PROPRIETARY First Equity Copyright 2018 © First Equity Group, Inc. – 31 – Background In parallel with First Aviation's acquisition of AeTR, the company was approached by Limco-Piedmont and TAT Technologies to acquire the propeller repair station assets of Piedmont Aviation Component Services. Limco-Piedmont’s leadership sought to exit businesses associated with commercial turboprop aircraft and First Aviation recognized an opportunity to expand its MRO operations while capitalizing on the projected continued rise of fuel prices. First Aviation also recognized an opportunity to leverage Piedmont’s propeller capability into next generation product lines. Investment Thesis – Most recognized brand in regional aviation market – Extensive capability in a worldwide market with limited competition – Capitalize on the projected rise of fuel prices and the resulting industry shift back to turboprop airliners – Opportunity to revive an MRO operation that had been starved of capital and management oversight – Be the first mover into the latest generation of large, composite propeller systems First Aviation Services (FAvS) – Piedmont Propulsion Systems (PPS)