contemplated closing time should be by the end of September 2009.

Final agreement is conditional on the satisfactory completion of a due diligence from SGF, the absence of material adverse change and certain other customary conditions.

"After having successfully renewed our credit facilities with our banker, this comes as an important part of the plan to reinforce our balance sheet and be able to sustain the efforts towards achieving our goals of profitable growth," said Sylvain Duval, president and CEO of Exeltech.

ExelTech intends to release its financial results for the quarter ended June 30, 2009 on August 25, 2009.

About ExelTech Aerospace

The third-largest commercial airframe Maintenance, Repair, and overhaul (MRO) vendor in Canada, ExelTech Aerospace is listed on the TSX Venture Exchange and trades under the symbol XLT. The Corporation holds Transport Canada, US Federal Aviation Administration (FAA), European Aviation Safety Agency (EASA) and Bermuda Department of Civil Aviation (BDCA) approvals to maintain a range of aircraft and associated structures, components and systems. Aircraft models serviced by ExelTech Aerospace include Embraer ERJ 145 family, EJet 170/190 family and Bombardier CRJ regional jets as well as ATR-42 and 72, Bombardier Dash-8 and Saab 340 regional turboprops and Boeing 737 narrow bodies. ExelTech is also a member of the SuperJet International Sukhoi MRO Service Centers Network.

In the summer of 2008, ExelTech opened a purpose-built 153,000 square feet (14,200 square meters) state-of-the-art maintenance facility at Montreal's Pierre Elliott Trudeau International Airport where regional aircraft are serviced. In additional to heavy maintenance, ExelTech Aerospace offers a dedicated line maintenance facility servicing domestic and international customers for Montreal's Trudeau International Airport.

With 310,000 square feet (28,800 square meters) of hangar, shop and office space in three facilities at Montreal and Quebec City, and with marketing offices in the US, ExelTech Aerospace provides maintenance repair and overhaul services to airlines in Canada, the US and 25 other countries around the world.

To learn more about ExelTech Aerospace Inc. (TSX-V: XLT), please visit our website at www.exeltech-aerospace.com.

Forward-Looking Statements

Certain statements made in this news release, including, without limitation, statements relating to the Corporation's expectations concerning future revenues and earnings, market conditions and the sufficiency of capital and liquidity, may constitute forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause future results to differ materially from those expected. Such risks include, without limitation, period to period fluctuations of revenue and operating expenses, technological, competition, environmental hazards, intellectual property issues, dependence on key personnel, financing and acquisition capabilities and exposure to foreign currency movements. These risks and uncertainties are discussed in greater detail in the Risk Factors section of the Corporation's Management Discussion and Analysis for the year ended March 31, 2009. Moreover, actual results may differ materially from expected results if known or unknown risks affect the business or if information and analysis in this news release turn out to be inaccurate. As a result, there can be no guarantee that any forward-looking statement will materialize.

Management disclaims any intention, and assumes no obligation, to update any forward-looking statement, even if new information becomes available, as a result of future events or for any other reason. Readers are urged to consider these and other such factors carefully, and not place undue emphasis on ExelTech's forward-looking statements.

Further information can be found in the disclosure documents filed by ExelTech with the securities regulatory authorities, available at www.sedar.com.

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    The TSX Venture Exchange Inc. has not reviewed and does not accept
    responsibility for the adequacy of this release.
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%SEDAR: 00020968EF

SOURCE: EXELTECH AEROSPACE INC.

Sylvain Duval, President and Chief Executive Officer, (514) 631-8999 ext. 3884,
sduval@exeltech-aerospace.com

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