Air National Guard Flies with FATS

ATLANTA – April 22, 2004 – The Air National Guard (ANG) has awarded FATS, Inc. a $3 million contract for upgrades to their virtual training systems. The agreement provides hardware and software updates to 94 systems, and adds additional backup weapon simulators to the ANG Depot. The ANG is the reserve component of the U.S. Air Force (USAF).

The FATS upgrades will add enhanced software capabilities and training realism using new Windows® XP based software. ANG's systems will also be equipped with High Level Architecture capability, enhancing the force’s "squad tactics" approach to training. FATS is also upgrading the ANG’s individual weapons Courses of Fire to replicate changes made in the ANG qualification courses.

Many organizations of the USAF train on FATS systems, including recent acquisitions of Indirect Fire-Forward Air Control Trainers (I-FACT) for Combat Controllers, and the Air Ground Operations School at Nellis Air Force Base. The I-FACT is the first commercially available virtual training solution system designed to train ground controllers in the tactics, techniques and procedures necessary to conduct successful joint close air support operations.

FATS, Inc. (OTC: FATS) designs and sells virtual training systems that improve the skills of the world’s military, law enforcement and security forces. FATS training systems provide judgmental, tactical and combined arms experiences, utilizing company-produced weapons and simulators. The company serves U.S. and international customers from headquarters in Suwanee, Georgia, with branch offices in Australia, Canada, Singapore, Netherlands and United Kingdom. FATS, an ISO 9000 certified company, celebrates its 20th anniversary in 2004. The company Web site is www.fatsinc.com.